Pandora Media Inc (NYSE:P) reported lower-than-expected quarterly revenue on Thursday as fewer listeners spent time on the online streaming service, sending the company's shares down 5.5 percent in trading after the bell.
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Total listener hours were 5.15 billion in the third quarter, compared with 5.40 billion hours a year ago.
The company faces stiff competition from deep-pocketed rivals such as Apple Inc's Apple Music, Alphabet's Google Play Music and Sweden's Spotify.
Pandora, in which SiriusXM Holdings Inc has invested $480 million and has a 15.9 percent stake, said advertising revenue rose nearly 1 percent to $275.7 million, accounting for about 73 percent of total revenue.
That missed analysts' average estimate of $289.3 million, according to financial data and analytics firm FactSet.
Total revenue rose 7.6 percent to $378.6 million in the quarter ended Sept. 30.
Pandora's net loss available to common stockholders increased to $84.6 million, or 34 cents per share, in the quarter, from $61.5 million, or 27 cents per share, a year earlier.
Excluding items, it posted a loss of 6 cents per share.
Analysts on average had expected a loss of 8 cents per share and revenue of $380.6 million, according to Thomson Reuters I/B/E/S.