Spotify, a streaming music service provider in Sweden, today released its financial report for the first quarter of 2021. The financial report showed that Spotify’s total revenue for the first quarter was 2.147 billion euros (approximately US$2.591 billion). ), a year-on-year increase of 16%.
The net profit attributable to the company’s shareholders was 23 million euros, compared with a net loss of 125 million euros in the same period last year.
Financial Performance for the first quarter:
Total revenue was 2.147 billion euros (approximately 2.591 billion US dollars), a year-on-year increase of 16%. Gross profit was 548 million euros, compared with 575 million euros in the same period last year.
The gross profit margin was 25.5%, reaching the upper limit of the company’s guiding expectations. Among them, the gross profit margin of payment services was 27.9%, a year-on-year decrease of 42 basis points. The gross profit margin of the advertising-based business was 4.4%, a year-on-year increase of 1,100 basis points.
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Operating expenses were 534 million euros, a year-on-year increase of 9%. Operating profit was 14 million euros, compared with an operating loss of 69 million euros in the same period last year.
The net profit attributable to the company’s shareholders was 23 million U.S. dollars, compared with a net loss of 125 million Euros in the same period last year. As of the end of the first quarter, Spotify had 6,794 full-time employees worldwide.
Operational performance in the first quarter:
MAU (Monthly Active Users) was 356 million, a year-on-year increase of 24%. In the first quarter, Spotify added 11 million MAUs. The number of paying users reached 158 million, a year-on-year increase of 21%. In the first quarter, Spotify added nearly 4 million subscribers.
For paying users, the average revenue per user (ARPU) in the first quarter was EUR 4.12, a decrease of 7% year-on-year. If the exchange rate remains unchanged, it will only fall by 1% year-on-year, compared with a 3% year-on-year decline in the fourth quarter of last year.
Performance Outlook:
Spotify predicts that the number of monthly active users (MAU) in the second quarter of 2021 will reach 366 million to 373 million; the number of paying users will reach 162 million to 166 million; total revenue will reach 2.16 billion to 2.36 billion euros; gross profit margin will be Reach 23.6% to 25.6%, the operating loss will reach 134 million euros to 54 million euros.
Throughout 2021, the number of monthly active users will reach 402 million to 422 million; the number of paying users will reach 172 million to 184 million, total revenue will reach 9.11 billion to 9.51 billion euros, the gross profit margin will reach 24.0% to 26.0%; Operating losses will reach 250 million euros to 150 million euros.
