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Introduction

Spotify has published its fourth-quarter and full-year results, detailing both the company's financial position and its operating details.

Highlights

  • Revenue continued to rise at a healthy rate, and for the first time, operating income, net income, and free cash flow were all positive.
  • Totals for premium subscribers and monthly active users (MAUs) all hit the company's guidance. Average revenue per user (ARPU) edged up in the quarter compared with the previous three months but was down on the prior-year period because of the popularity of the Family Plan and Student Plan.

Features and Benefits

  • Details Spotify's final-quarter and full-year financial results.
  • Examines all the published operating metrics and notes the acquisitions of podcast companies Gimlet Media and Anchor.

Key questions answered

  • How did Spotify fare in the final quarter of last year compared with the guidance provided during the third-quarter results?
  • What was the main reason for the boost in subscriber numbers in the final quarter of 2018?

Table of contents

Ovum view

  • Summary
  • Final-quarter profit boost for Spotify
  • User numbers top prior quarter guidance
  • New rollouts boost emerging market take-up

Appendix

  • Author

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