Spotify a nice boost its revenue, it is still not profitable. The threshold of profitability could be achieved in the current year ...
On its fiscal 2010, we learn that Spotify - listening service for online music - has increased its turnover by 5.5, from 13 to 72.2 million euros. Logical situation given that the European leader in streaming music has continued to curb its offer free ad-supported push for its paid subscriptions (over 2 million customers). This does not prevent Spotify to lose money. In spite of this explosion of sales, losses are higher for the year 2010 than they were in 2009, to 30.3 million euros against 19 million a year earlier.
Among the main expenditure Spotify, there are copyright by the company paid to beneficiaries in order to exploit their catalogs. But also investments to deploy the Spotify offers out of Europe alone, with the aim to establish itself also in the United States. Two budget items too large to allow Spotify to generate profits for now. Profits referred to by the company on the current fiscal year, thanks to the partnership signed with Facebook that promises to swell the ranks of subscribers Spotify. A strategy that seems to work, entries that exploded following the recent f8 conference.
