The platform’s premium revenue, which drives over 90% of revenue growth, has grown about 22% y-o-y in 2QFY2022 to EUR2.5 billion ($3.5 billion), leveraging from the conversion of monthly active users (MAUs) into premium subscribers.
PhillipCapital is initiating a “buy” recommendation on audio streaming platform Spotify with a target price of US$117.00 as analyst Jonathan Woo likes it for its growing base and pricing power that is expected to drive future revenue growth.
Spotify has consistently seen growth in both its revenue and user base, as it more than trebled from FY2016 ended December 2016 to FY2021.
