Despite increasing total revenue from $1.38 billion to $1.46 billion in 2017, Pandora continues to lose money quarter after quarter, year after year. In 2016 Pandora’s net loss was $343 million. That number jumped to $518.3 million last year.
The company did improve a bit in Q4 of 2017 losing only $45 million, compared to $90 million a year earlier. One of the biggest headaches for the pure-play streamer is content acquisition costs. The more users stream their product, the more they have to pay for it. Content acquisition costs went from $734.3 million in 2016 to $804 million in 2017.
For the fourth quarter of 2017, the company ended with $500.8 million in cash and investments, compared to $499.4 million at the end of the prior quarter.