Technology

Spotify: 320 million users, but financial losses

Spotify released its financial results today. The music streaming service has passed the milestone of 300 million users. There are 320 million in total, an increase of 29% in one year. There are 144 million users with a paid subscription and 176 million users with the free ad-supported plan.

According to Spotify, the nice increase is in large part due to its launch in Russia this summer. He adds that he did a lot of advertising in India, which helped attract people.

After a profit of 241 million euros in the third quarter of 2019, Spotify had to accept a loss of 101 million euros in the period from July to September 2020. This is mainly due to higher operating costs. The group posted sales of almost 1.98 billion euros in the quarter, an increase of 14% within a year. The operating result, in which Spotify expected a loss between 70 and 150 million, was only 40 million euros.

During the quarter, “total consumption hours exceeded pre-Covid levels,” notes Spotify. All regions have returned to the countryside.

In addition to finances and number of users, Spotify also talks about podcasts. The streaming service has been relying heavily on it for several quarters. It now has 1.9 million podcasts, up from 1.5 million in the previous quarter. He adds that 22% of his users have interacted with a podcast, up from 22% before.