The Spotify earnings report for the fourth quarter of 2018 has SPOT stock down on Wednesday.
Spotify (NYSE:SPOT) reported revenue of $1.70 billion for the fourth quarter of the year. This is an increase over the company’s revenue of $1.36 billion from the same time last year. However, it was a blow to SPOT stock by just missing Wall Street’s revenue estimate of $1.71 billion for the quarter.
Earnings per share in the Spotify earnings report for the fourth quarter of 2018 came in at 41 cents. This is better than the company’s losses per share of $4.40 from the fourth quarter of 2017. It also beat out analysts’ losses per share estimate of 22 cents for the period, but couldn’t keep SPOT stock from falling today.
Net income reported by Spotify for the fourth quarter of the year came in at roughly $502.00 million. This is up from the company’s net loss of about $677 million reported during the same period of the year prior.
Spotify says the positive earnings for the quarter largely have to do with its growing user base. This includes monthly active users increasing 29% during the quarter. It also saw premium subscribers go up by 36% in the fourth quarter of 2018.
The most recent Spotify earnings report also includes its outlook for 2019. The music streaming company is expecting revenue for the year to range from $7.22 billion to $7.73 billion. Wall Street is estimating revenue of $7.66 billion for the full year of 2019.
SPOT stock was down 4% as of Wednesday afternoon.
As of this writing, William White did not hold a position in any of the aforementioned securities.