Spotify on Monday revealed that its third financial quarter exceeded expectations due to a significant growth in users and revenue.
In fact, the company saw a 30% growth in monthly active users compared to last year, bringing the number up to 248-million with a 28% growth in revenue.
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“Developing regions continue to be a significant driver of this outperformance,” Spotify said, referring to Latin America and Southeast Asia specifically.
The company’s Premium subscribers also grew to 113-million, a 31% increase since last year, largely thanks to its Family Plan and Student Plan subscriber options.
According to Spotify, the growth comes after it added a range of new family-focused features to the Family Plan, including the Family Mix playlist and parental controls.
Additionally, the company also saw a 39% increase in podcast hours streamed since last quarter, suggesting that podcasts are becoming more popular on the platform.
“We continue to see exponential growth in podcast hours streamed and early indications that podcast engagement is driving a virtuous cycle of increased overall engagement,” it said.
In the past year, Spotify introduced a number of new features to the platform, including new playlists and a three-month free trial for Premium subscribers.
The company’s third-quarter earnings suggest that these updates are paying off as more users are drawn to the platform.
Feature image: Spotify
