SHOP - Shopify Inc. (SHOP) Presents at Morgan Stanley's Technology Media & Telecom Conference (Transcript)
2024-03-06 21:41:09 ET
Shopify Inc. (SHOP)
Morgan Stanley's Technology, Media & Telecom Conference Call
March 06, 2024, 04:20 PM ET
Company Participants
Harley Finkelstein - President
Jeff Hoffmeister - Chief Financial Officer
Conference Call Participants
Keith Weiss - Morgan Stanley
Presentation
Keith Weiss
Excellent. Thank you, everyone, for joining us. My name is Keith Weiss. I run the U.S. research -- software research franchise here at Morgan Stanley. And very pleased to have with us from Shopify, both President, Harley Finkelstein as well as CFO, Jeff Hoffmeister. So gentlemen, thank you for joining us. So this is year two of Jeff being onboard and...
Jeff Hoffmeister
15 months.
Harley Finkelstein
Let's not give him too much credit. Fifteen months. Not quite year two.
Keith Weiss
Year two of Jeff being on my conference.
Harley Finkelstein
That's right.
Jeff Hoffmeister
Yes. It is year two of the conference, yes.
Keith Weiss
I was looking back at my notes from last year's presentation where I basically asked Jeff about margins and then just ask you about Shopify Fulfillment Network for the rest of the presentation.
Jeff Hoffmeister
You did.
Keith Weiss
A lot's changed in that time.
Jeff Hoffmeister
No more SFN and margins are pretty good.
Question-and-Answer Session
Q - Keith Weiss
Exactly. Yes. And both improvements in my view. You guys talk about it in terms of like the new shape of Shopify. So maybe Harley, just to start with you. Can you give us a sort of an overview -- what do you guys mean by the new shape of Shopify? And maybe kind of talk through what happened over the past year and the position it's gotten you into today to really go after the opportunity?
Harley Finkelstein
Yes, I think when we were on the stage, which was about 12 months ago, I think it was March or so 2023, we talked about a few things were changing. One was size of the company was changing. I think at our peak, we were about 14,000 people. We're now at around 8,000 people. And we just had our off-site last week, we have a fairly new executive team, so we're starting to spend a lot of time in person together. But we really like the size of our company. We think the size of our company in terms of headcount, we can really continue to grow at the pace we want be ambitious.
But the second piece of this new shape of Shopify is really about a focus on what we call sort of the main quest, which is really commerce and retail. And there were some areas that we felt we had to get into to your question last year, Keith, things like SFN. We've just realized that when we're able to leverage partners to get that same goal, same objective and help merchants create an end-to-end logistics network with partners, whether it's Flexport or it's Amazon, that's what they do best. Let them do it. Let us focus on the things that are truly important to us....
Shopify Inc. (SHOP) Presents at Morgan Stanley's Technology, Media & Telecom Conference (Transcript)