Pandora Media (P) Takes a Hit on Revenue Miss
The music streaming industry is a tough one as more big names have joined, including Spotify and Apple Music . As a result, the company's third-quarter earnings of fiscal 2017 came in at a loss, while revenue missed expectations.
One of the bright spots for Pandora was its earnings total, which came in at a loss of six cents per share, better than the eight cents per share that analysts polled by Thomson Reuters projected. However, the company missed the mark in several other major categories.
Revenue came in at $379 million, below the $380.6 million that Thomson Reuters expected. In the year-ago quarter, the company posted an adjusted loss of seven cents per share, while revenue was $351.9 million.
Pandora only had 73.7 million active listeners, below the 74.6 million that StreetAccount had projected. The company's listener hours amounted to 5.15 billion, below the 5.16 billion consensus estimate that StreetAccount foresaw.
"There's no silver bullet that's going to come in and solve these problems," CEO Roger Lynch said. He added that the company needs to bolster efforts in ad targeting and reporting technology that is slated to have a positive impact on Pandora throughout 2018.
P shares slumped 11.5% after the bell Thursday on the company's dismal earnings report.
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