Spotify posts record profit in first quarter

Spotify s among the winners connected Wall Street since the commencement of the year, with its stock terms up 34 percent. Photo: Kirill KUDRYAVTSEV / AFP/File
Source: AFP

Music streaming elephantine Spotify connected Tuesday reported a 12-percent emergence successful paying subscribers successful the archetypal 4th to 268 million, on with a grounds operating profit.

"The underlying information astatine the infinitesimal is precise healthy: engagement remains high, retention is strong, and acknowledgment to our freemium exemplary (of escaped and paying users), people person the flexibility to enactment with america adjacent erstwhile things consciousness much uncertain," Spotify main enforcement Daniel Ek said successful a statement.

The Swedish radical had 678 cardinal progressive users astatine the extremity of March, up by 10 percent from a twelvemonth agone and successful enactment with its guidance.

The fig of paying subscribers, which relationship for astir of Spotify's revenue, grew to 268 million, somewhat higher than its guidance of 265 millions.

Operating nett soared by 203 percent to 509 cardinal euros ($580 million), but it was little than its forecast of 548 cardinal euros.

The fig "was beneath guidance arsenic gross nett spot and little unit ... and selling costs were much than offset by 76 cardinal (euros) successful societal charges," the radical said.

Sales roseate by 15 percent to 4.19 cardinal euros.

According to the Financial Times, Spotify is preparing to rise its prices successful dozens of countries successful Europe and Latin America this summer.

Spotify logged its archetypal ever yearly nett successful 2024 of 1.1 cardinal euros, arsenic it brought costs nether power and raised fees for paying subscribers successful respective markets, including the United States.

The Swedish institution is among the winners connected Wall Street since the commencement of the year, with its stock terms up 34 percent.

Source: AFP