GURUFOCUS.COM » STOCK LIST » Technology » Software » Shopify Inc (NYSE:SHOP) » Definitions » Gross Property, Plant and Equipment

Shopify (Shopify) Gross Property, Plant and Equipment

: $303 Mil (As of Dec. 2023)
View and export this data going back to 2015. Start your Free Trial

Shopify's quarterly gross PPE declined from Jun. 2023 ($170 Mil) to Sep. 2023 ($124 Mil) but then increased from Sep. 2023 ($124 Mil) to Dec. 2023 ($303 Mil).

Shopify's annual gross PPE increased from Dec. 2021 ($429 Mil) to Dec. 2022 ($639 Mil) but then declined from Dec. 2022 ($639 Mil) to Dec. 2023 ($303 Mil).


Shopify Gross Property, Plant and Equipment Historical Data

The historical data trend for Shopify's Gross Property, Plant and Equipment can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Shopify Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Property, Plant and Equipment
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 292.43 311.09 429.26 639.00 303.00

Shopify Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Gross Property, Plant and Equipment Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 639.00 482.00 170.00 124.00 303.00

Shopify Gross Property, Plant and Equipment Calculation

Property, Plant and Equipment (PPE) are the fixed assets of the company. Fixed assets are also known as non-current assets.

Property, plant, and equipment includes assets that will - in the normal course of business - neither be used up in the next year nor will become a part of any product sold to customers.

Some of the most common parts of property, plant, and equipment are:


Land
Buildings (and leasehold improvements)
Transportation equipment
Manufacturing equipment
Office equipment
Office furniture

Companies with lots of property, plant, and equipment often have special categories. For example, railroad property includes:


Track
Ties
Ballast
Bridges
Tunnels
Signals
Locomotives
Freight Cars

There is often a note in the financial statements - found in a company's 10-K - that will explain the different categories of property a company owns.

The market value of property, plant, and equipment can differ tremendously from the book value of property, plant, and equipment.

For example, when Berkshire Hathaway liquidated its textile mills, it had to pay the buyers of the company's manufacturing equipment to haul the equipment away. That property, plant, and equipment was literally worth less than zero. On the other hand, some companies own thousands of acres of land.

All property, plant, and equipment other than land is depreciated. Land is never depreciated. However, land is not marked up to market value either. Under Generally Accepted Accounting Principles (GAAP), land is shown on the balance sheet at cost.

The property, plant, and equipment line shown on the balance sheet is usually net property, plant, and equipment. This means it is the cost of the property, plant, and equipment less accumulated depreciation.


Shopify  (NYSE:SHOP) Gross Property, Plant and Equipment Explanation

A company with durable competitive advantage doesn't need to constantly upgrade its equipment to stay competitive. The company replaces when it wears out. On the other hand, a company without any advantages must replace to keep pace.

Difference between a company with a moat and one without is that the company with the competitive advantage finances new equipment through internal cash flows, whereas the no advantage company requires debt to finance.

Producing a consistent product that doesn't change equates to consistent profits. There is no need to upgrade plants which frees up cash for other ventures. Think Coca Cola, Johnson & Johnson etc.


Shopify Gross Property, Plant and Equipment Related Terms

Thank you for viewing the detailed overview of Shopify's Gross Property, Plant and Equipment provided by GuruFocus.com. Please click on the following links to see related term pages.


Shopify (Shopify) Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Technology » Software » Shopify Inc (NYSE:SHOP) » Definitions » Gross Property, Plant and Equipment
Address
151 O'Connor Street, Ground Floor, Ottawa, ON, CAN, K2P2L8
Shopify offers an e-commerce platform primarily to small and medium-size businesses. The firm has two segments. The subscription solutions segment allows Shopify merchants to conduct e-commerce on a variety of platforms, including the company's website, physical stores, pop-up stores, kiosks, social networks (Facebook), and Amazon. The merchant solutions segment offers add-on products for the platform that facilitate e-commerce and include Shopify Payments, Shopify Shipping, and Shopify Capital.

Shopify (Shopify) Headlines

From GuruFocus

Egerton Capital (UK) LLP Buys 1, Sells 4 in 1st Quarter

By GuruFocus Research GuruFocus Editor 08-04-2022

Shopify's Growth Is Far From Over

By Dilantha De Silva 09-21-2023

Shopify's New Model Is Paying Dividends

By Muslim Farooque 11-01-2022

Henry James International Management Inc. Buys 2, Sells 3 in 3rd Quarter

By GuruFocus Research GuruFocus Editor 11-02-2022

Leith Wheeler Investment Funds' 2nd-Quarter Review

By Sydnee Gatewood 08-08-2022

UBS ASSET MANAGEMENT AMERICAS INC Buys 2, Sells 3 in 1st Quarter

By GuruFocus Research GuruFocus Editor 05-19-2022

GLUSKIN SHEFF & ASSOC INC Buys 2, Sells 3 in 2nd Quarter

By GuruFocus Research GuruFocus Editor 08-15-2022