PARIS, France (CelebrityAccess) — French music streaming platform Deezer announced solid gains in revenue but still failed to turn a profit during the company’s fiscal year 2022.
According to Deezer, the company generated revenue of €451 million in 2022, up by +13% overall, with double-digit increase across every segment and region the company operates in.
During the same period, Deezer reported gross profit of 98 million in 2022, up by 16% year-over-year with results driven by both margin improvement and revenue growth, the company said.
However, Deezer is still operating in the red and reported a net loss of €168.5 million, up from the €123.3 million they recorded in 2021.
Deezer also reported that total subscribers for the platform declined in 2022. While Deezer added 300,000 new subscribers in France (up by 8.1% year-over-year), global subscriptions declined by 11% internationally.
“I’m very proud of what we achieved in 2022 and I would like to thank the team for an outstanding execution of our strategy over the past 12 months. Joining Deezer, I had four clear goals; secure funding, increase differentiation, achieve double digit growth and reach profitability. Despite very challenging market conditions in 2022, we were able to secure enough funds to fully execute our plan. We increased revenues by 13% with growth in all segments and geographies, while cutting losses in the core business by €18m and setting a clear path to profitability,” stated Jeronimo Folgueira, Chief Executive Officer of Deezer.
“2022 was also a year of differentiation for Deezer, establishing ourselves as the go-to player for tailored music solutions through exciting partnerships, including RTL+ Musik in Germany and Sonos in the US. Moreover, with a new product vision, we are on our way to transform Deezer from a traditional DSP to a provider of unique music experiences. Our relationship with the labels is stronger than ever and they are key partners in our quest to improve economics in the music ecosystem. We’re only at the beginning of a very exciting journey for Deezer and in 2023 we will continue to evolve through differentiation and improved profitability,” Folgueira added.
