Spotify Music Streaming Corporation Reports Significant Financial Improvement in Second Quarter

Despite recent price increases, Spotify recorded a growth in paid subscriptions. The number of so-called "Premium" users rose by 12 percent compared to the same period last year and by 3 percent compared to the previous quarter, reaching 246 million. This figure met the experts' expectations.

Overall, Spotify generated revenues of around 3.8 billion euros in the second quarter. This represents an increase of 20 percent compared to the same quarter of the previous year and 5 percent more than in the first quarter. The gross profit margin also increased by a good 5 percentage points compared to the same quarter of the previous year, reaching approximately 29 percent.

In December, management laid off almost one-fifth of the staff, including a large portion of employees in the podcast division. These measures helped reduce costs and improve the company's financial situation.

At the NYSE, Spotify shares climbed 11.92 percent to $330.66, underscoring investor confidence in the company's future.