Pandora CFO Predicts Better Scaled Royalty Payments, Points to Increased Mobile Monetization

pandora-650px

From Billboard:

Internet radio giant Pandora believes it can lower its royalty costs as a share of revenue by roughly 20 percentage points over the next one to three years, the company’s new chief financial officer said Tuesday.

Pandora believes its content costs can get back to “40% with the right scale over the next one to three years,” chief financial officer Mike Herring said at the ROTH Capital Conference in Laguna Niguel, California on Tuesday. Content costs, or the royalties Pandora pays the various performing rights organizations, were 61% of revenue in the company’s latest fiscal year were 54% of revenue the prior year.

Continue reading the rest of the story on Billboard