Streaming - Spotify increases customer count and makes profit
Spotify, the music streaming company, reported another profit in the second quarter. More people subscribed to the premium offering of the streaming service, as the company announced on Tuesday in Stockholm. The number of so-called premium users increased by 12% compared to the previous year's period and by 3% compared to the previous quarter, reaching 246 million.
The operating result increased significantly, among other things, due to lower marketing and personnel costs compared to the previous quarter, from 168 to 266 million Euro. In the previous year's quarter, there was still an operational loss of a similar magnitude. In total, Spotify made a profit of 274 million Euro after a loss of 302 million Euro the previous year.
Sweden earned approximately 3.8 billion Euro in the second quarter. This is 50% more than in the previous year's quarter and 5% more than in the first quarter. In December, the management almost laid off a fifth of the personnel, including a large part of the employees in the Podcasts department.
- To celebrate their continued success, Spotify announced plans for a modest price increase for their premium streaming service, affecting subscribers worldwide, including those in Stockholm, Sweden.
- Despite the price increase, the customer number for Spotify's premium service continued to grow, with over 246 million users now subscribed to the service, reflecting the enduring appeal of streaming music on platforms like Spotify.
- The stock price of the Swedish-based company, Spotify, saw a notable surge following the announcement of the strong second-quarter results, with analysts predicting even more growth in the music streaming market.4.while navigating the challenges of a global Internet market, Spotify remains committed to delivering high-quality music streaming services and continues to innovate in the realm of podcasts, setting itself apart in the competitive streaming landscape.
