In a twist on a traditional IPO roadshow, Spotify co-founder and Chief Executive Daniel Ek and other senior executives took the stage at a studio space in front of potential investors in Manhattan's SoHo neighborhood, while the public could access the presentation through a live stream. The company's SVP offered up some insight into the health of its music streaming service.
The streaming music market in the country is dominated by players like Apple Music, Google Play, Deezer and Simfy Africa.
As the 12-year-old music streaming company Spotify prepares to go public on April 3, people are wondering what made it so special.
Spotify's revenue grew 39 percent to 4.09 billion euros ($5.04 billion) in 2017 from 2.95 billion euros in 2016, it said in a securities filing.
The company had 71 million subscribers at the end of 2017, with 92 million using its free, advertising-supported service.
Spotify also warned investors it faces a variety of risks. At the same time, net financing costs of €855-million pushed up operating losses to €378-million from €349-million.
That makes it the market leader, ahead of Apple with 38 million paying users.
The Spotify service allows for personalisation, so fans can find the music they love easily, while helping them discover new music and artists to love, based on their taste and listening patterns.
Ek portrayed Spotify as an underdog not tied to a major technology company, and that its strategy is to be a ubiquitous music service across phones, smart speakers, and desktops from various makers.
Company executives shared the news on Thursday during its first investor day. Based on private transactions, it is valued at roughly $19bn, according to Reuters calculations. They also revealed that Spotify would provide full-year financial guidance on March 26.
McCarthy spelled out Spotify's long-term operating targets for generating sustained free cash flow, with annual revenue growth between 25 and 35 percent and gross margin between 30 and35 percent - ambitious for a loss-making company.
Spotify filled a need for both consumers and the music industry, Goodwater said in a report, and that's why it's still around.