Shares of giant music streamer Spotify have jumped 13% in pre-market trading as the company grew premium, subscribers, revenue and profit for the second quarter ended in June.
Monthly active users rose 14% to 626 million and expanded across all regions, although a bit below Wall Street’s guidance. But subscribers jumped 12% to 246 million, beating estimates and driving a 20% just in revenue to 3.8 billion euros driven by the subscriber gains and increases in ARPU (average revenue per user).
Ad-supported revenue grew 13%.
Layoffs and restructuring last year helped keep the company in the black.
Spotify reported a profit of €274 million (about $298 million) driven in part by higher sales and lower marketing but also by “efficiency actions” last year meaning layoffs and restructuring.
https://deadline.com/2024/07/spotify-stock-pops-quarterly-earnings-subscribers-layoffs-1236018525/