MediaNet

MediaNet Blog

Spotify U.K. No Longer Profitable, and Last Week’s Top News

Posted by Glen Sears | October 19, 2015 10:39 am | No Comments

spotify no longer profitable medianet soundcheck

Story of the Week

Spotify U.K. Subscription Revenues Climb as Overall Profits Fall
The U.K. arm of Spotify experienced strong growth in its subscription and advertising revenues last year, but still posted a £1.2 million ($1.5 million) loss after taxation, according to the company’s latest set of financial results, which cover the year 2014.

The rise in sales was not enough, however, to prevent the London-based company reporting an overall loss for the year after taxation of £1.2 million ($1.5 million) — a significant slide when compared to the previous calendar year when Spotify recorded a profit of £2.6 million ($4 million).

The loss can be partially attributed to a sizeable rise in cost of sales — a category that includes royalties paid to labels and publishers — which jumped from £96.2 million ($148 million) in 2013 to £124.4 million ($191.7 million) last year. “Individual company reports are not necessarily a reflection of the whole company, one way or the other,” a Spotify spokesperson maintained in a statement provided to Billboard.

Read more on Billboard: http://bit.ly/1GeFiF5

Top Stories

Condé Nast Buys Pitchfork – Confirming the buy, which includes all Pitchfork ventures, so the spin-off live events too, Condé Nast’s newly appointed big cheese Bob Sauerberg told reporters: “Pitchfork is a distinguished digital property that brings a strong editorial voice, an enthusiastic and young audience, a growing video platform and a thriving events business. We look forward to bringing Pitchfork to the network of best-in-class brands of Condé Nast”. Read More

(more…)

The MediaNet Blog

Insights, News, Announcements, and Updates on MediaNet and the ever-changing world of music, technology, industry, and law.

Get Weekly Music News Updates Directly To Your Inbox!

Recent posts

SoundCloud Rescued and Installs New CEO, TIDAL Names New CEO Too, Amazon Eyes U.S. Ticketing
August 14, 2017
SoundCloud Speculation Continues, Apple Courting Indian Music Company, Sony Music Has Huge Q1
August 7, 2017
SoundCloud May Have New Equity Deals, YouTube Red Merging with Google Play, SESAC Strikes U.S. Radio Deal
July 31, 2017

Archive

Categories

Powered by WordPress