Tag: IR

Spotify Reports First Quarter 2024 Earnings

April 23, 2024

Today, we announced our first quarter 2024 earnings. In a solid start to the year, Spotify reported…

  • Monthly Active Users grew 19% Y/Y to 615 million.
  • Subscribers increased 14% Y/Y to 239 million.
  • Total Revenue was up 20% Y/Y to €3.6 billion.
  • Gross Margin reached 27.6%.
  • Operating Income improved to €168 million.

“We’ve talked about 2024 as the year of monetization and we’re delivering on that ambition,” said Spotify co-founder and CEO Daniel Ek. “Now as we’ve shifted to focus on strong revenue growth and margin expansion, we see a clear opportunity to ensure we are also continuing to grow the top of our funnel. I feel good about the changes we are implementing and remain very confident in our ability to reach the ambitious plans we’ve outlined.”

Interested in hearing more? Click here to review the full earnings release, and listen to the webcast Q&A on our Investor Relations site here.

Spotify Reports First Quarter 2023 Earnings

April 25, 2023

Today, Spotify announced our first quarter 2023 financial performance, showing outperformance across nearly all key performance metrics. Take a look at the highlights below:




We had our strongest Q1 since going public in 2018, with nearly all our KPIs surpassing expectations:

  • Monthly Active Users grew by 22% year-over-year to 515 million driven by strength in both developed and developing markets, and nearly all age groups. 
  • Premium Subscribers grew 15% year-over-year to 210 million with outperformance across all regions, led by Europe and Latin America.
  • Total Revenue grew 14% year-over-year to €3.0 billion, led by Subscriber gains.
  • Gross Margin finished at 25.2%, reflecting improved music and podcast profitability.
  • Operating (Loss)/Income finished at €(156) million, aided by lower marketing spend.

Interested in hearing more? Click here to review the full earnings release and listen to the webcast Q&A on our Investor Relations site here. 

Click below to check out a sizzle reel of audio trailers from a few of our recent original and exclusive podcasts.

Spotify Continues to Ramp Up Platform Safety Efforts with Acquisition of Kinzen

October 5, 2022

Spotify and Kinzen logos

Listen to this story read aloud in 2 minutes and 15 seconds. 


Today, Spotify is excited to share that we have acquired Dublin, Ireland-based Kinzen, a global leader in protecting online communities from harmful content. Kinzen’s advanced technology and deep expertise will help us more effectively deliver a safe, enjoyable experience on our platform around the world. 

Spotify’s current partnership with Kinzen, which began in 2020, has been critical to enhancing our approach to platform safety. The company’s unique technology is particularly suited for podcasting and audio formats, making its value to Spotify clear and unmatched. The technology the Kinzen team brings to Spotify combines machine learning and human expertise—backed by analysis from leading local academics and journalists—to analyze potential harmful content and hate speech in multiple languages and countries. 

“We’ve long had an impactful and collaborative partnership with Kinzen and its exceptional team. Now, working together as one, we’ll be able to even further improve our ability to detect and address harmful content, and importantly, in a way that better considers local context,” said Dustee Jenkins, Spotify’s Global Head of Public Affairs. “This investment expands Spotify’s approach to platform safety, and underscores how seriously we take our commitment to creating a safe and enjoyable experience for creators and users.”

Given the complexity of analyzing audio content in hundreds of languages and dialects, and the challenges in effectively evaluating the nuance and intent of that content, the acquisition of Kinzen will help Spotify better understand the abuse landscape and identify emerging threats on the platform.

“The combination of tools and expert insights is Kinzen’s unique strength that we see as essential to identifying emerging abuse trends in markets and moderating potentially dangerous content at scale,” said Sarah Hoyle, Spotify’s Head of Trust and Safety. “This expansion of our team, combined with the launch of our Safety Advisory Council, demonstrates the proactive approach we’re taking in this important space.”

Investor Day 2022

June 8, 2022

Today, Spotify hosted our second Investor Day, updating the financial community on the progress we’ve made since our direct listing. Additionally, we shared details about how we’ll continue to innovate and grow over the short and long term. The event, which was held at our New York City office, featured presentations by Spotify’s Chief Executive Officer Daniel Ek, Chief Financial Officer Paul Vogel, and members of the company’s global leadership team.

Spotify Is Building on Megaphone’s Capabilities With the Acquisition of Whooshkaa

December 16, 2021

Over the last two years, Spotify has been focused on modernizing digital audio advertising to drive growth for creators and publishers while delivering impact for advertisers. In November 2020, we acquired Megaphone, which enabled us to offer podcast publishers innovative tools to help them earn more from their content. Throughout 2021, we unveiled new features for Streaming Ad Insertion, unlocked podcast ad buying in Spotify Ad Studio, and introduced the Spotify Audience Network. Since the launch of the Audience Network, we’ve seen a double-digit increase in fill rates and a double-digit lift in CPMs for opted-in Megaphone publishers. 

Simply put, by modernizing ad monetization for podcasts, we’ve been able to help enterprise podcast publishers grow their businesses, with nearly one in five Spotify advertisers now participating in the marketplace.

We’re committed to continuing to help publishers worldwide grow their podcast businesses. That’s why today we’re announcing our acquisition of Whooshkaa, an Australia-based podcast technology platform that gives independent creators, publishers, broadcasters, and brands a cost effective, end-to-end platform to host, distribute, monetize, and track on-demand audio. Whooshkaa offers radio broadcasters a specialized tool that makes it simple to turn their existing audio content into on-demand podcast content. As part of the acquisition, we plan to soon integrate this technology into the Megaphone suite. 

Here’s what it means for publishers and advertisers.

Supercharging publishing

Megaphone, the podcast platform of choice for leading enterprise publishers like AdLarge Media, the Wall Street Journal, and the Australian Radio Network, offers a comprehensive suite of powerful podcasting tools that can help publishers create, monetize, and measure their podcast businesses alongside our white-glove customer service. With the integration of Whooshkaa’s broadcast-to-podcast technology into Megaphone, radio broadcasters will be able to more easily and quickly turn their existing audio content into a podcast and access Megaphone’s industry-leading, differentiated suite of tools and technology.

Growing audience for advertisers

Audiences worldwide are tuned in to digital audio at record rates, with no signs of slowing. As the world’s most popular audio platform, Spotify is the place for advertisers to reach them.

With the Spotify Audience Network, advertisers are able to target audiences listening across our network of podcasts, including Spotify Originals & Exclusives, and third-party content via Megaphone and Anchor. Integrating Whooshkaa’s innovative broadcast-to-podcast technology means we’ll be able to bring even more third-party content into the Spotify Audience Network, helping advertisers to connect with even more audiences.

Just getting started

We believe we’re on the precipice of immense growth for the entire digital audio industry. To learn more about what the acquisition means for radio broadcasters, check out Megaphone.FM.

 

Forward-Looking Statements

We would like to caution you that certain of the above statements represent “forward-looking statements” as defined in Section 27A of the United States Securities Act of 1933, as amended, and Section 21E of the United States Securities Exchange Act of 1934, as amended. The words “will,” “expect,” and similar words are intended to identify forward-looking statements. Examples of forward-looking statements include, but are not limited to, statements we make regarding the potential benefits of the acquisition and the anticipated timing of the closing of the acquisition. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 and include this statement for purposes of complying with the safe harbor provisions. Such forward-looking statements involve significant risks, uncertainties and assumptions that could cause actual results to differ materially from our historical experience and our present expectations or projections, including but not limited to the risks as set forth in our filings with the United States Securities and Exchange Commission. We undertake no obligation to update forward-looking statements to reflect events or circumstances occurring after the date hereof.

Spotify to Acquire Leading Audiobook Platform Findaway

November 11, 2021

In 2019, Spotify announced its ambition to become the world’s leading audio platform with an expansion into podcasting through the acquisitions of Anchor and Gimlet. Since then, Spotify has not only become a leading platform for podcast creators and listeners, but also expanded on the very format of podcasting itself: taking a fixed format and making it a new audio experience. And today we are taking another step in furthering this mission to build the future of audio by announcing that Spotify has entered into a definitive agreement to acquire Findaway, a global leader in digital audiobook distribution.

“It’s Spotify’s ambition to be the destination for all things audio both for listeners and creators. The acquisition of Findaway will accelerate Spotify’s presence in the audiobook space and will help us more quickly meet that ambition,” said Gustav Söderström, Spotify’s Chief Research & Development Officer. “We’re excited to combine Findaway’s team, best-in-class technology platform, and robust audiobook catalog with Spotify’s expertise to revolutionize the audiobook space as we did with music and podcasts.”

Findaway works across the entire audiobook ecosystem with a platform and offerings that serve authors, publishers, and consumers of this rapidly growing industry, which is expected to grow from $3.3 billion to $15 billion by 2027. In addition to offering the largest catalog of distributed titles, Findaway has actively worked to democratize audiobooks through leading technology tools available for independent authors to create and bring their stories to life. We plan to build on Findaway’s significant innovation in the space, and we’re going to supercharge its growth, bringing everything Spotify knows around personalization and discovery while also innovating on format, delivery, creator tools, and more.

Together, Spotify and Findaway will accelerate Spotify’s entry into the audiobook space and continue to innovate the industry, working to remove current limitations and unlock better economic tools for creators. Findaway’s technology infrastructure will enable Spotify to quickly scale its audiobook catalog and innovate on the experience for consumers, simultaneously providing new avenues for publishers and authors to reach audiences around the globe.

*Terms of the transaction were not disclosed. It is expected to close in the fourth quarter of 2021 and is subject to regulatory review and approval. 

 

Forward-Looking Statements

We would like to caution you that certain of the above statements represent “forward-looking statements” as defined in Section 27A of the United States Securities Act of 1933, as amended, and Section 21E of the United States Securities Exchange Act of 1934, as amended. The words “will,” “expect,” and similar words are intended to identify forward-looking statements. Examples of forward-looking statements include, but are not limited to, statements we make regarding the potential benefits of the acquisition and the anticipated timing of the closing of the acquisition. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 and include this statement for purposes of complying with the safe harbor provisions. Such forward-looking statements involve significant risks, uncertainties and assumptions that could cause actual results to differ materially from our historical experience and our present expectations or projections, including but not limited to the risks as set forth in our filings with the United States Securities and Exchange Commission. We undertake no obligation to update forward-looking statements to reflect events or circumstances occurring after the date hereof.

Spotify Reports First Quarter 2021 Earnings

April 28, 2021

Today, Spotify announced our first quarter 2021 financial performance. Click here to review the full earnings release, and click here to read Daniel’s remarks from the analyst Q&A. Take a look at the highlights below:

Interested in hearing more? You can listen to the webcast Q&A on the IR site here. 

Click below to check out a sizzle reel of audio trailers from a few of our recent original and exclusive podcasts. 

Spotify Reports Third Quarter 2020 Earnings

October 29, 2020

Today, Spotify announced our third quarter 2020 financial performance. Click here to review the full earnings release, and take a look at the highlights below:

Interested in hearing more? You can listen to the webcast Q&A on the IR site here. 

Click below to check out a sizzle reel of audio trailers from a few of our recent original and exclusive podcasts.