Spotify Reports Record User Growth
Spotify Technology (NYSE: SPOT) announced a record addition of 38 million monthly active users in the fourth quarter of 2023, surpassing management’s expectations, bringing its total user base to 751 million. The company’s fourth-quarter revenue reached €4.5 billion, marking a 13% year-over-year increase on a constant currency basis.
Despite strong performance, Spotify shares have dropped about 17% year-to-date, currently trading around $483, down from a 52-week high of $785. The company reported a gross margin of 33.1%, an increase of 83 basis points from the previous year, indicating improving profitability amidst concerns over rising competition in the audio streaming industry.
