Deezer raised 2026 guidance after Q3 revenue grew 1.0%

Deezer now expects adjusted EBITDA to exceed €10 million in 2026, compared with previous guidance of positive adjusted EBITDA. It also expects revenue to grow slightly this year, having previously guided for broadly stable revenue. The company said it remains on track to generate positive free cash flow for a third consecutive year.

CEO Alexis Lanternier said in a statement: "We delivered revenue growth for a second consecutive quarter, supported by the continued expansion of our direct business." He added: "Our continued operational progress and disciplined execution gives us the confidence to raise our full-year revenue outlook and strengthen our profitability outlook."

Direct business grows

Deezer reported that direct revenue rose 6.4% to €94.1 million in the three months to 30 September, about 70% of quarterly revenue. Direct subscribers grew 5.7% to 5.8 million. In France, direct subscribers grew 6.5% to 3.9 million; rest of world grew 4.0% to 1.9 million. That compared with direct subscriber growth of 8.7% in the first half, when France grew 8.4% and rest of world 9.2%. Direct ARPU was €5.4 a month, down 0.2%. Deezer said the direct revenue increase was driven by growth in its average subscriber base. In France it credited Family offers; in the rest of the world it pointed to subscriber gains earlier in 2026 and improved retention. It said rest of world growth came despite a strong prior-year comparison base.

Partnership run-off

Partnership subscribers fell 17.1% to 2.9 million, and total subscribers fell 3.2% to 8.7 million from 9.0 million. Deezer attributed the partnership drop to the expected run-off of legacy distribution deals. Partnerships revenue fell 7.5% to €33.4 million. Partnership ARPU rose 16.7% to €3.7 a month, which Deezer attributed to a more favourable offer mix. Other revenue, which includes advertising and ancillary income, fell 20.6% after a content licensing agreement ended in the fourth quarter of 2025.

The run-off is not new. In the first quarter of 2026, partnership subscribers were 3.2 million, down 23.0% year on year, reflecting the Mercado Libre deal, Deezer said. In the first half, Deezer linked the decline in partnerships revenue mainly to the wind-down of that Mercado Libre partnership in Brazil.

Regional and nine-month revenue

By geography, third-quarter revenue in France grew 3.8% to €84.7 million, while rest of world revenue fell 3.6% to €49.1 million. Across the first nine months, revenue grew 0.6% to €402.0 million.

First-quarter 2026 revenue was €131.9 million, down 1.6% year on year. The second and third quarters returned to growth. Deezer reported first-half adjusted EBITDA of €8.5 million, up from €2.1 million a year earlier. In 2025, it posted adjusted EBITDA of €9.7 million and its first-ever annual net profit.