Spotify CEO Daniel Ek bought one other $28.8 million price of firm shares final week, persevering with a divestment sample that has now generated round $807.9 million in proceeds since mid-2023.
The manager offloaded 50,000 shares on Wednesday (April 30) at Tuesday’s closing worth of $576.94 per share, in response to an SEC submitting noticed by MBW.
The transaction marks Ek’s ninth inventory sale this 12 months and his nineteenth since initiating the promoting streak in July 2023. Ek has established a biweekly promoting sample in 2025, cashing out about $267.8 million in Spotify inventory since January.
His earlier transaction on April 16 concerned promoting 50,000 shares for $28.2 million. The manager has foregone a conventional wage since July 2017, opting as an alternative for a performance-based bonus scheme tied to progress metrics.
- In July 2023, Ek bought 675,000 shares for USD $100 million;
- In October 2023, he bought 400,000 shares for $64.2 million;
- In February 2024, Ek bought 250,000 shares for $57.5 million;
- In April 2024, Ek bought 400,000 shares for $118.8 million;
- In November 2024, Ek bought 75,000 shares for $35.8 million;
- In November 2024, Ek bought one other 75,000 shares for $34.8 million;
- In November 2024, Ek bought 75,000 shares once more, this time for $36.1 million;
- In December 2024, Ek bought one other 75,000 shares for $37 million;
- Additionally in December 2024, Ek bought 60,000 shares for $28.3 million;
- And once more in December, Ek bought 60,000 shares for $27.2 million;
- In January 2025, Ek bought 60,000 shares for $27.8 million;
- Additionally in January 2025, Ek bought 60,000 shares for $29.3 million;
- In February 2025, Ek bought 60,000 shares for $37.3 million;
- And once more in February 2025, Ek bought 50,000 shares for $31.5 million;
- In March 2025, Ek bought 50,000 shares for $29.2 million;
- Additionally in March 2025, Ek bought 50,000 shares for $28.5 million;
- In April 2025, EK bought 50,000 shares for $27.6 million;
- Additionally in April 2025, Ek bought 50,000 shares for $28.2 million;
- And once more in April 2025, Ek bought 50,000 shares for $28.8 million
Ek’s newest divestment comes as Spotify delivered one other quarter of working revenue and subscriber enlargement in Q1. Working revenue for the January-March interval reached €509 million ($535.6m), which was under SPOT’s steering of €548 million. Regardless of lacking the goal, it nonetheless marked the corporate’s highest quarterly working revenue up to now.
Spotify additionally grew its world Premium Subscriber base to 268 million paying customers in Q1 because it added 5 million web subs, beating its personal steering by 3 million. Income in the course of the quarter jumped 15% YoY to €4.190 billion ($4.4bn).
Ek advised analysts in the course of the firm’s earnings name: “There’s quite a lot of uncertainty on the planet. And when volatility rises, it’s pure to ask who may be affected and the way. And from the place I sit, Spotify is faring higher than most.”
Through the name, executives revealed that Spotify remains to be engaged on an excellent premium tier, though Ek acknowledged that “we do want the companions to come back to the desk and be a part of this journey.”
Ek was additionally optimistic that the corporate can get to 1 billion subscribers sooner or later. “For those who ask me what’s the North Star aim right here, on what number of paying clients we may get, I don’t know, however I don’t see it [as] inconceivable to get to 1 billion subscribers.”
When it comes to pricing, Ek mentioned, “I feel the chance [in pricing] is massive.” Spotify raised the worth for its Premium tier in america in June 2024, to $11.99. Spotify can be reportedly making ready worth will increase throughout plenty of markets in Europe and Latin America beginning this summer season (however not within the US). The platform not too long ago raised subscription charges by as much as 22% in Belgium, the Netherlands, and Luxembourg.
Ek nonetheless maintains important management over the streaming large regardless of his current divestments. In line with Spotify’s February 20-F submitting, he held a 14.3% possession stake carrying 29.1% voting energy as of the tip of 2024.
Fellow co-founder Martin Lorentzon has additionally diminished his holdings, promoting $556.8 million in Spotify inventory final 12 months by means of his holding firm Rosello Co. Ltd. Collectively, the 2 co-founders have liquidated approximately $1.37 billion in shares since mid-2023.
On Wednesday, SPOT’s inventory worth closed 6% increased at $613.98. The present share worth is up 119% from a 12 months earlier, and up 34% because the begin of the 12 months.
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