Spotify hits 195 million paid subscribers

The company said on Tuesday that it has 195 million paying subscribers, an increase of 7 million since last quarter. By the end of the year, the company expects to have reached 200 million.

Wall Street wasn't happy with the results. In after hours trading, the stock is down more than 6 percent. The gross profit margin was two points lower than a year ago and below the company's prior guidance. The company said that this was because of an "unfavorable adjustment to prior period estimates for rights holder liabilities."

Due to the fact that music is only getting more expensive, there is a push into podcasting by the company. The number of podcasts on the platform has gone up. The company is succeeding in making the platform a prime destination for creators despite the fact that it is not profitable.

Following the investor call, we will have updates.