Strong User Growth: Spotify saw significant subscriber growth, adding 8 million net subscribers in Q2 2025, leading to a total of 276 million subscribers. This represents a 12% year-over-year increase, with a notable 30% rise in subscriber net adds for the first half of 2025 compared to the same period in 2024. Monthly Active Users (MAU) grew by 18 million, totaling 696 million.

Revenue Performance and Challenges: Total revenue for Q2 was EUR 4.2 billion, a 15% increase year-over-year when adjusted for currency. However, the Advertising business showed slower-than-expected growth at just 5%, primarily due to operational challenges and impacts from strategic initiatives.

Profitability Outlook and Margin Expansion: Q2 gross margin was reported at 31.5%, showing a year-over-year expansion of approximately 230 basis points. For Q3 2025, the forecast suggests a slight decrease to 31.1% gross margin primarily due to regulatory charges and increased operational expenses. Despite this, the company maintains long-term confidence in achieving full-year margin expansion for 2025.