Spotify Technology S.A. (SPOT) Q2 2023 Earnings Call Transcript

Spotify Technology S.A. (NYSE:SPOT) Q2 2023 Earnings Call Transcript July 25, 2023 8:00 AM ET

Company Participants

Bryan Goldberg - Head of IR

Daniel Ek - CEO

Paul Vogel - CFO

Operator

Good morning. My name is Julian, and I will be your conference operator today. At this time, I would like to welcome everyone to Spotify's Q2 2023 Earnings Call and Webcast. [Operator Instructions]

I would now like to turn the call over to Bryan Goldberg, Head of Investor Relations. Thank you. You may begin your conference.

Bryan Goldberg

Thank you, operator, and welcome to Spotify's second quarter 2023 earnings conference call. Joining us today will be Daniel Ek, our CEO, and Paul Vogel, our CFO. We'll start with opening comments from Daniel and Paul, and afterwards, we'll be happy to answer your questions.

Questions can be submitted by going to slido.com, S-L-I-D-O.com, and using the code #SpotifyEarningsQ223. Analysts can ask questions directly into Slido, and all participants can then vote on the questions they find the most relevant. If for some reason you don't have access to Slido, you can email Investor Relations at ir@spotify.com, and we'll add-in your question.

Before we begin, let me quickly cover the safe harbor. During this call, we'll be making certain forward-looking statements, including projections or estimates about the future performance of the company. These statements are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results could materially differ because of factors discussed on today's call in our shareholder deck and in filings with the Securities and Exchange Commission. During this call, we'll also refer to certain non-IFRS financial measures. Reconciliations between our IFRS and non-IFRS financial measures can be found in our shareholder deck, in the Financial section of our Investor Relations website and also furnished today on Form 6-K.

And with that, I'm going to turn the call over to Daniel.

Daniel Ek

All right. Hey, everyone, and thank you all for joining us. I hope you all had a chance to review our shareholder deck, and as you can see, it was a very strong quarter. We beat our own expectations again, across both MAU and subs. And in addition, it's really gratifying to see the outperformance in growth that continues to come from markets all over the world.

So let me share some more context on the growth this quarter before we go into what it ultimately means for the business. So this quarter netted the highest MAU growth in Spotify's history. And as a point of comparison, our growth this quarter was 36 million compared to Q2 of 2022, where we saw MAU growth of 19 million. And this reacceleration is significant and shows that our investments in adding podcasts and improving our platform and user experience are paying-off nicely.