SPOT Earnings Prediction
The chart below shows how SPOT performed 10 days before and after its earnings report, based on data from the past quarters. Typically, SPOT sees a -7.19% change in stock price 10 days leading up to the earnings, and a -0.80% change 10 days following the report. On the earnings day itself, the stock moves by +6.21%. This data can give you a slight idea of what to expect for the next quarter's release.
SPOT Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
3.99B
18.80%
4.75%
Gross Margin
31.09%
17.94%
6.44%
Operating Margin
11.38%
1097.89%
62.80%
Net Margin
7.52%
287.63%
4.44%
EPS
1.45
339.39%
9.02%
No Data Available
SPOT Earnings Analysis
Spotify Technology S.A. Corporation (SPOT.N) Earnings Conference Call
Positive
Subscriber Growth and Revenue Increase: M AU grew by 14 million to 640 million, and we added 6 million net subscribers, finishing at 252 million.
Revenue Growth 21%: Total revenue grew 21% year-on-year on a constant-currency basis to EUR 4 billion.
Premium Revenue Increase: Premium revenue rose 24% year-on-year on a constant-currency basis, driven by continued subscriber growth and ARPU acceleration associated with price increases.
Advertising Growth Analysis: Our advertising business saw currency-neutral growth of 7% year-on-year, reflecting another quarter of volatile market spending on brand-related campaigns.
Record Free Cash Flow: The free cash flow was a record EUR 700 million, driven by our improved operating income profile as well as net working capital favorability.
Negative
Revenue Growth Slowdown: Total revenue grew 21% year-on-year on a constant-currency basis to EUR 4 billion, indicating a slowdown compared to previous quarters.
Advertising Growth Decline: Advertising business saw currency-neutral growth of 7% year-on-year, reflecting a decline from over 14% previously.
Operating Income Impact Analysis: Operating income was impacted by EUR 54 million in social charges, which were EUR 39 million higher than forecast due to share price appreciation.
Free Cash Flow Decline: The free cash flow was a record EUR 700 million, down from EUR 711 million in the previous quarter, indicating a slight decline in cash generation.
Advertising Revenue Discrepancy: The advertising revenue growth is lagging behind MAU growth, suggesting a disconnect between user engagement and monetization.
SPOT FAQs
How does SPOT typically perform around its earnings report dates?
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SPOT Earning Call Sentiment
Spotify Technology S.A. (SPOT) Q3 2024 Earnings Call Transcript
1.0x
00:00
00:00
SPOT.N
0.7%Positive
The earnings call summary provides a mixed outlook. Positive elements include strong subscriber growth, product expansion, and optimistic guidance for Q3. However, there are concerns about slower advertising revenue growth and unclear responses on key strategic questions, such as the Super Premium offering and music royalties. Additionally, the company's focus on growth with profitability in 2025 suggests a long-term rather than immediate impact. The Q&A section reveals management's confidence but also highlights uncertainties. Therefore, the overall sentiment is neutral, with no strong catalysts for significant stock price movement in the short term.