Spotify Technology (Spotify Technology) Net Income

: $-575 Mil (TTM As of Dec. 2023)

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Net Income is the net profit that a company earns after deducting all costs and losses including cost of goods, SGA, DDA, interest expenses, non-recurring items and tax. Spotify Technology's Net Income for the three months ended in Dec. 2023 was $-76 Mil. Its Net Income for the trailing twelve months (TTM) ended in Dec. 2023 was $-575 Mil.

Net Income is linked to the most popular Earnings per Share (Diluted) number. Spotify Technology's Earnings per Share (Diluted) for the three months ended in Dec. 2023 was $-0.39.

Spotify Technology Net Income Historical Data

The historical data trend for Spotify Technology's Net Income can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Spotify Technology Annual Data

Trend

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Net Income

-206.67

-706.81

-38.42

-455.51

-580.15

Spotify Technology Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Net Income																-286.02	-240.90	-327.19	69.37	-76.34

Spotify Technology Net Income Calculation

Net Income is the net profit that a company earns after deducting all costs and losses including cost of goods, SGA, DDA, interest expenses, non-recurring items and tax.

Net Income
= Revenue - Cost of Goods Sold - Selling, General, & Admin. Expense - Research & Development - Depreciation, Depletion and Amortization - Interest Expense - Non Operating Income (NRI) - Tax Expense + Others
= EBITDA - Depreciation, Depletion and Amortization - Interest Expense - Non Operating Income (NRI) - Tax Expense + Others
= Operating Income - Interest Expense - Non Operating Income (NRI) - Tax Expense + Others
= Pre-Tax Income - Tax Expense + Others

Spotify Technology's Net Income for the fiscal year that ended in Dec. 2023 is calculated as

	Net Income		(A: Dec. 2023 )
=	Pre-Tax Income	+	Tax Provision	+	Net Income (Discontinued Operations)	+	Others
=	-550.709	+	-29.444	+	0	+	-1.1368683772162E-13
=	-580

Spotify Technology's Net Income for the quarter that ended in Dec. 2023 is calculated as

	Net Income		(Q: Dec. 2023 )
=	Pre-Tax Income	+	Tax Provision	+	Net Income (Discontinued Operations)	+	Others
=	-142.857	+	66.521	+	0	+	0
=	-76

Net Income for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $-575 Mil.

Spotify Technology (NYSE:SPOT) Net Income Explanation

Net Income is the most widely cited number in reporting a company's profitability. It is linked to the most popular earnings-per-share (EPS) number through:

Spotify Technology's Earnings per Share (Diluted) (EPS) for the quarter that ended in Dec. 2023 is calculated as

Earnings per Share (Diluted) (Q: Dec. 2023 )	=	(Net Income	-	Preferred Dividends)	/	Shares Outstanding (Diluted Average)
	=	(-76.336	-	0)	/	196.050
	=	-0.39

Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.

EPS is most useful for companies that have:

A predictable business
Consistent accounting methods
And few restructurings

The dividend paid to preferred stocks needs to be subtracted from the total net income in the calculation of EPS because common stock holders are not entitled to that part of the net income.

Be Aware

Warren Buffett looks for consistency and upward long term trend. Because of share repurchase it is possible for net earnings trend to differ from EPS trend. He preferred Net Income over EPS. The companies with durable competitive advantage companies report higher % net earnings to total revenues.

Important: If a company is showing net earnings history greater than 20% on total revenues, it is probably benefiting from a long term competitive advantage.

If net earnings is less than 10%, likely to be in a highly competitive business.

Spotify Technology Net Income Related Terms

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Spotify Technology (Spotify Technology) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Communication Services » Interactive Media » Spotify Technology SA (NYSE:SPOT) » Definitions » Net Income

Comparable Companies

Traded in Other Exchanges

SPOT:Mexico 1SPOT:Italy 639:Germany 639:Germany S1PO34:Brazil SPOT:Austria

Address

5, Place de la Gare, Luxembourg, LUX, L-1616

Website

https://www.spotify.com

Spotify, headquartered in Stockholm, Sweden, is one of the world's largest music streaming service providers, with 489 million total listeners. The firm monetizes its users through a paid subscription model, referred to as its premium service, and an ad-based model, referred to as its ad-supported service. Revenue from premium and ad-supported services represented 87% and 13% of Spotify's 2022 total revenue, respectively.