Spotify reported second quarter results with revenue of €4.8 billion, up 14% year-over-year and in-line with guidance. The company reached a milestone of 300 million Premium Subscribers, beating its forecast, while total Monthly Active Users of 777 million fell slightly short of expectations. Profitability was a key highlight, with a record Gross Margin of 33.4% and Operating Income of €655 million, both exceeding the company's guidance.
Key Highlights
- Total revenue grew 14% year-over-year to €4.777 billion, or 15% on a constant currency basis.
- Premium Subscribers increased by 7 million in the quarter to reach 300 million, a 9% year-over-year increase that beat guidance.
- Gross Margin expanded to a record 33.4%, up 193 basis points year-over-year, exceeding the company's 33.1% forecast.