Pandora Media Q2 2017 earnings were released after closing bell tonight, and the company posted non-GAAP losses of 21 cents per share on $376.8 million in revenue, which came out ahead of its guidance. Wall Street had been expecting per-share losses of 24 cents on $364.86 million in revenue. In last year’s second quarter, Pandora reported $343 million in revenue and non-GAAP losses of 12 cents per share.

Pandora Media Q2 2017 earnings

Pandora Media Q2 2017 earnings: losses widen

According to tonight’s Pandora Media Q2 2017 earnings report, the company’s GAAP losses amounted to $1.20 cents per share or $275.1 million, compared to 33 cents per share or $76.333 million in last year’s second quarter. Adjusted EBITDA fell to losses of $54.3 million from last year’s losses of $25.1 million. Unlike the GAAP result, Pandora’s adjusted EBITDA excludes goodwill impairments, stock-based compensation, contract termination fees, depreciation and amortization expenses, restructuring expenses and other expenses.

Ad revenue rose to $278.2 million from $265.126 million last year, while subscription and other revenue grew to $68.9 million from $55.125 million last year. Ticketing service revenues increased to $29.73 million from $22.771 million in the year-ago quarter. Local revenue surpassed 30% of total revenue for the first time. Cost of revenue rose to $243.825 million from $216.998 million last year. Content acquisition costs increased to $195.875 million from $176.633 million in last year’s second quarter.

Pandora Media had 4.86 million paying subscribers in the second quarter, up from 3.93 million in the year-ago quarter. The company had 76 million active listeners at the end of this year’s second quarter, adding that listeners turned in 26 days on average during the quarter and listened to about 23 hours a month. Ad RPM increased to $66.15 from $53.34 last year. Total listener hours fell year over year, however, declining to 5.22 billion from 5.66 billion last year.

Pandora Media has yet to appoint next CEO

This Pandora Media Q2 2017 earnings report is interim CEO Naveen Chopra’s first in that role. Previous CEO Tim Westergren, who co-founded the streaming radio service provider 17 years ago with Will Glaser and Jon Kraft, resigned last month after less than two years at the helm. Investors and analysts will be watching to see if there’s any news on the search for the next chief executive.

Because Chopra is Pandora’s CFO, either he will get a promotion and a new CFO will be named, or someone else will be given the top post. Interestingly, Needham analyst Laura Martin increased her estimates for Pandora following Westergren’s departure and said she expected the next chief to steer the company back in the direction of its core ad business and away from the aggressive spending on marketing aimed at driving subscriptions.

Pandora said it will reveal some guidance metrics on the earnings call tonight. After the Pandora Media Q2 2017 earnings were released, the company’s stock surged in after-hours trades, rising by about 4% to as high as $9.27.