Spotify announced their second quarter 2023 financial performance.
Spotify had a very strong quarter. We beat guidance and welcomed more users and subscribers than expected, with growth continuing to come from markets all over the world.
As we previewed on the Q1 earnings call, we expected to incur charges in the second quarter related to our ongoing efforts to become a more efficient and stronger business. These were excluded from the Q2 guidance we provided last quarter.
- Monthly Active Users surged 27% to 551 million. Net additions of 36 million were 21 million ahead of guidance and represent an all-time high for the company.
- Subscribers grew 17% Y/Y to 220 million. Net additions of 10 million were 3 million ahead of guidance and represent the highest Q2 in company history.
- Total Revenue grew 11% Y/Y to €3.2 billion, in-line with guidance.
- Adjusted Gross Margin** finished in-line with guidance at 25.5% excluding charges related to our actions in the quarter to streamline operations and reduce costs.
- Adjusted Operating Loss** of (€112) million was better than guidance, excluding charges related to our actions in the quarter to streamline operations and reduce costs.