Home > Industry > Finance > Spotify Revenue Up But New Subs Numbers Fail To Impress

Spotify Revenue Up But New Subs Numbers Fail To Impress

Music streaming platform Spotify’s lower-than-expected additional paid subscriber numbers sent its shares plunging by as much as 5% lower in trading before the bell.

While premium subscriber numbers rose 30 percent from a year earlier to 108 million, the figure narrowly missed analysts’ expectation of 108.5 million.

CEO Daniel Ek told shareholders the company expected to “make up lost ground before year-end.”

Revenue from premium subscribers, which accounted for nearly 90% of its overall revenue, rose to 1.50 billion euros (A$2.43 billion) in the second quarter.

Ek said Spotify delivered 31% year-over-year subscriber growth, “which we believe is roughly twice the rate of growth of our closest competitor.”

You may also like
ASIC To Investigate ASX Crash
Could Spotify Become Netflix For Audio?
Apple Watch Users Finally Get Important Streaming Update
Spotify Slams Apple Over Anticompetitive ‘One’ Bundle Plan
Arcam Launches Dedicated Music Streamer