Warner Music Group posted $1.7 billion in revenue for the company’s second quarter, WMG reported Thursday, a 17 percent jump from a year ago.
Recorded music revenue was similarly up 17 percent, up to $1.38 billion from $1.17 billion, and publishing revenue rose 14 percent to $453 million. Net income spiked to $181 million from $36 million last year.
“Our Q2 results demonstrate the powerful combination of creative and operational success, as well as financial discipline, providing clear evidence that our strategic transformation is working,” WMG CEO Robert Kyncl said in a statement. “Anchored by our 3 strategic pillars to grow share, increase the value of music, and improve efficiency and effectiveness, our momentum is building and we are well-positioned to continue delivering long-term value for our artists, songwriters and shareholders.”
Notably, beyond the financial updates in its report, WMG also disclosed that since establishing its $1.2 billion catalog acquisition joint venture with Bain Capital last year, they’ve already acquired $650 million in recorded and publishing catalogs, though WMG didn’t include any specifics on what those deals were. Outside of the JV, Warner Music also acquired indie music distribution platform Revelator back in April.
The earnings report came hours after WMG announced a new first-look deal with Paramount for theatrical films. Back in March, WMG announced another first-look with Netflix for documentary content on its roster.
On the call, Kyncl cited upcoming releases from Charli XCX, Alex Warren and Sombr among others to drive more revenue for Q3.
Also on the call, Kyncl confirmed that CFO Armin Zerza will be serving as COO as well, starting tomorrow.
“For the fourth consecutive quarter, we have delivered on our sustainable growth model, accelerating core growth, margin expansion, and cash flow productivity,” Zerza said in a statement. “Behind a profitable growth engine that pairs disciplined capital allocation and rigorous cost management with industry-leading creative and AI initiatives, we are well-positioned to create significant long-term value for our shareholders.”
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