Pandora Shares Jump After Revenue Beat
Pandora hit its earnings target Thursday and delivered better-than-expected revenue boosted by new subscribers and growth in the mobile advertising.
"Mobile listening hours and mobile ad revenue reached record highs," said Pandora CEO Joe Kennedy.
The company's shares jumped after the announcement. (Click here to get the latest after-hours quote.)
The Internet-radio service reported a first-quarter net loss of $28.6 million, or 16 cents a share, compared with a loss of $20.2 million, or 12 cents a share, in the year-earlier period.
Excluding items, Pandora posted a loss of 10 cents a share compared with a loss of 8 cents a share last year.
Pandora's subscriber bases surpassed 2.5 million with the addition of over 700,000 net new subscribers in the first quarter. The number of active users reached 70.1 million—a 31-percent increase from a year ago.
Revenue rose 58 percent to $128.5 million from $81.5 million a year ago.
Analysts had expected Pandora to report a loss of 10 cents a share on $124 million in revenue, according to a consensus estimate from Thomson Reuters.
For the second quarter, Pandora expects between a loss of 2 cents and a profit of 1 cent on revenue of $155 million to $160 million. Analysts currently expect a profit of 2 cents and $150 million in revenue.