Contract Liabilities
Shopify Contract Liabilities decreased by 76.1% to $98.00M in Q4 2025 compared to the prior quarter. Year-over-year, this metric declined by 33.3%, from $147.00M to $98.00M. Over 3 years (FY 2022 to FY 2025), Contract Liabilities shows a downward trend with a -28.5% CAGR. This decline may warrant attention — for this metric, higher values are generally preferred.
Analysis
How to read this metric
An increase suggests strong future revenue visibility and customer demand, while a decrease may indicate faster fulfillment or slowing sales.
Detailed definition
This represents the obligation to transfer goods or services to a customer for which the company has already received co...
Peer comparison
Common in companies with long-term service contracts or subscription-based diagnostic models; peers with high recurring revenue often show higher balances.
contract_liabilitiesHistorical Data
| Q4 '22 | Q4 '23 | Q1 '24 | Q2 '24 | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | |
|---|---|---|---|---|---|---|---|---|---|---|
| Value | $268.00M | $196.00M | $183.00M | $170.00M | $159.00M | $147.00M | $430.00M | $421.00M | $410.00M | $98.00M |
| QoQ Change | — | -26.9% | -6.6% | -7.1% | -6.5% | -7.5% | +192.5% | -2.1% | -2.6% | -76.1% |
| YoY Change | — | -26.9% | — | — | — | -25.0% | +135.0% | +147.6% | +157.9% | -33.3% |
Contract Liabilities at Other Companies
Frequently Asked Questions
- What is Shopify's contract liabilities?
- Shopify (SHOP) reported contract liabilities of $98.00M in Q4 2025.
- How has Shopify's contract liabilities changed year-over-year?
- Shopify's contract liabilities decreased by 33.3% year-over-year, from $147.00M to $98.00M.
- What is the long-term trend for Shopify's contract liabilities?
- Over 3 years (2022 to 2025), Shopify's contract liabilities has grown at a -28.5% compound annual growth rate (CAGR), from $268.00M to $98.00M.
- What does contract liabilities mean?
- Money received from customers for products or services that have not yet been delivered.