Paris-headquartered music streaming service Deezer has revealed its monetary outcomes for the primary half of the yr (the six-month interval ending 30 June 2024).
The corporate’s consolidated revenues grew 14.6% YoY at fixed foreign money to EUR €267.9 million ($288.44 million).
Deezer mentioned that this progress displays “the profitable execution of the Group’s technique, pushed by the continued enlargement of latest partnerships (resembling RTL+, Mercado Libre) and the impression of a brand new collection of worth will increase within the Direct phase”.
In the meantime, the corporate’s complete subscriber base (throughout direct subs and subs gained by way of telco partnerships and many others) grew by 1.3 million YoY to 10.5 million on the finish of H1, a 13.7% YoY improve.
Deezer splits its revenues into three segments on its stability sheet, ‘Partnerships‘; ‘Direct‘ and ‘Different.’
The corporate’s Partnerships income amounted to €86.9 million ($93.56m) within the first half of the yr, up 38.2% YoY at fixed foreign money.
This progress, based on Deezer, was pushed by the addition of 1.4 million new subscribers by way of partnerships, which, it mentioned “mirror[s] the great efficiency of latest and present offers with massive Telecom operators in Remainder of World, the progressive ramp up with RTL and Mercado Libre”.
Partnerships accounted for 32.4% of the corporate’s complete revenues within the first half of the yr, versus 26.8% a yr in the past.
Deezer’s Direct revenues, in the meantime, reached €171.5 million ($184.65m) within the first half of 2024, up 4.6% YoY at fixed foreign money.
The streaming firm mentioned this income progress was pushed by the next components:
- “The new wave of worth will increase, launched in This fall 2023, now utilized to greater than 80% of the subscriber’s base;
- “The improved geographic combine with the strategic refocus of the Direct enterprise on chosen key markets resulting in the continued enlargement of the subscriber base in France (+3.2%) and the slowdown in Remainder of World subscriber base at (9.8)%;
- “The implementation of a extra selective technique in Direct to drive premium account subscriptions by lowering trials and promotions.”
In the meantime, Deezer’s ‘Different’ income phase, which is made up of promoting and ancillary income, amounted to €9.6 million ($10.33m) within the first half of 2024, up 38.7% at fixed foreign money).
Deezer reported that the launch of latest content material licensing offers for its Zen wellness app was a major contributor to the expansion of the phase in H1.
The corporate additionally divides its income sources geographically into France (the corporate’s dwelling nation) and the ‘Remainder of the World’.
Deezer generated €154 million ($165.81m) in France, which was up 8.5% YoY and €113.9 million ($122.63m) in ‘Remainder of the World’, which was 24.1% YoY at fixed foreign money.
When it comes to subscribers, Deezer counted 5.5 million ‘Direct’ subscribers in H1, down 1.5% YoY versus 5.6 million in H1 2023.
The corporate’s subscribers by way of Partnerships reached 5 million in H1, up 37.1% YoY versus 3.7 million in H1 2023 (see beneath).
Deezer’s ARPU (Common Income per Paying Consumer) in H1 stood at €5.1 ($5.49m) for its Direct subscribers, up 6% YoY.
Elsewhere at Deezer, the corporate highlighted its latest appointment final week of ex-Wallmart government Alexis Lanternier as its new CEO. He’ll succeed interim CEO Stu Bergen, efficient September 2, 2024.
Deezer additionally famous that Iris Knobloch was reappointed Chair of the Board of Administrators on the firm’s Annual Normal Assembly. Deezer additionally appointed Carl de Place as Chief Monetary Officer, efficient August 1, 2024.
“The corporate is on observe for profitability, and we’re all proud of the present achievements.”
Stu Bergen, Deezer
Stu Bergen, interim CEO of Deezer, mentioned: “These constructive outcomes are the results of robust efficiency all through Deezer.
“The corporate is on observe for profitability, and we’re all proud of the present achievements. Deezer occupies a particular place throughout the music ecosystem, supporting artists, songwriters and rightsholders alike by means of initiatives targeted on transparency, equity, and innovation in music streaming.
“Deezer connects artists and followers by means of a variety of distinctive music experiences and options.”
Deezer additionally highlighted its artist-centric settlement with Merlin, introduced in March.
Deezer first launched its Common Music Group-approved artist-centric cost system in September 2023.
A couple of months later, Warner Music Group signed up for Deezer’s artist-centric mannequin in France.Music Enterprise Worldwide
