Revenues at Spotify jumped by 11% last quarter as the audio giant was able to stem the flow of operating losses from Q2.
The Sweden-headquartered outfit’s Q3 turnover shot up to €3.36 billion ($3.57 billion), an 11% year-on-year boost and 6% rise from the prior quarter.
Total monthly active users also rose by an impressive 26% to 574 million, coming at a time when Spotify, as with other major platforms, has increased prices. Subscribers to the premium tier also grew by 16% to 226 million year-on-year, which Spotify said was 2 million above guidance.
In good news for shareholders, Spotify posted a small operating profit of €32 million, reversing the vast losses of the previous quarter, which totalled €247 million. Gross profit for Q3 was up 18% to €885 million.
The prior quarter saw Spotify’s biggest ever boost in monthly active users to 551 million and an 11% revenue increase, but the losses were vast, increasing by €135 million in one-time charges including severance and other write-downs.
Spotify bosses are set to address shareholders and press in the next couple of hours.
Since then, Spotify has made a major push into the audiobook sector, adding more than 150,000 titles to its existing Premium subscription plans, which have gone up in price.