After a day of somewhat positive financial news, internet radio and music streaming service Pandora Media witnessed some continued declines in stock price results.
On Wednesday, the company revealed some positive news: Its fourth-quarter subscription revenues nearly doubled from a year ago, from $59.8 million to $97.7 million.
This came with some mixed news on advertising revenues, which sank 5% — from $313.3 million to to $297.7 million. The silver lining here was that Pandora’s advertising RPM (revenue per thousand impressions) was up 12% to $75.65 in the fourth quarter.
For the entire year, advertising revenues were virtually flat at $1.07 billion. Pandora posted 6% higher overall revenues for 2017 to $1.47 million. Fourth-quarter revenue was up 1% to $395.3 million. The company trimmed its net loss for the quarter by more than half -- to $44.7 million from $90.0 million.
Pandora says it ended the year with 74.7 million active listeners. For its still smaller subscription businesses — Pandora Plus and Pandora Premium — subscribers grew 25% to 5.5 million.
Pandora stock closed 4% higher on Wednesday. But then it sank 8% on Thursday to close at $4.52. The company’s stock price has lost 66% year-over-year.
Some analysts believe Pandora is heading toward a programmatic advertising platform that will help the company. For some years now, analysts have said the digital music trend is moving to subscription on-demand music services, like Spotify.