Spotify has 20 percent more active users, suffers a loss of 228 million euros

Spotify had about 456 million active users worldwide in the quarter, including nearly 200 million paid subscribers. Turnover also grew significantly compared to the same quarter last year, although the music service nevertheless recorded a significant loss.

In the third quarter of 2022, Spotify achieved a turnover of more than 3 billion euros, of which almost 2.7 billion was earned from subscriptions for the music service, according to the report. latest quarterly figures. That is an increase of more than 20 percent compared to the same quarter last year. There were also about 20 percent more active users.

Despite these apparently positive results, Spotify failed to make a profit; an operating loss of EUR 228 million was incurred in the past quarter, while a profit of EUR 75 million was recorded in the same quarter last year. According to Spotify, the disappointing numbers have three causes. On the one hand, personnel costs would have increased significantly due to recent expansions. In addition, advertisements would have become more expensive and exchange rates would have had a negative effect. The company also says it is investing heavily in podcasts and audiobooks.

Commenting on the Q3 2022 quarterly results, CEO Daniel Ek said he was considering a price hike for the US market, so reports Variety. The company says it is currently discussing this with affiliated record labels. It is not clear how much more expensive the subscriptions will be and whether such a price increase is also planned for the European market.