News: The company had 89 million active monthly users by the end of last year.
Spotify’s revenues increased to nearly €2bn in 2015, but the music streaming service’s losses increased due to its continued investment in global expansion.
Revenues increased 80% to €1.95bn last year, compared to €1.08bn in 2014. The company reported a net loss of €173.1m, up 6.7% from €162.3m in 2014.
The company said that in many ways, it was its best year ever.
Revenue from advertisements has approximately doubled and its user base has also increased significantly. The company had 89 million active monthly users by the end of last year, of which 28 million were paying for subscriptions.
Of the company’s revenue, €1.74bn came from paid subscriptions in 2015, up from €978.6m in 2014.
The company nearly doubled its advertising revenue to €195.8m in 2015 from €98.8m in 2014.
Spotify is investing heavily in both existing products and new services in order to compete with rivals including Apple and Google.
Earlier this year, Spotify raised $1bn in debt financing. The company was valued at $8.5bn in June 2015.
Launched in 2008, Spotify has risen fast among the ranks of other streaming music services in the market like Rdio, Beats Music and Google Play Music.
The Wall Street Journal quoted Spotify directors Martin Lorentzon and Par-Jorgen Parson as saying, "We face competition from players with substantial resources at their disposal.
"The group intends to continue making significant investments in developing new products."
Lorentzon and Parson said Spotify will generate substantial revenues as its reach expands and margins will enhance.
Earlier this year, Spotify acquired two new companies, Cord Project and Soundwave, as part of its strategy to build great experience for music fans.
Spotify is using the Google Cloud Platform to power its data infrastructure.
The company, which is already available on Google’s Chromecast, hosts more than 2 billion playlists and gives consumers access to over 30 million songs.