Pandora has reportedly rejected an acquisition offer from SiriusXM radio parent company Liberty Media – a decision it may regret after failing to hit its Q2 revenue targets.
The US online radio station’s share price for the quarter was down 8% after generating revenues of $343m – over $8m short of its $343m target.
Its financial shortcomings were compounded by a dip in listener numbers, amassing 78.1 million listeners for Q2 compared to 79.4 million last month. On a slightly more positive note for the company, listening hours were up for the quarter at 5.66 billion compared to 5.52 billion last quarter and 5.3 billion a year ago.
With numbers down on both fronts, the company may well regret turning down a recent buyout bid from SiriusXM radio over Liberty Media. According to the Wall Street Journal, Pandora turned down an offer of around $15 per share, as it was holding out for a deal closer to $20 per share.
And, with Spotify continuing to the lead the streaming market and Apple Music planning a redesigned product later this year, competition in the market is looking tighter than ever.