Bulletin
Investor Alert

Market Pulse Archives

Feb. 3, 2021, 6:20 a.m. EST

Spotify reports revenue that rises above expectations, but provides downbeat outlook; stock falls

new
Watchlist Relevance
LEARN MORE

Want to see how this story relates to your watchlist?

Just add items to create a watchlist now:

  • X
    Spotify Technology S.A. (SPOT)
  • X
    S&P 500 Index (SPX)

or Cancel Already have a watchlist? Log In

By Tomi Kilgore

Spotify Technology S.A. /zigman2/quotes/207488629/composite SPOT -2.58% reported Wednesday a narrower-than-expected fourth-quarter loss, as revenue and monthly active users (MAUs) topped forecasts, but provided a downbeat first-quarter revenue outlook. The U.S.-listed shares of the Luxembourg-based digital music service dropped 6.7% in premarket trading, after surging 9.5% over the past two days. Net losses widened to EUR125 million ($150.3 million), or EUR0.66 a share, from EUR101 million, or EUR0.58 a share, in the year ago period. The FactSet per-share loss consensus was EUR0.51. Revenue grew 9.8% to EUR2.17 billion ($2.61 billion), beating the FactSet consensus of EUR2.14 billion, as MAUs increased 27% to 345 million to top expectations of 343.8 million. Gross margin of 26.5% was above the top end of the company's guidance range, while free cash flow fell 56% to EUR74 million but beat the FactSet consensus of EUR46.5 million. For the first quarter, the company expects revenue of EUR1.99 billion to EUR2.19 billion, just shy of the FactSet consensus of EUR2.20 billion. The stock has run up 45.9% over the past three months through Tuesday, while the S&P 500 /zigman2/quotes/210599714/realtime SPX +0.36% has gained 13.6%.

/zigman2/quotes/207488629/composite
US : U.S.: NYSE
$ 292.02
-7.72 -2.58%
Volume: 778,025
April 16, 2021 4:00p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$56.17 billion
Rev. per Employee
N/A
loading...
/zigman2/quotes/210599714/realtime
US : S&P US
4,185.47
+15.05 +0.36%
Volume: 2.21B
April 16, 2021 5:15p
loading...

This Story has 0 Comments
Be the first to comment
More News In
Industries

Story Conversation

Commenting FAQs »

Partner Center

Link to MarketWatch's Slice.