Spotify reached 300 million premium subscribers in the second quarter, the company said on Tuesday, as revenue rose 14 per cent year on year to €4.78 billion, about $5.5 billion. Shares fell after the company reported higher costs tied to new AI features and forecast subscriber growth slightly below Wall Street expectations.
The Swedish audio streamer added seven million premium subscribers in the quarter, one million more than its own guidance, with increases across all its global regions, according to its second-quarter results published on 4 August.
Monthly active users grew 12 per cent year on year to 777 million, one million short of the company’s prior guidance. Spotify added 16 million users overall during the quarter.
Net income was €545 million, or €2.61 a share, against a loss of €86 million a year earlier. Revenue rose from €4.19 billion, and gross margin reached a record 33.4 per cent. Operating income was €655 million.
Spotify executives have said the company is moving into an era of AI generation, spanning recommendations and features such as “personal podcasts” built around users’ interests.
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