Overview
- Spotify reported Thursday that Q3 results included 306 million Premium subscribers, 788 million monthly active users, roughly €5.0 billion in revenue and €672 million in operating income.
- Management guided to stronger Q4 performance with a target of 316 million Premium subscribers, €5.2 billion in revenue and €820 million in operating income, a forecast that sent the stock sharply higher.
- The company said it will expand audiobooks from 22 markets to more than 180 by year‑end and roll out Creator Memberships in 34 markets plus the Partner Program in 35 additional markets to broaden creator revenue.
- Spotify is embedding AI into discovery and interfaces, announced integration with Meta’s Muse, and disclosed licensing deals with labels and distributors to offer a paid remix/AI tool that lets participating artists approve uses and earn royalties.
- Executives framed higher near‑term marketing, cloud and AI spend as temporary while saying improved gross margin and operating income show the business moving toward more predictable profit and diversified revenue for creators and users.