(Reuters) - Shopify (SHOP.TO), forecast third-quarter revenue above market estimates on Wednesday, as its AI features and platform upgrades boosted demand for its e-commerce services despite tariff-related uncertainty pressuring retail businesses.
President Donald Trump's shifting trade policies have clouded the global economic outlook, leaving retail businesses unsure about consumer demand, production and sourcing, as well as the costs of running their operations.
Shopify, however, saw healthy consumer spending at least until April, with sellers signing up for its services. E-commerce giant Amazon (AMZN.O), last week reported strong retail results, saying it was yet to see a demand drop or a notable rise in prices.
Shopify expects revenue to rise at a mid-to-high twenties percentage rate in the current quarter, while analysts on average estimated a rise of 21.54%, according to data compiled by LSEG.
For the second quarter, Shopify reported revenue of $2.68 billion, up 31% from last year and above analysts' average estimate of $2.55 billion.