Spotify shares, which have been on a tear since last year, are up 10% premarket on a strong fourth quarter that saw users and subscribers grow and the global music giant post a full-year profit for the first time since it launched in 2008.
The Stockholm-based streaming music giant added 35 million monthly active users to 675 million, a record fourth quarter for Spotify and 10 million above forecasts. Subscriber net additions of 11 million (to 263 million) also significantly outperformed, surpassing guidance by 3 million.
CEO Daniel Ek, on a call with analysts after the numbers, called “2024 was a year where we really showed what we are capable of.”
The current year is one where were the platform will “double down on music,” he said, calling 2025 “the year of accelerated execution.”
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Revenue jumped 16% to 4.2 billion euros ($4 billion), ahead of plans on favorable currency movements and underlying strength in the business.
The fourth quarter swung to a profit of 367 million euros ($379 million) from a loss the year before but was a bit light versus expectations on social charges of euros 96 million. Those are payroll taxes linked in part to stock-based compensation that can rise when the stock does.
The company last year settled into its biggest Spotify Wrapped campaign ever, which it said delivered record-high user engagement (+10% Y/Y) across 184 markets and 53 languages. The 2024 campaign included personalized data stories and playlists, a custom AI DJ Wrapped experience, Artist and Podcaster Clips and editorial playlists and insights.
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The post Spotify CEO Daniel Ek Calls 2024 “A Year We Really Showed What We Are Capable Of” As Q4 Sings, Stock Pops appeared first on Deadline.
