There’s some good news, some not so good news in Pandora’s latest earnings release.
Pandora has been on a pretty good run since this summer, from hanging out in the teens to hanging out around $30/share. Good for them.
Pandora issued its earnings release yesterday, showing some positive signs and touting:
- Pandora closes record revenue quarter, with non-GAAP revenue of $181.6 million, growing 50% year-over-year [Ed Note: these are quarterly numbers]
- Mobile advertising revenue exceeds $100 million, growing 58% year-over-year to $104.9 million
- 3Q14 GAAP total revenue of $180.4 million, growing 50% year-over-year
- 3Q14 total listener hours of 4.18 billion, growing 17% year-over-year
- Share of total U.S. radio listening for Pandora in October 2013 was 8.06%, an increase from 6.61% at the same time last year
- 70.9 million active users , growing 20% year-over-year
So far so good.
On the flip side, net income for the 2012 quarter of $2.1 million turned into a $1.7 million loss, while the nine month number went from a $23.6 million loss to a $38.1 million loss, showing losses increasing by 61.4%. Losses are increasing faster than revenues, which could be a problem.
Let’s end on a positive note. Mobile advertising revenue exceeded $100 million during the quarter. We expect more analysis for our private clients, particularly after Pandora’s Form 10-Q.