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Today at a glance:
🇩🇰 Novo Nordisk: GLP-1 Challenges
🚖 Uber: Soft US Travel
🛍️ Shopify: Tariff Headwinds
🤝 MercadoLibre: Argentina Rebounds
⚙️ ARM: Licensing Delays
🌐 Arista Networks: AI Demand Surges
📱 AppLovin: Ad Tech Momentum
🔒 Fortinet: Services Slowdown
🏨 Marriott: Softening US Demand
📈 Coinbase: Slowing Volume
🏈 Flutter: March Madness Setback
🇰🇷 Coupang: Margin Machine
☁️ Cloudflare: Largest-Ever Contract
🚙 Ford: Tariff Uncertainty Looms
⚽ Electronic Arts: EA SPORTS Rebound
📢 HubSpot: AI Momentum Continues
🐶 Datadog: AI-Powered Expansion
📺 The Trade Desk: Kokai Powers Growth
🍞 Toast: Enterprise Wins Fuel Growth
✈️ Expedia: US Travel Softens
🌎 Global Payments: Worldpay Acquisition
📌 Pinterest: Ad Resilience
👑 DraftKings: Mixed Quarter
🌈 Affirm: Nearly Profitable
🏠 Zillow: Rentals Shine
💻 Paycom: Automation Pays Off
🗞️ New York Times: 15M Subs by 2027
🔥 Match Group: Payers Decline
🚘 Lyft: Expanding in Europe
🚲 Peloton: Decline Continues
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1. 🇩🇰 Novo Nordisk: GLP-1 Challenges
Novo Nordisk’s Q1 revenue rose 19% Y/Y to DKK 78.1 billion ($11.9 billion), driven by a 67% surge in obesity drug sales to DKK 18.4 billion, though Wegovy sales fell short of estimates, down 13% sequentially to DKK 17.4 billion. Operating profit increased 22% to DKK 38.8 billion, but the company lowered its 2025 outlook due to competition from compounded GLP-1 drugs, now expecting revenue growth of 13% to 21% (from 16%-24%) and operating profit growth of 16% to 24% (from 19%-27%).
Management emphasized that the recent FDA ban on compounded semaglutide, effective May 22, could boost branded sales in the second half of 2025. CFO Karsten Munk Knudsen projected a sales rebound for Wegovy following new distribution deals with CVS Health and telehealth providers like Hims & Hers. Despite the guidance cut, investors anticipate a recovery in GLP-1 demand amid reduced competition from copycat versions.
2. 🚖 Uber: Soft US Travel
Uber’s Q1 revenue rose 14% Y/Y (or +18% in constant currency) to $11.5 billion, missing estimates by $90 million. Gross bookings of $42.8 billion also fell short of the $43.1 billion consensus, with weaker US inbound travel and currency headwinds weighing on mobility. Adjusted EBITDA of $1.87 billion (+35% Y/Y) beat expectations, while operating income surged to $1.2 billion from $172 million a year ago, driven by cost efficiencies. Revaluations of investments added $51 million to net profit.
Trips continued to grow at a faster pace than the user base, showing rising engagement. While rideshare revenue growth slowed, delivery accelerated, and both segments expanded take rates. Adjusted EBITDA was 4.4% of gross bookings, up from 3.7% a year ago — a record high. Uber also announced a $700 million acquisition of Turkey’s Trendyol Go, the same day DoorDash revealed plans to buy Deliveroo ($3.9 billion) and SevenRooms ($1.2 billion), underscoring the rapid consolidation in delivery — a winner-takes-most market. Meanwhile, Waymo robotaxis now account for 20% of Uber rides in Austin as the autonomous vehicle push ramps up.
Looking ahead, Uber guided for Q2 bookings of $46.5 billion at the midpoint or up 18% in constant currency ($0.6 billion beat), showing no slowdown sequentially. Adjusted EBITDA is expected to reach ~$2.07 billion, reflecting 29% to 35% growth.
3. 🛍️ Shopify: Tariff Headwinds
Shopify’s Q1 revenue rose 27% to $2.36 billion ($30 million beat). It was the eighth quarter of revenue growth over 25% if we exclude the logistics business divestment. Gross merchandise volume increased 23% to $74.75 billion, narrowly missing estimates.
The quarter was impacted by an unrealized equity investment loss of ~$1 billion after a rough Q1 with tariffs impacting the stock price of Affirm, Global-E, and Klaviyo. Excluding this, net profit would have been $226 million. Free cash flow margin improved to 15%, up from 12% last year.
Looking ahead, Shopify expects Q2 revenue growth in the mid-20% range, in line with Q1, but gross profit margins are expected to contract slightly due to the revenue mix favoring Merchant Solutions. As a result, Q2 gross profit growth is expected in the high-teens percentage range, below the 20% consensus.
Shopify President Harley Finkelstein acknowledged potential tariff impacts from the expiration of the “de minimis” loophole, which previously allowed shipments under $800 to enter the US duty-free. While Shopify stated only 1% of GMV is directly affected by the change, analysts remain cautious amid ongoing trade uncertainty and cost pressures for small- and medium-sized merchants sourcing from China.
4. 🤝 MercadoLibre: Argentina Rebounds
MercadoLibre’s Q1 revenue surged 37% Y/Y (+64% in constant currency) to $5.9 billion ($420 million beat). Net income rose to $494 million ($9.47 per share and $1.47 beat), driven by robust growth in Argentina (+125% Y/Y) as trade barriers eased and consumer demand soared. Brazil and Mexico remained strong, with revenue up 41% and 51% Y/Y, respectively.
Commerce revenue rose 32% to $3.3 billion, while Fintech revenue climbed 43% to $2.6 billion, with total payment volume reaching $58.3 billion (+43%). The credit portfolio jumped 75% Y/Y to $7.8 billion, fueled by expanded consumer lending in Argentina.
Operating margins expanded to 13% despite ongoing investments in logistics and digital banking. The company plans to invest $13.2 billion this year, including a new fulfillment center in Texas to streamline cross-border shipping.
Despite Trump-era tariffs weighing on import volumes from Chinese merchants, MercadoLibre’s management remains bullish, citing 85% of Latin American transactions still occurring offline as a major growth opportunity.
Looking ahead, MercadoLibre remains focused on growing its ecosystem, particularly in underpenetrated markets like Chile, where its new consumer credit feature is gaining traction.