Pandora (P) saw its loss widen to $132.27 million, or $0.56 a share for the quarter ended Mar. 31, 2017. In the previous year period, the company reported a loss of $115.10 million, or $0.51 a share. On the other hand, adjusted net loss for the quarter widened to $57.19 million, or $0.24 a share from a loss of $45.22 million or $0.20 a share, a year ago. Revenue during the quarter grew 6.29 percent to $316 million from $297.30 million in the previous year period. Gross margin for the quarter contracted 362 basis points over the previous year period to 26.72 percent. Operating margin for the quarter stood at negative 39.49 percent as compared to a negative 36.79 percent for the previous year period.
Operating loss for the quarter was $124.78 million, compared with an operating loss of $109.37 million in the previous year period.
Adjusted EBITDA for the quarter stood at negative $71.30 million compared to negative $57.44 million in the prior year second quarter. At the same time, adjusted EBITDA margin stood at negative 22.56 percent for the quarter compared to negative 19.32 percent in the last year period.
“Although it remains early days, we are enthusiastic about the recent launch of Pandora Premium," said Tim Westergren, Founder and Chief exeutive officer of Pandora. “Pandora Premium is a major leap forward for the company and allows us to offer a variety of products to our large base of listeners. Additionally, our Q1 results were consistent with our expectations and demonstrated Pandora’s ability to improve ad monetization, while controlling costs and evolving our consumer experience in ways that enhance usage trends of our most engaged listeners.”
For the second-quarter 2017, Pandora expects revenue to be in the range of $360 million to $375 million.
For fiscal year 2017,Pandora expects revenue to be in the range of $1,500 million to $1,650 million for financial year 2017.
Operating cash flow remains negative
Pandora Media has spent $36.02 million cash to meet operating activities during the quarter as against cash outgo of $13.10 million in the last year period. Cash flow from investing activities was $1.48 million for the quarter as against cash outgo of $18.88 million in the last year period.
Cash flow from financing activities was $5.19 million for the quarter, up 468.02 percent or $4.27 million, when compared with the last year period.
Cash and cash equivalents stood at $170.88 million as on Mar. 31, 2017, down 43.69 percent or $132.57 million from $303.45 million on Mar. 31, 2016.
Working capital declines
Pandora Media has witnessed a decline in the working capital over the last year. It stood at $289.83 million as at Mar. 31, 2017, down 24.48 percent or $93.96 million from $383.79 million on Mar. 31, 2016. Current ratio was at 2.14 as on Mar. 31, 2017, down from 2.53 on Mar. 31, 2016.
Days sales outstanding went down to 77 days for the quarter compared with 79 days for the same period last year.
At the same time, days payable outstanding went up to 8 days for the quarter from 6 for the same period last year.
Debt increases substantially
Pandora Media has witnessed an increase in total debt over the last one year. It stood at $347.22 million as on Mar. 31, 2017, up 45.27 percent or $108.21 million from $239.01 million on Mar. 31, 2016. Pandora Media has witnessed an increase in long-term debt over the last one year. It stood at $347.22 million as on Mar. 31, 2017, up 45.27 percent or $108.21 million from $239.01 million on Mar. 31, 2016. Total debt was 31.62 percent of total assets as on Mar. 31, 2017, compared with 20.05 percent on Mar. 31, 2016. Debt to equity ratio was at 0.75 as on Mar. 31, 2017, up from 0.36 as on Mar. 31, 2016. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: [email protected]
