Spotify told Wall Street it is going to have a very good year in 2018

Spotify founder and CEO Daniel Ek
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Spotify goes public next week. Today it is telling Wall Street how it expects to do for 2018.

Short version: Spotify thinks it is going to do very well this year, by generating a big increase in revenue and paid subscribers, while improving its margins. And it thinks its losses will shrink.

It would be surprising if Spotify didn’t have a good story to tell at this point. Its shares will start trading — via a “direct listing” instead of a traditional IPO, next Tuesday, April 3.

Any company wants a good story ahead of its IPO, but given the novelty of Spotify’s offering — it is mostly, but not entirely, doing it without the support of traditional investment banks — it needs a very good story to reassure nervous institutions.

Here is Spotify’s version:

Encouraging. And again, it would be surprising if it wasn’t.

Since we’re here, a couple things that stood out about Spotify’s predictions for its first quarter, which ends in a few days:

This article originally appeared on Recode.net.

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