Spotify announced how many millions of users it has

Spotify, the popular music and podcast streaming platform, is increasing its user base. According to newly released data, the service has reached 696 million monthly active users and generated €4.2 billion in total revenue.

SPOTIFY INCREASES ITS POPULARITY

Spotify, which announced its successful quarterly data, reached 276 million premium subscribers. According to the company's data, the number of users, both paying and free, using Spotify increased by more than 10 percent year-over-year.

Subscriber count increased by 12 percent year-over-year, while gross margin increased by 227 basis points to 31.5 percent.

Despite the growth, the majority of Spotify's subscription and advertising revenue goes directly to music labels. This results in low profit margins. In short, while Spotify may appear to be making significant profits, the company is actually struggling to make any profit. While it achieved high profit margins in the second quarter of last year, it suffered a loss in the same quarter this year.