From Bloomberg Markets and Finance.

Spotify Technology SA shares plunged the most in more than four years after the music streaming leader gave a forecast for operating income in the second quarter that missed analysts’ estimates. 
The Swedish company expects operating income of €630 million ($737 million) in the current quarter, it said in a statement Tuesday. That compares with analysts’ forecasts of €674.3 million.

Revenue gained 8% to €4.5 billion in the first three months of the year, in line with analysts’ forecasts for €4.53 billion, according to estimates compiled by Bloomberg. Spotify reported 761 million monthly active users, more than the 759 million Wall Street expected. Paying subscribers rose 9% to 293 million. But in the current quarter, the company is forecasting 299 million premium subscribers, shy of estimates for 300 million.

The results show the challenges facing the new co-chief executive officers, who took the helm earlier this year after co-founder Daniel Ek stepped back after almost two decades at the company. The shares fell as much as 15% as trading got underway in New York, the biggest intraday decline since February 2022. We get reaction from Geetha Ranganathan, US Media Analyst for Bloomberg Intelligence.
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