Spotify Beats Forecasts for Subscriber Growth; Shares Surge
- Spotify posts second-largest gain ever for the quarter
- Company has been cutting costs in drive to become profitable
This article is for subscribers only.
Spotify Technology SA, the music-streaming giant, reported subscriber growth that surpassed Wall Street’s expectations amid international growth. Shares surged 9.8% to $245.12 at 9:41 a.m. in New York, the most since October.
Premium subscribers rose to 236 million in the fourth quarter, the company said Tuesday in a statement, beating the 235-million average of analysts’ estimates compiled by Bloomberg. Monthly active users jumped 23% to 602 million — Spotify’s second-largest gain ever for the quarter, the company said. Revenue was roughly in line with estimates.