What's Happening?
Storytel, a Stockholm-based audiobook company, has announced record profits for the year 2025, driven by substantial subscriber growth and innovative product features. The company reported a net profit of SEK 504 million, nearly double the previous year's profit. Storytel's streaming segment added 220,000 new paying subscribers, bringing the total to 2.67 million. The company also saw significant growth in its publishing revenue, with a record 18% increase. CEO Bodil Eriksson Torp highlighted the introduction of synced listening and reading, a refined search function, and personalized content discovery as key drivers of growth. The company launched a pay-per-book offering, expanding its catalogue with over 35,000 English titles.
Why It's Important?
The growth of
Storytel underscores the increasing popularity of digital formats like audiobooks and ebooks, which are reshaping the global book market. This trend is particularly significant in Europe and North America, where the number of monthly active audiobook users has nearly doubled since 2020. Storytel's success reflects broader industry projections that suggest continued growth in digital book consumption. The company's strategic initiatives and expansion plans position it to capitalize on this trend, potentially influencing publishing strategies and consumer habits in the U.S. and other markets.
What's Next?
Storytel aims to reach SEK 870 million in EBITDA by 2026 and surpass SEK 1 billion in EBITDA with 3 million subscribers by 2027. The company plans to achieve these targets through a combination of organic growth and strategic mergers and acquisitions. As Storytel continues to expand its footprint, it may face increased competition from other digital content providers, prompting further innovation in product offerings and marketing strategies.
