Spotify with higher-than-expected subscriber growth in Q4

Spotify Technology SA (SPOT.US) reported Q4 subscriber growth that exceeded Wall Street expectations, and also reported better-than-expected guidance for the next quarter. In trading before the opening of the US session, its shares gained nearly 6%. 

FIRST QUARTER FORECAST

• Operating profit 180 million euros, forecast 84.6 million euros
• Revenue 3.6 billion euros, forecast 3.64 billion euros
• Monthly active users 618 million, forecast 617.38 million
• Total number of premium subscribers 239 million, forecast 239.05 million
• Gross margin 26.4%, forecast 26.3%

FOURTH QUARTER RESULTS

• Revenue 3.67 billion euros, +16% y/y, forecast 3.72 billion euros
• Premium revenue 3.17 billion euros, +17% y/y, forecast 3.19 billion euros
• Gross margin 26.7% vs. 25.3% y/y, forecast 26.6%
• Monthly active users 602 million, +23% y/y, forecast 602.3 million
• Total number of premium subscribers 236 million, +15% y/y, forecast 235.01 million
• Number of MAUs with advertising 379 million, +28% y/y, forecast 378.96 million
• Average revenue per user 4.60 euros, forecast 4.61 euros
• Loss per share 0.36 euros vs. loss of 1.40 euros y/y
• Operating loss of 75 million euros, -68% y/y

Monthly active users rose 23% to 602 million, the second-largest increase in Spotify's history. 

Source: Bloomberg Financial LP

The company's shares are up 6.7% ahead of the opening of the session. Source: xStation