Pandora Stock Surges 25 Percent After Beating Revenue Expectations
Shares of Pandora Media were surging 25 percent after the closing bell Thursday after the online music service said revenue rose 54 percent in the fourth quarter to $125.1 million, about $2.3 million more than analysts expected.
The company still lost money, though, to the tune of $8.2 million, or 5 cents a share, which is about what analysts had predicted.
Pandora CEO Joe Kennedy said the company closed the quarter with a record 8 percent share of the total U.S. radio audience.
"We are now effectively the largest radio station in almost every major market," he said.
Pandora reported ad revenue of $109 million, up 51 percent over the same quarter a year ago, and subscription and other revenue that rose 74 percent to $16.1 million.
Total listening hours grew 53 percent to 4.05 billion during the quarter and for the entire year surged 70 percent to 14.01 billion.
Pandora offered guidance in the current quarter of $120 million to $125 million in revenue and a loss of up to 13 cents a share.
Shares of Pandora were up 6 cents to $11.73 during the regular session but exploded another $2.87 after the closing bell.