Spotify Makes Profit , As Premium Subscribers Increase.
Although the company gained fewer new users than it anticipated in Q1 2024, Spotify boasted "record strength" in profitability, 'Variety' reports.
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"Moderating marketing activity" produced "more normalized growth," Spotify said.
Compared to the same time last year, total active monthly users grew 19%.
"Organizational change" in the form of layoffs disrupted operations as well, CEO Daniel Ek said.
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However, year-over-year Premium customer gains were at 14%.
Q1 2024 revenue rose 19.5%, and gross profit exceeded $1 billion.
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We’ve talked about 2024 as the year of monetization, and we’re delivering on that ambition, Spotify CEO Daniel Ek, via statement.
Now as we’ve shifted to focus on strong revenue growth and margin expansion, we see a clear opportunity to ensure we are also continuing to grow the top of our funnel.
, Spotify CEO Daniel Ek, via statement.
I feel good about the changes we are implementing and remain very confident in our ability to reach the ambitious plans we’ve outlined, Spotify CEO Daniel Ek, via statement
