Interim Report January – March 2019: Storytel AB (publ)

Click here to watch the quarterly video with CEO Jonas Tellander and CFO Sofie Zettergren. For full report, see attached pdf.

  • Streaming sales up 33% Y/Y to 296 (222) MSEK
  • Subscriber base up 44% Y/Y to 834,300 (577,900) on average
  • Net turnover increased to 385,016 (312,163) TSEK
  • Earning per share, after taxes amounted to -1.60 (-1.00) SEK
  • Storytel launched its sixteenth market, Singapore
  • Acquired Ztory, a streaming service for newspapers and magazines

Table 11: Key performance indicators for Streaming and Print Publishing –
starting in the next quarter the segmentation will change to that of Table 2

Currency: SEK 000’s Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019
Streaming Total
Revenue 222,133 239,139 279,979 291,315 295,994
Contribution Profit2 24,079 25,045 22,063 30,444 31,372
Contribution Margin 10.8% 10.5% 7.9% 10.5% 10.6%
Paying Subscribers 577,900 621,200 720,900 768,700 834,300
ARPU3 (SEK/Month) 128 128 129 126 118
Streaming Sweden
Revenue 122,046 125,759 135,986 139,977 136,861
Contribution Profit2 43,067 35,763 40,888 49,190 44,797
Contribution Margin 35.3% 28.4% 30.1% 35.1% 32.7%
Paying Subscribers 305,100 314,700 336,200 345,200 363,200
ARPU3 (SEK/Month) 133 133 135 135 126
Streaming International4 
Revenue 100,087 113,380 143,993 151,338 159,133
Contribution Profit2 -18,988 -10,718 -18,826 -18,746 -13,425
Contribution Margin -19.0% -9.5% -13.1% -12.4% -8.4%
Paying Subscribers 272,800 306,500 384,700 423,500 471,100
ARPU3 (SEK/Month) 122 123 125 119 113
Print Publishing5 
Revenue 106,312 115,898 116,252 170,435 107,316
Contribution Profit6 39,223 41,889 40,140 54,681 32,775
Contribution Margin 36.9% 36.1% 34.5% 32.1% 30.5%

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1 Starting in Q2 2019, a new segmentation will be implemented where reported key performance indicators for Streaming will be grouped into Nordics and Non-Nordic countries.
2 Contribution Profit is defined as streaming revenue minus content costs (royalty for licensed content, in-house productions and royalty to rightsholder), transactions costs and marketing. Storytel Reader or Ztory is not included in Streaming.
3 ARPU = Average Revenue Per User (Subscriber) per month. In Q1 2019, Storytel released a Family subscription in the Nordic markets and ran a discounted campaign, which lowered ARPU. Fewer days in Q1 (90) and growth in low priced markets also contributed to the lower ARPU.
4 Storytel Norway is included in figures @ 100%. In the consolidated group accounts, Norway is reported in accordance with the principle of proportional consolidation.
5 Print Publishing refers to physical books and digital sales through channels other than Storytel. Internal revenues from Storytel have been eliminated. All publishing houses in Sweden and outside of Sweden are included.
6 Contribution Profit is defined as revenue minus cost per sold unit, royalties to rights holders, distribution, sales and marketing costs.

Table 2: Key performance indicators for Streaming and Print Publishing – new segmentation.
Starting with the Jan-June 2019 interim report, the following table will replace Table 1

Currency: SEK 000´s Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 Q2 2019
Streaming Total Forecast1
Revenue 222,133 239,139 279,979 291,315 295 994 313,000
Contribution Profit2 24,079 25,045 22,063 30,444 31 372
Contribution Margin 10.8% 10.5% 7.9% 10.5% 10,6%
Paying Subscribers 577,900 621,200 720,900 768,700 834,300 880,000
ARPU3 (SEK/Month) 128 128 129 126 118 119
Streaming Nordics4 
Revenue 205,987 218,714 253,081 259,256 258,288 270,000
Contribution Profit2 56,584 57,986 62,327 82,645 75,329
Contribution Margin 27.5% 26.5% 24.6% 31.9% 29.2%
Paying Subscribers 503,200 530,200 595,400 616,300 645,500 660,000
ARPU3 (SEK/Month) 136 138 142 140 133 136
Streaming Non-Nordics
Revenue 16,146 20,424 26,898 32,059 37,706 43,000
Contribution Profit2 ?32,505 ?32,941 ?40,264 ?52,200 ?43,957
Contribution Margin ?201.3% ?161.3% ?149.7% ?162.8% ?116.6%
Paying Subscribers 74,700 91,000 125,500 152,400 188,800 220,000
ARPU3 (SEK/Month) 72 75 71 70 67 65
Print Publishing5 
Revenue 106,312 115,898 116,252 170,435 107,316
Contribution Profit6 39,223 41,889 40,140 54,681 32,775
Contribution Margin 36.9% 36.1% 34.5% 32.1% 30.5%

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1 “Forecast” means an approximation based on information available at the time the report was prepared..
2 Contribution Profit is defined as streaming revenue minus content costs (royalty for licensed content, in-house productions and royalty to rightsholder), transactions costs and marketing. Storytel Reader or Ztory is not included in Streaming.
3 ARPU = Average Revenue Per User (Subscriber) per month. In Q1 2019, Storytel released a Family subscription in the Nordic markets and ran a discounted campaign, which lowered ARPU. Fewer days in Q1 (90) and growth in low priced markets also contributed to the lower ARPU.
4 Storytel Norway is included in figures @ 100%. In the consolidated group accounts, Norway is reported in accordance with the principle of proportional consolidation.
5 Print Publishing refers to physical books and digital sales through channels other than Storytel. Internal revenues from Storytel have been eliminated. All publishing houses in Sweden and outside of Sweden are included.
6 Contribution Profit is defined as revenue minus cost per sold unit, royalties to rights holders, distribution, sales and marketing costs.

Forthcoming reports

  • Interim Report Jan – June 2019: 13 August 2019
  • Interim Report Jan – Sep 2019: 12 Nov 2019

FNCA Sweden AB is the company’s certified adviser. FNCA can be reached at info@fnca.se or +46 8 528 00 399. 

Stockholm, 14 May 2019
Board of Directors – Storytel AB (publ)

For more information, please contact:

Jonas Tellander, CEO: +46 70 261 61 36
Sofie Zettergren, CFO: +46 70 509 98 08
Dan Panas, Head of Communication: +46 70 186 52 90 

This information is information that Storytel AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at the time set out in this press release.

About Storytel

Storytel is Northern Europe’s leading audiobook and e-book streaming service and offers unlimited listening and reading of more than 200 000 titles on a global scale. Our vision is to make the world a more empathetic place with great stories to be shared and enjoyed by anyone, anywhere and anytime. Storytel is a digital platform provider as well as a comprehensive publishing group. The streaming business area offers subscriptions for audiobooks and e-books under the Storytel and Mofibo brands. Storytel’s publishing business area is carried out through the publishing houses Norstedts, Massolit, StorySide, Printz Publishing, People’s Press, Rabén & Sjögren, B.Wahlströms and Norstedts Kartor. Ztory – a subscribed digital read-all-you-can streaming service for newspapers and magazines, is part of Storytel since January 2019. Storytel operates in 16 markets around the globe and is headquartered in Stockholm, Sweden.