Deferred Revenue
Shopify Deferred Revenue remained flat by 0.0% to $300.00M in Q4 2025 compared to the prior quarter. Year-over-year, this metric grew by 6.0%, from $283.00M to $300.00M. Over 3 years (FY 2022 to FY 2025), Deferred Revenue shows relatively stable performance with a 0.4% CAGR. This decline may warrant attention — for this metric, higher values are generally preferred.
Analysis
How to read this metric
An increase suggests strong sales of subscription-based services or bundled offerings, providing a predictable pipeline for future revenue recognition.
Detailed definition
Represents cash payments received from customers in advance of the company fulfilling its performance obligations, speci...
Peer comparison
High-growth software and services companies typically maintain larger deferred revenue balances relative to pure hardware manufacturers.
deferred_revenue_currentHistorical Data
| Q4 '22 | Q4 '23 | Q1 '24 | Q2 '24 | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | |
|---|---|---|---|---|---|---|---|---|---|---|
| Value | $296.00M | $302.00M | $296.00M | $298.00M | $290.00M | $283.00M | $295.00M | $298.00M | $300.00M | $300.00M |
| QoQ Change | — | +2.0% | -2.0% | +0.7% | -2.7% | -2.4% | +4.2% | +1.0% | +0.7% | +0.0% |
| YoY Change | — | +2.0% | — | — | — | -6.3% | -0.3% | +0.0% | +3.4% | +6.0% |
Deferred Revenue at Other Companies
Frequently Asked Questions
- What is Shopify's deferred revenue?
- Shopify (SHOP) reported deferred revenue of $300.00M in Q4 2025.
- How has Shopify's deferred revenue changed year-over-year?
- Shopify's deferred revenue increased by 6.0% year-over-year, from $283.00M to $300.00M.
- What is the long-term trend for Shopify's deferred revenue?
- Over 3 years (2022 to 2025), Shopify's deferred revenue has grown at a 0.4% compound annual growth rate (CAGR), from $296.00M to $300.00M.
- What does deferred revenue mean?
- Money collected from customers for products or services that haven't been delivered yet but will be within a year.