Spotify Technology SA reported accelerated user growth and a lift in advertising revenue in the most recent quarter as the streaming giant thwarts fears that inflation and subscription fatigue are hitting consumers’ wallets.
For the second quarter, Spotify reported 433 million monthly active users, a 19% lift from a year ago, topping the company’s expectations. In an investor presentation, Spotify pointed to successful marketing campaigns, reactivations in Europe and strength among Gen Z listeners in Latin America. Paying subscribers, its most lucrative type of customer, rose 14% to 188 million, also exceeding the company’s guidance, in part because of promotions and household plans.
