Pandora has reported first-quarter revenues that clearly point to the streaming music giant’s emerging strengths as a business.
GAAP total revenue increase 97 percent year-over-year to $83.9 million, effectively outpacing mobile listener hour growth at 47 percent year over year.
Total revenue came in at $125.5 million, translating to 55 percent year-over-year growth.
Playing a major role in the spike is the expansion of the company’s mobile advertising efforts.
Non-GAAP total revenue was $128.5 million, a 58% year-over-year increase, including $3.0 million in revenue relating to our subscription return reserve. Advertising revenue was $105.1 million, a 49% year-over-year increase. Non-GAAP subscription and other revenue was $23.4 million, a 114% year-over-year increase, including $3.0 million in revenue relating to our subscription return reserve.
“Pandora continues to expand its mobile leadership,” says Joe Kennedy, Chairman & CEO of Pandora. “Mobile listening hours and mobile ad revenue reached record highs, with growth in mobile ad revenue exceeding growth in mobile listening hours. During the quarter, we successfully implemented a mobile listening limit, enabling us to manage our content acquisition costs with minimal impact on listenership or revenue growth. Pandora’s subscriber base surpassed 2.5 million, adding more net new subscribers in the quarter than in all of fiscal 2013, giving Pandora the largest US streaming subscriber base of any music service.”
To read the full earnings report, click here.