Spotify CEO Daniel Ek offered 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 value of $576.94 per share, based on 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 standard wage since July 2017, opting as a substitute for a performance-based bonus scheme tied to development metrics.
- In July 2023, Ek offered 675,000 shares for USD $100 million;
- In October 2023, he offered 400,000 shares for $64.2 million;
- In February 2024, Ek offered 250,000 shares for $57.5 million;
- In April 2024, Ek offered 400,000 shares for $118.8 million;
- In November 2024, Ek offered 75,000 shares for $35.8 million;
- In November 2024, Ek offered one other 75,000 shares for $34.8 million;
- In November 2024, Ek offered 75,000 shares once more, this time for $36.1 million;
- In December 2024, Ek offered one other 75,000 shares for $37 million;
- Additionally in December 2024, Ek offered 60,000 shares for $28.3 million;
- And once more in December, Ek offered 60,000 shares for $27.2 million;
- In January 2025, Ek offered 60,000 shares for $27.8 million;
- Additionally in January 2025, Ek offered 60,000 shares for $29.3 million;
- In February 2025, Ek offered 60,000 shares for $37.3 million;
- And once more in February 2025, Ek offered 50,000 shares for $31.5 million;
- In March 2025, Ek offered 50,000 shares for $29.2 million;
- Additionally in March 2025, Ek offered 50,000 shares for $28.5 million;
- In April 2025, EK offered 50,000 shares for $27.6 million;
- Additionally in April 2025, Ek offered 50,000 shares for $28.2 million;
- And once more in April 2025, Ek offered 50,000 shares for $28.8 million
Ek’s newest divestment comes as Spotify delivered one other quarter of working revenue and subscriber growth in Q1. Working revenue for the January-March interval reached €509 million ($535.6m), which was under SPOT’s steerage of €548 million. Regardless of lacking the goal, it nonetheless marked the corporate’s highest quarterly working revenue thus far.
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 steerage by 3 million. Income through the quarter jumped 15% YoY to €4.190 billion ($4.4bn).
Ek advised analysts through the firm’s earnings name: “There’s lots of uncertainty on the planet. And when volatility rises, it’s pure to ask who is perhaps affected and the way. And from the place I sit, Spotify is faring higher than most.”
Throughout the name, executives revealed that Spotify remains to be engaged on a brilliant 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. “If you happen to ask me what’s the North Star aim right here, on what number of paying prospects we might get, I don’t know, however I don’t see it [as] not possible to get to 1 billion subscribers.”
When it comes to pricing, Ek stated, “I feel the chance [in pricing] is large.” Spotify raised the worth for its Premium tier in the USA in June 2024, to $11.99. Spotify can also be reportedly making ready value will increase throughout quite a few markets in Europe and Latin America beginning this summer season (however not within the US). The platform just lately raised subscription charges by as much as 22% in Belgium, the Netherlands, and Luxembourg.
Ek nonetheless maintains vital management over the streaming big regardless of his latest divestments. Based on 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 value closed 6% larger at $613.98. The present share value is up 119% from a 12 months earlier, and up 34% because the begin of the 12 months.
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