Pandora reports third-quarter loss of $2 million

MarketsAssociated Press

Pandora Media Inc. on Thursday reported a narrower third-quarter loss of $2 million.

The Oakland, California-based company said lost 1 cent per share. Excluding stock option expenses and amortization costs, Pandora said it earned 9 cents per share. A year ago Pandora lost $4.1 million, or 2 cents per share.

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Its revenue climbed 50 percent to $239.6 million.

The results beat Wall Street expectations. Zacks Investment Research says analysts expected Pandora to report net income of 8 cents per share on $238.4 million in revenue.

The company said listener hours grew 25 percent to just under 5 billion. Active listeners rose 5.2 percent to 76.5 million.

Pandora its forecasting income of 17 to 19 cents per share and $273 million to $278 million in revenue for the current quarter, which ends in December.

Analysts surveyed by FactSet expect earnings per share of 17 cents and revenue of $272.8 million, on average.

Pandora expects a full-year profit of 19 to 21 cents per share and revenue ranging from $912 million to $917 million. Analysts expect earnings per share of 18 cents on revenue of $911.9 million, according to FactSet.

Shares of Pandora lost $1.50, or 6.5 percent, to $21.62 in aftermarket trading. The stock has fallen 13 percent since the beginning of the year and closed at $23.12 in regular trading Thursday.