Pandora’s CEO, Chairman, and President Joe Kennedy will resign from the company following yet another quarterly loss. Pandora’s board of directors has announced that it started its search for a successor and that Kennedy would continue to lead the company through its transition.
“As I near the start of my tenth year at the helm of Pandora, I am incredibly proud of the team and what we have accomplished in redefining radio. As part of our Board discussions of the road that lies ahead, I reached the conclusion and advised the Board that the time is right to begin a process to identify my successor,” Kennedy said in a press release from Pandora. “There is a tremendous market opportunity ahead and I look forward to continuing to work with all the great people at Pandora to keep driving the business forward.”
Despite having record revenue of $125.1 million for the quarter and $427.1 million for the year, the company still posted a loss of 9 cents per share for the quarter and 23 cents per share for the year on a GAAP basis. However, the stock price did jump 20% because the losses were less than Wall St. anticipated.
It’s worth noting that Pandora has been fighting to help reduce the royalty fees that it has to pay to artists, but has so far been unsuccessful on that front as well. I’m not saying artists shouldn’t be paid, but perhaps more reasonable fees should be considered.