Pandora: Mobile ads now half of total advertising revenue
Digital music service Pandora posted fiscal second-quarter revenues of $67 million, a 117 percent year-over-year increase boosted by advertising revenues of $58.3 million (up 118 percent compared with a year ago) and subscription revenues of $8.7 million (up 112 percent). The company added that mobile advertising now generates roughly half of its total ad revenues. Pandora continues to lose money, however, reporting a $1.8 million loss.
According to analyst calculations reported by GigaOM, Pandora is now generating more ad revenue per 1000 hours than traditional radio, at least on the company's Web-based application.
Total Pandora listener hours reached 1.8 billion in the fiscal second quarter, an increase of 125 percent year-over-year. Its estimated share of total U.S. radio listening: 3.6 percent, doubling from 1.8 percent a year earlier.
Pandora touts more than 90 million users across its desktop and mobile platforms. The startup began trading on the New York Stock Exchange in mid-June, selling 14.7 million shares in its IPO, generating $234.9 million at a valuation of $2.6 billion.