After the market closed Thursday, online music streaming service Pandora reported a third quarter loss of $85.9 million.
The company lost 40 cents per share. Pandora met street estimates and posted an adjusted profit of 10 cents per share. Its revenue of $311.6 million narrowly missed estimates of $313 million.
Shares were down 20% in after hours trading following Pandora’s performance.*
Pandora continues to face stiff competition in the crowded music streaming sector from Spotify, Google and Apple. Today’s report was the first to show the impact of Apple’s fledgling streaming service, which launched in late June, on Pandora.
The company also lowered its guidance for the 2015 fiscal year. It predicts revenue to be between $1.153 billion and $1.158 billion, down from $1.175 billion to $1.185 billion. Its Q4 forecast is much lower than analysts’ expectations, between $325 and $330 million.
The company ended with $442.6 million in cash and investments, down from $461.5 million at the end of Q2.
*This post has been updated to reflect current market data.
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