Pandora saw both sales and earnings soar past estimates, with its revenue growing by 30 per cent year-on-year to $285.6m.
The Internet radio service announced earnings per share that were over double analysts’ expectations at $0.05 against the forecast $0.02.
Shares in the company lept after the report, trading over 6 per cent up in after-hours trading.
Why it’s interesting
A growing number of competitors in streaming services such as Spotify, Apple Music and Tidal aren’t causing Pandora any difficulties yet, as advertising revenue has started pouring in for the digital radio service, and subscriber figures are up
What they said
Chair and chief executive Brian McAndrews said:
Our advertising investments, particularly in local, are paying off. This quarter, local ad revenue reached an all-time high, driving record RPMs. Our monetization success allows us to be an even more effective platform for helping artists grow their careers.