Spotify has reportedly seen revenues surge to hit €1.9 billion (£1.69 billion) in the first half of 2017.
The figure, which was reported by The Information, puts the streaming company on course for a total of around €4.1 billion (£3.65 billion) in 2017. That would represent a 40% increase on revenue for 2016.
The latest reports follow the company’s recent long-term deals that include windowing release options with the majors and come ahead of a much-anticipated IPO. A deal has also been struck with Merlin.
Spotify has also increased its subscriber base by 40% over the last year.
However, Spotify is said to have recorded a significant operating loss over the six months of anywhere between €100m (£89.1m) and €200m (£178.3m). While the company still has to convince investors and the industry about its future profitability, the operating loss appears to have narrowed compared to the €556.7m (£496.1m) for the whole of 2016.
According to the reports, Spotify has made improvements on its gross margins, which increased to 22% in the first half of the year (15% in 2016). Spotify has not commented on the reported figures.
You can find out about Spotify’s current work with songwriters here and read the full interview in the latest issue of Music Week.
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