In the last quarter of 2025, Spotify’s profits almost doubled from the previous year. The business continued its upward trend with just its second straight year of profitability.
Following the release of its results report on Tuesday, Spotify’s stock rose 6% at market opening this Wednesday before reversing some of its gains. The well-known music platform ended 2025 with well over €2.2 billion in net profits, a 94% rise and nearly double the amount made the year before.
The favourable outcome supported the company’s historic turnaround, which began in 2024, when it turned a profit for the first time. Prior to it, Spotify, which was established in 2006, was losing money for over 20 years. Alex Norström, the recently appointed CEO, stated that “2026 will be the year of elevating ambition after a year of execution.”
The music streaming service had an 11% increase in users and a 10% increase in paying members last year. In addition, Spotify raised rates and reduced expenses in a number of areas, resulting in its highest-ever profit margin of 33.1%. Spotify anticipates that this trend will continue in the first quarter of 2026. 759 million MAUs and around €4.5 billion in revenue are indicated by the report.
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