Spotify collapses on the stock market after worse than expected results

the platform of music swedish Spotify it collapsed on the stock market this Tuesday after announcing worse-than-expected quarterly results and announcing increases in the price of its subscriptions.

Past the equator of the day in Wall Streetthe company’s shares fell more than 14%, deepening the clear setbacks with which they had already started the session.

Spotify lost 302 million euros (about 333 million dollars) in the second quarter of 2023, more than double the negative 125 million in the same period last year, despite growing revenue and users.

The platform’s turnover grew by 11% between April and June 2023 compared to the same period in 2022, up to 3,117 million, thanks to the growth in subscribers and the increase in revenue from advertising, according to the data published this Tuesday.

Specifically, the Swedish company billed 2,773 million for its premium services (11% more), while its advertising revenue grew 12% year-on-year, to 404 million.

The accounts and also Spotify’s forecasts for the remainder of the year disappointed the markets, which yesterday had already punished their actions after the company announced increases in the price of your subscriptions.

As he said today during his results presentation, Spotify expects that these increases of between one and three euros per month in more than 20 countries will not have a significant impact on the number of subscribers, which he expects will grow by 4 million over the next quarter, up to 224 million worldwide.

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