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Investing.com -- Shopify (NYSE:SHOP) reported fourth-quarter results that beat analysts' expectations, but the company's shares slumped around 8% in premarket trading Tuesday.

The Canadian e-commerce giant expects revenue growth in the mid-twenties percentage range for the current quarter, while analysts, according to LSEG data, project a 24.4% increase year-over-year to $2.31 billion.

The company also expects operating expenses to account for 41% to 42% of revenue in the first quarter, up from 31.5% in the holiday quarter.

For the fourth quarter, Shopify reported earnings per share of $0.44, slightly surpassing analyst expectations of $0.43. Revenue for the quarter reached $2.81 billion, exceeding the consensus forecast of $2.73 billion.

Monthly recurring revenue came in at $178 million, falling short of the estimated $182.4 million. Merchant Solutions revenue totaled $2.15 billion, ahead of the expected $2.08 billion, while subscription revenue stood at $666 million, surpassing the projected $652.1 million.

“2024 was a stand-out year for Shopify. We seized every opportunity to fuel our growth and it showed in the results quarter after quarter,” said Harley Finkelstein, President of Shopify.

“Heading into 2025, we are committed to making entrepreneurship more common and further establishing Shopify as the go-to commerce platform for businesses of all sizes."

Operating income during Q4 stood at $465 million, topping estimates of $432.9 million.

The company reported a gross merchandise volume for the period of $94.46 billion, also above the anticipated $93.01 billion.

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