KARACHI: Spotify has announced its First Quarter 2026 earnings, reporting strong growth across key performance indicators and marking a solid start to its strategic “Year of Raising Ambition.”
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The global audio streaming platform exceeded expectations in several areas, surpassing 760 million monthly active users (MAUs) and achieving its second-highest gross margin to date, reflecting improved operational efficiency and sustained user engagement.
According to the company’s financial results, Premium subscribers grew by 9% year-on-year to reach 293 million, while MAUs increased by 12% to 761 million. Total revenue rose by 14% year-on-year (constant currency) to €4.5 billion, while gross margin improved by approximately 140 basis points to 33%. Operating income stood at €715 million for the quarter.
Co-CEO Alex Norström said the company had met its subscriber growth targets while also seeing strong engagement from both new and existing users. He noted that enhanced personalization features introduced in key markets, including the United States, have contributed to increased listening and viewing activity.
Co-CEO Gustav Söderström highlighted the company’s strategic positioning, citing its large and engaged user base, strong relationships with creators, and continued investment in personalization and platform infrastructure.
He added that these strengths position Spotify to unlock new growth opportunities across different formats and user segments, as the company aims to expand its global footprint and redefine its role in the digital media landscape.
The results underscore Spotify’s continued momentum in the competitive streaming industry, driven by innovation, user-centric features, and scalable technology infrastructure.
