So 11.6 billion in revenue. You guys just announced $378 billion in GMV, $2 billion in free cash flow. Shopify is now worth $165 billion. As president, who's been there more than 20 years, you must feel pretty proud of that. What people may not know is by a long shot you are now Canada's most successful technology company. So how about a...
That's a bit of the maybe the one-eyed in the land of the blind. We can get into that a little bit, but yes.
No, it is staggering success by US standards, by global standards. So huge congratulations. And truly then, like given all of your recent earnings announcements and the pride of Canada, the obvious starting point is tell me about ice hockey.
All right, I guess we have to acknowledge the 600 lb goalie in the room. I will say, you know, in an era of trade wars, I think our best export is our hockey players to NHL, American NHL teams. So you're welcome.
By the way, two Jewish kids too, right?
Pretty good, right? I mean, yeah, my mom told me to go to law school. She must have known something, but thank you for having me. Thank you all for being here. And look, the numbers obviously, you know, 2025 was an incredible year for us. Actually, one thing that you didn't mention that is really fascinating is that Shopify now powers, we are about 14% of US e-commerce. So, if you actually combine just our US stores as an example, we are the second largest checkout in America. And the reason I mention that is because I think most people sort of still view Shopify as these kind of independent millions of stores, which of course is our core offering, but the idea that we can operate with this insane economy of scale because we are the second largest online retail in America allows us to do all types of other really cool stuff.
Now, I of course introduce you in your title as president and there's actually a CEO, Toby. And it's interesting because in most technology companies you see you have sort of a business person who's the CEO and you have a super technical CTO and that partnership, let's say like Marc Benioff, you know, was Parker Harris who was the CTO, but in the case of Shopify it's reversed because he's CEO but super technical. You're president and you do, how do you guys split your roles? What do you do? What does he do? How do you guys agree, disagree?
I think most companies, if I may say so, get this totally wrong. I think the idea is that most companies have these slots and they hire a CTO or CEO. We just never did that. Toby and I always ran the company in sort of this bespoke model, which is that rather than focusing on what is a CEO supposed to do in a very traditional, you know, standardized sense, or a president supposed to do, or CTO, what are people's, you know, skill sets, what are people's superpowers. And so Shopify does not have well-rounded leaders. We are not well-rounded. We are very spiky, and we focus on the things that we are the best at and we are incredibly disciplined about not letting sort of the MBA, a business book community leak to us what they think we should be doing. Toby is, I believe unequivocally, one of the greatest product minds in the planet. I think in commerce he is the greatest product mind. From a merchant perspective, from an investor perspective, any of you own Shopify stock? The thing you all want Toby doing the most of is building product. I'm a storyteller. My job is to tell our story internally to our team, but also externally to merchants, the public, investors, the media, anyone that will frankly listen to me or give me a microphone. So rather than create these cargo cult models where this is what we're supposed to do given our role or given our size, we simply focus on what are we the best in the world at and just do that sort of thing. And I think that comes with, I think there are a couple things underneath it that are required. One is we both have to re-qualify for our jobs every single year. I've been working at Shopify and for Toby for half my life. I'm 42, so it's been about half my life here. I have on an annual basis told him that my job this year is to re-qualify to be the best president Shopify could have. And he said the same thing to me that he wants to re-qualify to be the best CEO for Shopify. The other thing that I think it creates is you create this incredible mutual trust that I know that he's going to ensure that whatever happens, I know we'll get into agentic in a bit, with agentic, Shopify is the epicenter of it and he knows that whatever happens I'm going to ensure that I articulate our story in a way that is most compelling, most interesting, and gives enough information to the people that matter. And it's been an amazing relationship. And even in terms of, you know, the way the rest of our executive team has been built, we have an incredible new COO, Jess Herz. She came out of the White House. She was our general counsel initially and then as we kind of watched how she was operating at Shopify, it became obvious that she's going to be an incredible chief operating officer and she has been. She's deeply, I mean all she thinks about is the operations of the company in a very compelling and a very sophisticated way. And that's kind of the way we always did it.
So let's go there. You talked about agents and there's a lot of stuff we'll cover today about agents, but I want to start internal. When you and I were chatting before this, you were mentioning that this is the biggest transformation maybe Shopify has ever gone through, that this is the next big wave. Toby talks a lot publicly about rolling out agents internally. And I think all of us hear a lot about agents, but you're actually seeing it internally in practice. Talk about what that looks like.
Yeah, I mean maybe I'll start with at a high level, you forgot this part of our conversation in the green room, which is that I showed you my OpenClaw instance on my phone. I pulled up Telegram and I said, 'Here's my current conversation.' And I showed you that I was giving my OpenClaw agent a hard time because they had not responded to me in 24 hours. And I showed it to you. I was like, 'What the [ __ ] is going on? Like, why have you gone silent on me?' I think first and foremost in this kind of era, and I don't just mean from an agent commerce perspective, I just mean as a human perspective, all of us being in tech, it requires all of us to be technoptimists. What I mean by that is some of you may have had the same experience that I've had, but you know, many years ago when the initial iPod first came out, I gifted it to my mom as a birthday present or Mother's Day present. And I remember getting a phone call from her a day later saying it doesn't always work, that it was the wheel. She's like, 'The wheel is buggy and stuff.' And she put it away into her drawer. And frankly, she's never used, you know, a digital music device ever since.
Definitely user error. Yeah. 65-year-old Jewish mother error I believe is the technical term. So that is not me and I don't think it's any of us. I think we all have to be technoptimists and part of the reason that I'm using OpenClaw even though I'm showing you all these bugs 10 minutes ago is that I actually think what's critical is to watch the evolution of how quickly it's happening. That idea that it has not got back to me in 24 hours, there literally in the last 24 hours there's been an update called heartbeats, heartbeat.mmd, which actually allows it to wake up on an automatic basis so that frustration I had a day ago may be fixed by the time I'm off the stage. That pace of evolution means that we are all going to be blown away I think by what's coming. Now in terms of agentic commerce, if you sort of agree on the technoptimism theme, if you think about how modern commerce happened in the '90s. You had the introduction of e-commerce. It was the first time that commerce moved away from brick and mortar and all of a sudden now it's online as well. The adoption curve for e-commerce, frankly, has been very slow. Just take a guess. Do you know what percentage of total retail in the US is currently done online?
I don't. But if I'm guessing, I'd say 23%.
It's actually less. It's 18% in the US. It's actually closer to 14% in Canada. UK is the highest at 25%. China's about 50/50, but it's tough to substantiate that.
Let's not go there again. Yeah. Less population. Actually, Canada is a perfect geographic space for e-com, but different story. So, first you had sort of the evolution of e-com and e-com has grown quite a bit. We're actually now as we speak in 2026 at the same growth rate of e-commerce as we were pre-pandemic. So, if you kind of look at the growth curve of e-commerce, it kind of went like this. Then you had this spike during COVID and now it's kind of back to that same pace that it was pre-pandemic. Okay. Then around 2015 something else happened. You begin to hear this term called omnichannel which is that my business is not an online business or an offline business. It's both. And basically since 2015 till now I think you've had these new channels that have opened up. Social commerce became a real thing. Integrating with marketplaces, we integrate with Target. We integrate with Walmart. We have an integration to Spotify, into Roblox. If you're Fenty Beauty, you're now selling your products in the Roblox universe by virtue of Shopify, you're doing it through Shopify. I think agentic is this new front door, which is a new surface area. Now, I think it's a very compelling one because it has the chance not only to take some market share from the existing modern retail pie, digital pie, but actually convince more people that currently do not shop online to do so. So, there's like a TAM expansion opportunity around agentic commerce. The way that I think it's going to end up rolling out, and none of us in the room, certainly I don't know the exact permutation of how it's going to happen. But I think what's going to happen is it's going to happen pretty slowly and then all at once where we're going to begin to use these agentic applications as these kind of personal shoppers. The coolest part about all of this though is that it's just another channel. And so more and more the way we think about Shopify is this hub and spoke model where at the center of all of it is this retail operating system. You have your inventory, your analytics, your reporting, your payments, your shipping, your customer data. And one major spoke is online, one spoke is offline or point of sale product. Then you have social commerce, you have the marketplaces, you have wholesale B2B, and now you have a new spoke called agentic. And I think it's going to, it's a huge opportunity, but I think it also can be incredibly complex. And so from a Shopify perspective, we're probably more excited about this particular new era of commerce than we have ever been because we think it's just going to create so much opportunity, not just for the large merchants, but for the long tail of merchants because agentic is fundamentally merit-based as opposed to if you go to a search engine, you type in sneakers, you're going to see Foot Locker.
But let's go there. So we're going to come back to agents, I promise. But there's a world pre-agents, post-AI, and if you look at changes in consumer behavior, of course in the world of search we went, we searched, we used to get great results and then SEM took over and a bunch of [ __ ] got between us and what we wanted to find. Now we go to ChatGPT or Gemini and we search for information. It goes and finds it and it brings it to us. That has big implications for merchants and how they reach their customers. That has big implications for what consumers actually discover because it's being served up by a model and we don't know how that model has been influenced. Talk about consumer behavior that you've seen at the scale that you're at and what is changing pre-agentic.
So I think right now generally the thing that the agent brings that a traditional search engine does not is context. So if I've been doing research on one of my favorite sneaker brands is On Running. I'm sure there's lots of On Running shoes in the room. On Running which sells on Shopify. If I've been doing research on, I do this hike every year called 29029 and I research like the weight of hiking boots. If my particular chat application knows that I have a preference for On Running, the next time I look for a pair of shoes that's what the agent should surface, not the biggest company in the planet. If it knows that I really like Birkenstocks, that's when it should surface. So I think consumer behavior will continue, there's going to be an element of mimetic or meme type of behavior where we're still going to be influenced by the people we see, the people we watch on social media, on television, but I think the chat application actually is a more authentic personal shopper because it's generally not on commission, meaning it's only going to show you the things it thinks you are most likely to purchase. And if you're, we have millions of stores on Shopify, we talk about, you know, Mattel and On Running and Birkenstocks and Fashion Nova and Vuori and Alo Yoga, all those companies are doing incredibly well but there are millions of other kind of in the long tail of Shopify that one of their major challenges is discovery and actually this is where we think agentic will play a huge role in surfacing new brands to those consumers. But I still think even in the age of sort of as you call kind of post-agentic, you're still going to have brand and story and a relationship that a consumer has with their favorite company grow.
But here's the thing, like I deal with brands that have to sell and distribute products online. The models themselves are opaque. The models themselves are still informing themselves by crawling the internet, crawling social, reaching some conclusion about what they think is right or wrong. That's very influenceable. And so merchants probably at some level are going to have to figure out now not just how to create beautiful pages to come see my products, not how to do brand integration so I can work with celebrities and get this mimetic desire, but they're going to have to figure out how to influence what all the AI models are ingesting because that's what's going to influence what consumers see.
Exactly. And that's actually the reason why some of the things you see us put out may seem a little bit abstract. So, we announced at the National Retail Federation event in January something called UCP, the universal commerce protocol. We built it with Google. And what the UCP actually does is it's this open-source language that allows every merchant to speak to every agent. So, you can actually provide the merchandising details. So, for example, if you take AG1 for example, you need subscriptions, you need to be able to skip subscriptions, you need discounts, you need loyalty. So actually part of this is where, you know, I raised the Jewish mother example early on because you have to actually really project this optimism that this actually is where it's all going. That's where we think it's going which is that yes agents are going to require all this incredible information to surface on a merit basis the best products and you need these protocols that allow you to do that. So what we're trying to build now is make it so that all the incredible rich information, all the details of a consumer's buying journey actually gets surfaced in the agent. And we think UCP actually does that. But the other thing I think that's also going to be really interesting is that I don't think it's going to be mutually exclusive. Meaning I still believe that if you find a great new brand on, I found a brand recently through an ad. We can talk about ads if you want. Called 11T. I don't know if some of you know this brand. Really great brand. I never heard of it. It's on Shopify. And I found it actually through an agentic search. I didn't actually purchase on the agent, but I found it. The next time I actually went to go buy a new jacket from 11T, I actually went to 11t.com. I may decide to do it on the agent at some point in the future. But again, these things actually all interoperate. The complexity though that you're articulating, Mark, which is like merchants have to think about all these things, that actually makes the value of Shopify so much bigger. The idea that we can obfuscate all this complexity and just give them one single interface and say you can sell on every surface area, digital, online, offline, that exists.
