Pandora Q3 Consolidated Revenue Up 8% to $378.6M

RADIO ONLINE | Friday, November 3, 2017

Pandora reported third quarter total consolidated revenue was $378.6 million, an 8% year-over-year increase. Advertising revenue grew 1% to $275.7 million reflecting an increase in the average price per ad, offset by a decrease in the number of ads sold. Total paid subscribers increased from 4.01 million in Q3 2016 to 5.19 million in 2017, growing 29% year-over-year. Subscription and other revenue was up 50% to $84.4 million. Additionally in October, Pandora Premium surpassed 1 million paid subscribers.

"After just a short time here at Pandora, it's clear to me we have a tremendous opportunity to meet the full spectrum of our listeners' and advertisers' needs," said Pandora President CEO Roger Lynch. "We have significant scale, distribution and products that deliver a superior listening experience. We will leverage these strengths to become a more integral part of our listeners' lives and reinforce our position as the definitive source for audio advertising."

"We had a solid financial quarter with revenue above our mid-point and adjusted EBITDA coming in very close to the high end of our guidance," added Pandora CFO Naveen Chopra. "The growth we experienced in RPMs and subscription revenue indicates that our multi-tier service strategy can continue to enhance monetization in multiple listening modes. We also completed the investment by Sirius XM and the sale of Ticketfly in the quarter, strengthening our balance sheet and bringing cash and short-term investments to nearly $500 million."