Spotify Closed 2021 With 180M Subscribers, $3B Revenue in Q4
Spotify finished 2021 with 180 million subscribers and a strong gain in advertising revenue, the company revealed Wednesday (Feb. 2) in its fourth quarter earnings report.
Total revenue was 2.69 billion euros ($3.04 billion), slightly above guidance of 2.54 billion to 2.68 billion euros, representing 24% growth year-over-year.
Subscription revenue was 2.3 billion euros, up 22% year-over-year. Advertising revenue was 394 million euros, up 40% year over year and 22% sequentially.
The 180 million subscribers were at the high-end of its previous guidance, representing a 7% increase from the third quarter and 18% more than a year earlier.
Average revenue per user was 4.40 euros in the fourth quarter, up 1% from 4.34 euros in the third quarter.
Spotify’s Financial Metrics (Q4 2021 vs. Q4 2020)
- Revenue: 2.3 billion euros, up 24% year over year from 2.17 billion euros
- Gross margin: 26.5%, no change from the prior-year quarter
- Operating loss: 7 million euros, an improvement from a 69-million euros loss
- Free cash flow: 103 million euros, up from 74 million euros
Listener Metrics (Q4 2021 vs. Q3 2021)
- Paid subscribers: 180 million, up 5% from 172 million in Q3 2021
- Ad-supported listeners: 236 million, up 7% from 220 million in Q3 2021
- Total monthly active users (MAUs): 406 million, up 7% from 381 million in Q3 2021
- Average revenue per subscriber: 4.40 euros, up from 4.34 euros in Q3 2021
Q1 2022 guidance
- Revenue: 2.6 billion euros
- Subscribers: 183 million
- MAUs: 418 million
This story is developing.
