Spotify gains more subscribers than expected

In the race with Apple and Amazon, Swedish music streaming service Spotify has come out on top, performing unexpectedly strongly in the Christmas quarter. The number of premium subscribers, which account for almost 90 percent of revenue, skyrocketed 29 percent to 124 million.

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This was announced by the company on Wednesday. Sales from October to December rose to 1.86 billion euros, compared to 1.5 billion a year ago, almost reaching analysts' estimates. However, due to increased marketing costs, earnings per share were negative at 1.14 euros.

Spotify has a big lead over its two closest competitors: Apple Music had more than 60 million subscribers in June and Amazon had more than 55 million worldwide.

In the first quarter, Spotify expects total premium subscribers in a range between 126 and 131 million, hitting estimates of 128 million. When it comes to revenue, however, the experts were more optimistic: Spotify is targeting revenues of between €1.71 billion and €1.91 billion, while analysts expect sales of €1.90 billion. (SDA)

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