Spotify (SPOT) came out with quarterly earnings of $3.83 per share, beating the Zacks Consensus Estimate of $1.87 per share. This compares to earnings of $1.59 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of +104.81%. A quarter ago, it was expected that this music-streaming service operator would post earnings of $2.13 per share when it actually produced a loss of $0.48, delivering a surprise of -122.54%.Over the last four qua ...

Core Insights - Spotify reported Q3 revenue of €4.27 billion, exceeding market expectations of €4.23 billion [1] - Earnings per share reached €3.26, up from €1.45 in the same period last year [1] - The company anticipates Q4 monthly active users to reach 745 million, slightly above the market expectation of 740.31 million [1] - Spotify projects a Q4 gross margin of 32.9%, higher than the market forecast of 32.5% [1]

Core Viewpoint - Spotify's stock fell over 5% in pre-market trading following the announcement of a leadership change, appointing Alex Norstrom and Gustav Söderström as co-CEOs [1] Group 1 - The leadership change at Spotify involves the appointment of Alex Norstrom and Gustav Söderström as co-CEOs [1] - The market reaction to the leadership change was negative, with a drop of more than 5% in Spotify's stock price [1]

Core Viewpoint - Spotify's second-quarter performance fell short of market expectations, leading to a significant drop in stock price by over 10% [1] Financial Performance - Spotify reported second-quarter revenue of €4.19 billion, below the expected €4.27 billion [1] - The company transitioned from a profit of €274 million in the same quarter last year to a loss of €86 million this year, primarily due to an 8% increase in operating expenses to €914 million [1] - Paid subscription revenue for the second quarter was €3.74 billion, slightly below the market expectation of €3.79 billion [1] - Monthly active users reached 696 million, exceeding the market expectation of 689.23 million [1] Future Guidance - The company provided guidance for third-quarter revenue expected to be €4 billion, which is lower than the analyst consensus of $5.25 billion [1]

Core Insights - Spotify's Q2 revenue was €4.19 billion, below market expectations of €4.27 billion [1] - The monthly active users for Q2 reached 696 million, exceeding market expectations of 689.23 million [1] - Paid subscription revenue for Q2 was €3.74 billion, slightly below market expectations of €3.79 billion [1] - Following the earnings report, Spotify's stock dropped over 5% in pre-market trading [1]

Market Overview - US stock index futures showed slight declines before the market opened, with Dow Jones futures down 0.19%, S&P 500 futures down 0.15%, and Nasdaq 100 futures down 0.08% [1] - The OECD reported a downward revision of the US economic growth forecast for this year to 1.6%, a decrease of 0.6 percentage points from the March estimate, indicating a significant slowdown among major economies [2] - The OECD also raised its inflation forecast for the US by 0.4 percentage points to 3.2% [2] Trade and Tariff Developments - The current tariff levels in the US are at their highest since World War II, despite some tariffs being paused [3] - Former President Trump announced plans to increase tariffs on steel and aluminum imports from 25% to 50% [3] - The EU expressed strong regret over the tariff increase and is prepared to implement countermeasures if a mutually acceptable solution is not reached by July 14 [3] Corporate News - Circle Internet Group plans to raise $880 million in its upcoming IPO by issuing 32 million shares at a price range of $27 to $28 per share, an increase from the previous plan of $24 to $26 per share for 24 million shares [4] - Stellantis Group appointed Sébastien Jacquet as the new Chief Quality Officer, effective immediately [5] - Tesla registered 2,600 new cars in Norway in May, marking a 213% year-over-year increase [6] - Spotify was fined 58 million Swedish Krona for data protection violations under the EU's General Data Protection Regulation [7] - NIO reported Q1 2025 revenue exceeding 12 billion Yuan, a year-over-year increase of over 21%, with a gross margin of 10% [8]