Spotify Shares Jump As Q3 Performance Shows User Growth, Company Optimism For Q4


27% profit every 20 days?

This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.


Spotify Technology SA (NYSE:SPOTreported third-quarter FY21 revenue growth of 27% year-on-year to €2.5 billion, helped by advertising strength. The Q2 revenue of $2.95 billion beat the consensus of $2.85 billion.

Total MAUs (Monthly Active Users) rose 19% Y/Y to 381 million. The double-digit Y/Y growth in all regions and improved momentum across the 86 markets drove the increase.

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Premium Subscribers increased 19% Y/Y to 172 million. Premium Revenue grew 22% Y/Y to €2.2 billion. Within Premium, the average revenue per user (ARPU) was up 4% Y/Y at €4.34. Ad-Supported revenue rose 75% to €323 million.

Margins: The gross margin expanded by 200 bps to 26.7%. Premium gross margin expanded 182 bps to 29.1%. Ad-Supported gross margin expanded by 993 bps to 10.5%.

Loss per share of $(0.48) missed the consensus loss of $(0.22).

Spotify held €3.3 billion in cash and equivalents and generated €99 million in free cash flow.

Outlook: Spotify raised Q4 revenue outlook from €2.48 billion-€2.68 billion to €2.54 billion - €2.68 billion.

Spotify raised the gross margin outlook from 24.1%-26.1% to 25.1% - 26.1%.

Spotify continued to see Total MAUs of 400 million-407 million, Total Premium Subscribers of 177 million-181 million, and an operating loss of €(152) million-€(72) million.

Price action: SPOT shares traded higher by 6.26% at $268 premarket on the last check Wednesday.

Photo by StockSnap from Pixabay


27% profit every 20 days?

This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.


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