(Reuters) - Canada’s Shopify Inc (SHOP.TO) (SHOP.N) forecast a bigger operating loss for 2019 on Tuesday as the e-commerce company invests heavily to expand its international business and build new fulfillment centers in the United States.
Toronto-listed shares of the company were down 4% as it also posted a bigger quarterly loss mainly due to a tax provision.
It has earmarked $1 billion for its fulfillment centers, bought a warehouse technology provider and ramped up its website to include new languages.
The Ottawa-based company forecast a full-year operating loss of between $158 million and $168 million, compared with its previous forecast of between $145 million and $155 million.
The company’s net loss widened to $72.8 million, or 64 cents per share, in the third quarter ended Sept. 30, as it set aside $48 million for its future tax bills.
Excluding items, it reported a loss of 29 cents per share.
Total operating costs rose nearly 40% to $252.4 million.
Reporting by Ambhini Aishwarya in Bengaluru; Editing by Arun Koyyur and Anil D'Silva