Spotify got a major boost in revenue growth in Q1.

Total revenue grew by 14% year-over-year, driven by higher-than-expected performance in monthly active user growth, ad revenue and premium subscribers.

The company still ended the quarter in a loss, however, due to a 36% year-over-year increase in operating expenses. This was due to higher personnel costs associated with the company’s headcount growth in 2022, as well as severance charges related to layoffs that were announced in the quarter. The company also had a major increase in “social charges,” which are largely tax charges related to salaries, benefits and share-based compensation.

Ad revenue grew by 17% year-over-year, with Spotify saying there was double-digit growth in most markets. The company described growth in music ads as being in the low double-digits, with a higher number of impressions sold being slightly offset by softer pricing created by the current economic environment. Podcast ad revenue was up by roughly 20% year-over-year, which Spotify said was driven by impression and CPM growth for its original and exclusive podcasts.

Spotify also said growth for its audience network was up by double-digits compared to the previous quarter.

Monthly active users on Spotify increased by 22% year-over-year, which the company attributed to increased brand awareness and performance marketing initiatives, as well as reduced churn and additions across demographics and markets.

Revenue from subscribers to Spotify’s ad-free premium tier grew by 14% year-over-year, with a 15% growth in the number of subscribers offset by a 1% decline in average revenue per user.