Sweden-headquartered audio streaming platform, Spotify, recorded a 20% increase in total revenue to €3.6 billion in Q1, 2024 from €3042 million in Q1, 2023. The gross profit widened by 31% to €1 billion in Q1,2024 from €766 million in the corresponding year. “We’ve talked about 2024 as the year of monetization and we’re delivering on that ambition. Now as we’ve shifted to focus on strong revenue growth and margin expansion, we see a clear opportunity to ensure we are also continuing to grow the top of our funnel. I feel good about the changes we are implementing and remain very confident in our ability to reach the ambitious plans we’ve outlined,” Daniel Ek, co-founder and CEO, Spotify, said.
The company further highlighted a 19% year-on-year growth in monthly active users to 615 million. In contrast, premium subscribers grew by 14% year-on-year to 239 million from 210 million in Q1, 2023, led by growth in family and duo plans.
According to the data released by Spotify, operating expenses dropped by nine percent to €836 million from €922 million. The company expects the addition of 16 million new monthly active users in the next quarter. Additionally, the company is expecting an addition of six million new subscribers in the next quarter.
