2023 in brief
In 2023, Storytel continued on the transformative journey that was initiated the previous year. Under the new leadership, and with a clear strategic focus on profitable growth in our ten core markets, the company is well positioned for a successful 2024 and beyond. By the end of 2023 Storytel was doing substantially better financially than the year before, with several initiatives relating to strategic direction and efficiency optimization in motion.
- 3,489 MSEK Revenue
- 248 MSEK in Adjusted EBITDA
- 7.1% in Adjusted EBITDA margin
- 2.2 million subscribers
Given the pace of the transformation, bolstered by a strong operational and financial performance in 2023, the midterm financial targets for 2026 have been updated. The aim is to reach 4.5 billion SEK in group revenue, streaming revenue CAGR of 10-12 percent, an adjusted EBITDA-margin above 15 percent and operational cash flow above 10 percent of revenue. Already in 2024 we expect to see results which demonstrates that we are heading in the right direction.
On an operational level the focus has been streamlined into two core business areas; Streaming and Publishing. While operations in these business areas are executed differently, we prioritize certain aspects attributable to both business areas: a localized approach to our markets, an organization and culture fit for our mission and, of course, the essence of Storytel – our stories.
Operational highlights in 2023
- Strengthened Management Team: Several key recruitments.
- ARPU Increase: The average revenue per user has increased by 6.5% compared to last year, driven primarily by updated pricing and packaging in the Nordics.
- Lower Global Paid Churn: A decrease by 1.5 percentage points from last year. More users stay subscribed for longer.
- Better CLV/SAC Ratio: This measure of marketing efficiency improved throughout the year and is 25% higher in the Q4 compared to last year.
- Strong content/rights acquisitions including collaborations with acclaimed writers Denise Rudberg and Seppo Jokinen.
- Partnership with Telcos: Accounting for more than 10% of our net paid subscriber additions over the year.
- Voice Switcher feature launch: Through strategic partnership with Eleven Labs, making listening more customizable with AI voices
Our strategy
Throughout our transformation journey initiated in 2022, we’ve taken significant steps to build a solid foundation for a strong and resilient company. We’ve focused on achieving profitable growth, ensuring that our strategies and tactics align with the evolving market dynamics.
Additionally, we’ve prioritized improved cost management and successfully achieved efficiency and scalability across our organization, systems, and processes in order to redefine our operations within the digital storytelling landscape.
Great stories are the at core of Storytel. We are dedicated to offering an extensive selection of audio stories that cater to every user, situation, and need. Our steadfast focus remains on our ten core markets. At the same time, we will maintain presence in our Expansion markets at current levels, while remaining open to the possibility of re-accelerating investment and growth in the future.
Throughout the year, we have placed particular emphasis on ensuring that our strategy fosters synergies between the Streaming and Publishing business areas, while cultivating a data-driven culture focused on efficiency and operational excellence.
Ultimately, these principles will guide us on our mission to move the world through story
