Spotify Premium Subscribers Surge to 188M in Q2, Monthly Active Users Hit 433M: Details
Spotify on Wednesday reported second-quarter revenue above analysts’ estimates, helped by a 14% increase in paying subscribers as more users listened to its podcasts, and the company forecast an upbeat current quarter. The Swedish music streaming company reported a 23% increase in revenue to 2.9 billion euros (about 23,550 crore rupees), beating analysts’ expectations of 2.8 billion euros (about 22,740 crores). crores of rupees), according to IBES data from Refinitiv.
Premium subscribers, which make up the bulk of the company’s revenue, rose to 188 million, beating analysts’ expectations of 187 million.
The total number of monthly active users increased by 19% to reach 433 million. Analysts expected 428 million.
Spotify, which had been hiring aggressively in the first two quarters, slowed its workforce growth by 25% from the third quarter, while taking a closer look at marketing activity. Last month, Spotify Technology SA CEO Daniel Ek informed staff via email that the audio streaming company would cut hiring by 25%, according to a source familiar with the email’s content.
Ek said Spotify would continue to hire, although it would slow the pace “and be a bit more cautious” over the next few quarters.
The company forecasts 194 million paid subscribers for the current quarter, in line with expectations. It expects revenue of 3 billion euros (about Rs. 24,360 crore), above estimates of 2.95 billion euros (about Rs. 24,000 crore).
Spotify has bet big on podcasts, investing more than $1 billion to acquire shows like The Joe Rogan Experience and other ventures in a bid to lure users into a booming non-music audio segment. growth.
The company said podcast listeners hit a record in the quarter, with members choosing from 4.4 million podcasts.
The company expects a total number of monthly active users of 450 million in the third quarter.
© Thomson Reuters 2022
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