Spotify's Q3 turnaround

Spotify achieved a profit of €32 million in Q3 2023, marking its first profitable quarter in two years, following a successful strategic price increase for its premium service in multiple markets.

Source: Pexels

Factors contributing to profitability include a higher gross margin and lower-than-expected expenses in marketing and personnel.

Source: Pexels

Spotify saw substantial growth with 23 million additional monthly active users (MAUs) in Q3 2023, reaching a total of 574 million users, with significant growth in Latin America.

Source: Pexels

Paying subscribers increased by 16% year-on-year, totaling 226 million, due to promotional campaigns and strong market performance following price hikes.

Source: Pexels

Subscription revenue increased by 10%, reaching €2.91 billion, while Spotify's advertising business also saw growth, accounting for about 13.3% of the company's revenues.

Source: Pexels