Spotify revenue beats on higher subscriber addition

FILE PHOTO: The Spotify logo is displayed on a screen on the floor of the New York Stock Exchange (NYSE) in New York, U.S., May 3, 2018. REUTERS/Brendan McDermid/File Photo

(Reuters) – Spotify Technology SA (SPOT.N) on Wednesday reported better-than-expected second-quarter revenue as the music streaming company added more paid subscribers to its premium service.

Spotify said it now has 108 million premium subscribers, up 30% from a year earlier. Revenue from premium subscribers, which account for nearly 90% of its overall revenue, rose to 1.50 billion euros ($1.67 billion) in the quarter.

Since launching its service more than a decade ago, Spotify has overcome resistance from big record labels and some major music artists to transform how people listen to music.

However, it still faces intense competition from Apple Inc (AAPL.O) and others.

Revenue rose to 1.67 billion euros for the three months ended June 30 from 1.27 billion euros a year earlier, beating analysts’ estimates of 1.64 billion euros, according to IBES data from Refinitiv.

Net loss attributable narrowed to 76 million euros, or 0.42 euros per share, compared with 394 million euros, or 2.20 euros per share, a year earlier.

Reporting by Sayanti Chakraborty in Bengaluru; Editing by Arun Koyyur

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source: reuters.com