Spotify (SPOT) Q1 2026 Earnings Transcript

Motley Fool Transcribing, The Motley Fool

Tue, April 28, 2026 astatine 11:01 AM CDT 47 min read

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DATE

April 28, 2026 astatine 8 a.m. ET

CALL PARTICIPANTS

• Co-President and Chief Business Officer — Alex Norström

• Co-President, Chief Product and Technology Officer — Gustav Söderström

• Chief Financial Officer — Christian Luiga

• Vice President, Head of Investor Relations — Bryan Goldberg

• Operator

Full Conference Call Transcript

Alex Norström: Thank you, Bryan. Hey, everyone, and convey you for joining us. 2026 is disconnected to a beardown start, with show reflecting coagulated execution, steadfast maturation and the benignant of engagement trends that springiness Gustav, myself and the squad assurance successful gathering Spotify for the future. In Q1, we saw results that were successful enactment oregon amended crossed the board. We surpassed 760 cardinal MAU, delivered connected the subscriber maturation we aimed to achieve, and we saw steadfast engagement from existing users, reactivations and caller users alike. Since the planetary rollout of our much personalized escaped experience, users successful cardinal markets similar the U.S. are present listening and watching much days per month.

Now for a concern arsenic established arsenic ours, did I mention, by the way, that we're celebrating 20 years this month, this is an breathtaking development. And I'll stock much astir wherefore successful conscionable a moment. And we besides netted our 2nd highest gross borderline ever. All that reinforces this assurance successful sustained idiosyncratic and subscriber growth, debased churn and past besides continued advancement connected gross and margin. Now for implicit 2 decades, we person worked hard to forge beardown relationships with our manufacture partners and the artists and the creators that we support.

You've watched these narration evolved successful the past 20 years. but we person ne'er been successful a amended presumption to innovate and to grow, acknowledgment to the advancement we're making together. So the spot that we person built is rooted successful our corporate tendency to present results and grow the wide opportunity. We volition person immoderate caller things to stock connected that beforehand soon. We conscionable released our yearly study connected the wellness and maturation of the industry. It's worthy noting that Spotify remains the lone level offering this level of visibility into however the euphony manufacture really works.

Loud and wide amusement that successful 2025, we paid retired a grounds $11 cardinal positive to rights holders portion continuing to outpace the maturation of others. And year-over-year, we expect that outperformance to continue. Now connected apical of the streaming success, there's nary uncertainty that artists, songwriters, musicians and fans are conscionable ever seeking stronger connections. Song DNA and About the Song were introduced this 4th to propulsion backmost the curtain connected the singular endowment down our favourite tracks and connection much insights into a song. But we didn't halt there. Live experiences are 1 of the astir impactful ways for artists and fans to Connect.