Spotify Adds Record Number of Users in Quarter, Paid Subscribers Hit 268 Million

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In the first quarter, Spotify saw a rise of 11% in its paid subscribers compared to the same period last year, reaching a total of 268 million. This figure surpassed expectations by an impressive three million users.

The user base on our music and podcasting platform increased significantly last month, reaching a total of 675 million active users – an impressive 12% increase compared to the same period last year. This marks the highest number of new subscribers we’ve ever added! Additionally, we surpassed expectations by adding an extra 10 million users. Our revenue for the quarter was €4.2 billion, a 16% increase year-over-year, and we came in above projected earnings. To top it off, our operating income hit a record high of €477 million this period.

The increase in monthly active users is primarily driven by Spotify’s “rest of the world” and Latin American markets, yet growth is observed in all geographical areas.

The increase in ad-supported income by 8% compared to last year was primarily fueled by a rise in music and podcast advertising due to more ads being sold. However, this growth was partially counterbalanced by a decrease in pricing and strategic optimization of our podcast inventory within our own and licensed collection.

The company’s operating income fell slightly short of expectations, amounting to €96 million more in social charges than anticipated, with this excess being due to an unexpected increase in share price appreciation during the quarter by approximately €80 million.

The figures emerge following Spotify’s first financially successful year and a price adjustment in July 2024. Additionally, Spotify has been expanding its horizons into video podcasts, housing approximately 330,000 such shows on the platform, with around 270 million users having streamed a video podcast via Spotify. The platform is also seeing an increase in audiobook content, offering around 350,000 books for individual purchase.

In the second quarter, Spotify projects to reach approximately 689 million active users worldwide, representing an increase of around 11 million new users during this period. Additionally, they anticipate having about 273 million subscribers who pay for their service, with roughly 5 million more expected to join in the quarter.

Daniel Ek, Spotify’s Founder & CEO, expressed great enthusiasm for 2025 and a sense of satisfaction with the company’s progress, both in terms of its product and overall business. He plans to keep making strategic moves that will have lasting effects, aiming to boost our pace while preserving the efficiency we demonstrated last year. This dual approach is what will empower us to create an exceptional user experience, foster sustainable growth, and bring more creativity into the world.

More to come.

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2025-04-29 14:54