Spotify Technology S.a. key statistics and ratios

In fiscal 2025, Spotify Technology S.a. had return on equity of 32.3%, an operating margin of 12.8%, debt equal to 0.0% of equity and a current ratio of 1.72. Each ratio below is calculated from the figures on its income statement, balance sheet and cash flow pages.

Financial ratios

US$ thousands unless shown otherwise. Fiscal years, plus the last twelve months (LTM) when newer.

Spotify Technology S.a.: financial ratios, annual
Fiscal year	2016Dec 2016	2017Dec 2017	2018Dec 2018	2019Dec 2019	2020Dec 2020	2021Dec 2021	2022Dec 2022	2023Dec 2023	2024Dec 2024	2025Dec 2025
Gross margin	13.6%	20.8%	25.7%	25.5%	25.6%	26.8%	25.0%	25.6%	30.1%	32.0%
Operating margin	−11.8%	−9.2%	−0.8%	−1.1%	−3.7%	1.0%	−5.6%	−3.4%	8.7%	12.8%
Net margin	−18.3%	−30.2%	−1.5%	−2.7%	−7.4%	−0.4%	−3.7%	−4.0%	7.3%	12.9%
Free-cash-flow margin	2.5%	3.5%	4.2%	6.5%	2.3%	2.9%	0.2%	5.1%	14.6%	16.7%
Return on equity	—	—	−6.9%	−8.9%	−23.2%	−1.4%	−18.2%	−21.5%	28.9%	32.3%
Return on assets	—	−37.4%	−2.1%	−3.9%	−9.8%	−0.5%	−5.6%	−6.6%	11.4%	16.6%
Asset turnover	—	1.24	1.43	1.41	1.33	1.44	1.52	1.65	1.57	1.29
Current ratio	—	1.02	1.05	0.91	0.82	1.36	1.24	1.29	1.88	1.72
Debt to equity	—	0.0%	0.0%	0.0%	0.0%	56.7%	47.0%	47.7%	27.9%	0.0%
Interest cover (operating income ÷ interest)	—	—	—	n/m	n/m	2.4x	n/m	n/m	37.9x	70.9x
Effective tax rate	—	—	—	—	—	—	—	—	15.1%	0.5%
R&D as % of revenue	7.0%	9.7%	9.4%	9.1%	10.6%	9.4%	11.8%	13.0%	9.5%	8.1%
Capital spending as % of revenue	0.9%	0.9%	2.4%	2.0%	1.0%	0.9%	0.2%	0.0%	0.1%	0.4%
Free cash flow ÷ net income	—	—	—	—	—	—	—	—	200.7%	129.8%
Dividends and buybacks ÷ free cash flow	0.0%	0.0%	32.9%	100.0%	0.0%	32.2%	9.5%	0.0%	0.0%	15.3%

Returns use average equity or assets over the year. Return on equity is left blank when equity is negative or so small that the ratio says nothing (above ±200%); interest cover is left blank above 200 times. Price-based ratios such as P/E are on the valuation page.

Financial health

7 of 7 checks passed · December 31, 2025

What it owns · $17.6bn

Short-term assets $12.3bnLonger-term assets $5.3bn

What it owes, and who funded it · $17.6bn

Short-term liabilities $7.1bnLonger-term liabilities $705mShareholders' equity $9.8bn

Short-term assets cover short-term liabilities $12.3bn of assets due within a year against $7.1bn of liabilities due within a year.
Short-term assets cover long-term liabilities $12.3bn short-term assets against $705m of longer-dated liabilities.
More cash than debt $6.2bn of cash against $0 of debt.
Debt below 40% of shareholders' equity Debt is 0% of equity.
Debt burden no higher than five years ago Debt to equity moved from 0% to 0% over five years.
A year's operating cash flow covers at least 20% of debt No debt to cover.
Operating profit covers interest at least five times over Operating income of $2.5bn against $35m of interest.

From Spotify Technology S.a.'s latest balance sheet as filed. Checks are fixed, documented rules (methodology), counted only where the company reports the figures — a dot means the filing doesn't break the item out. Descriptions of reported data, not advice.

Moat

Not assessed: fewer than five years of comparable figures in the filings. AI disruption exposure for this industry: Medium.

A rules-based reading of reported figures, not a forecast and not investment advice. How the score is built: methodology.

Compare with peers

Head to head: BIDU vs SPOT SE vs SPOT SNAP vs SPOT

More: Interactive Media & Services stocks compared, Communication Services sector, rankings of US companies

Figures from Spotify Technology S.a.'s SEC filings (10-K and 10-Q), retrieved November 1, 2026. How we read and check them: methodology and data sources. Not investment advice. Back to Spotify Technology S.a.