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Spotify Posts Record 2025 Profit After Q4 Beat as Shares Jump

Selective price increases alongside Q1 targets signal plans to extend momentum.

Overview

  • Spotify ended 2025 with 751 million monthly active users, up 11% year over year, including 290 million paying subscribers and 476 million ad‑supported users.
  • Fourth‑quarter revenue reached €4.531 billion, a 7% annual increase that edged past LSEG’s consensus estimate.
  • Full‑year net profit rose to a record €2.212 billion, up 94% from 2024 as subscription revenue advanced 11%.
  • Management pointed to growth in Latin America and Europe and to free‑tier improvements, highlighting more than 300 million users engaging with Wrapped and expanded premium features such as AI tools, audiobooks and video.
  • Guidance for Q1 2026 calls for about 759 million MAU, 293 million subscribers and roughly €4.5 billion in revenue, with a projected 32.8% gross margin and €660 million in operating income, following Premium price increases in markets including the United States, Estonia and Latvia.