Spotify Trading Volume Drops 56.52% but Ranks 22nd in Daily Volume

On April 30, 2025, Spotify Technology (SPOT) saw a trading volume of $25.26 billion, marking a 56.52% decrease from the previous day. The stock closed with a 6.42% increase, ranking 22nd in the day's trading volume.

Spotify reported a 15% year-on-year revenue growth on a constant currency basis for the first quarter of 2025. This growth was driven by a 16% increase in premium revenue, attributed to subscriber growth and higher average revenue per user (ARPU).

The company's total quarterly revenue, including both Premium and ad-supported services, reached €4.190 billion ($4.4 billion), reflecting a 15% year-over-year increase at constant currency. This revenue growth was in line with the company's forecast, with subscription ARPU growing 4% to €4.73 due to price adjustments.

Despite the positive subscriber growth, Spotify's earnings and revenue for the quarter fell short of analyst expectations. The company reported earnings per share (EPS) of 1.07 euros ($1.22), significantly below the projected EPS of 2.13 euros. Monthly active users increased by 10% to 678 million, while premium subscribers rose by 12% to 268 million.

Spotify CEO Daniel Ek highlighted the company's strong engagement and retention rates, attributing these to the freemium model that allows users to stay with the service even during uncertain times. He expressed confidence in the long-term outlook, despite short-term challenges.