Internet radio company Pandora Media, Inc. beat analyst estimates Thursday with its first quarter financials showing solid growth off the back of increased listener hours.

Pandora reported revenue of $297.3 million for the quarter, up 29 percent over the same quarter in 2015 and ahead of a predicted $285.2 million; excluding revenue from ticketing services revenue came in at $275 million, up 19 percent year on year.

Advertising revenue was $220.3 million, a 23 percent year-over-year increase, with total ad revenue per thousand impressions (RPM) reaching $49.84, growing 14 percent year-over-year.

Local advertising revenue grew 42 percent compared to Q1 2015 to $61.3 million, while ticketing service revenue came in at $22.3 million, up 30 percent compared to the same quarter in 2015.

Although the number of listeners dropped to 79.4 million from 81.1 million in Q4 2015, listening hours increased to 5.52 billion hours from 5.37 billion in the last quarter.

The first quarter loss before interest, taxes, amortization and depreciation (EBITDA) came in at $57.4 million, below what the $65-75 million the company forecast in February.

“This was a really strong start to the year, and I see clear signs of momentum across our business,” Pandora Founder and Chief Executive Officer Tim Westergren said in a statement. “Our team is rapidly bringing Pandora’s audacious strategy to life, fundamentally changing how listeners discover and enjoy music while helping artists build sustainable careers.”

Guidance

Pandora’s upbeat financials were not a one off with the company predicting an improved outlook for Q2 as well as the year ahead.

The company said it expected revenue to come in at between $345 million to $355 million in the second quarter, with an adjusted EBITDA loss in the range of $20-30 million.

For the full year guidance is now in the range of $1.41 billion to $1.43 billion up slightly from its previous guidance of $1.4 billion to $1.42 billion; adjusted EBITDA loss is expected to be in the range of $50 million to $70 million, still a loss but a steadily shrinking one.

Although Pandora doesn’t specify exactly where it expects to make its gains in the coming year, particularly given its listener numbers are either flat or slight shrinking, there would be likely two drivers going forward: improving ad returns, both from a continued growth in RPMs coupled with increasing listening hours, but perhaps more interestingly its ticketing business.

TicketFly, Inc. was acquired by the company in 2015 and at the same time Pandora reported its financials, The New York Times reported that the ticketing business had reached a deal to be the exclusive ticketing provider for the Bowery Ballroom and the Mercury Lounge, “two of the most beloved clubs in New York,” and both of them previously with Ticketmaster Entertainment, Inc.

The number of tickets sales from both venues isn’t huge, with the Times describing the deal as “partly of symbolic importance,” but it may be that it’s a sign of things to come for the business, one that Pandora is likely very much aware of.

Shares in Pandora surged 8.27 percent in after-hours trading to close at $10.21 per share.

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