Digital music sales enjoying strong growth
Album sales by artists including Coldplay, Gorillaz, the Rolling Stones, Paul McCartney, Keith Urban and KT Tunstall helped EMI’s record division gain market share in the six months ended Sept. 30, the company said Monday.
Although the overall recorded music market was weaker than EMI had hoped, it told the stock market that it expects revs at its record companies to grow 4.5%. The London-based company would not divulge figures ahead of its interim results on Nov. 16, but it claims that the higher revenues, together with cost savings, should more than offset expenses, including higher marketing costs due to a heavier release schedule.
Meanwhile, EMI Music Publishing touted revenue growth of about 5.5%, with sync licenses to television and for other commercials continuing to exhibit particular strength.
And with revenues from digital music sales enjoying “very strong growth year-on-year,” EMI Group as a whole is eyeing growth of around 9% in profit before tax, amortization and exceptional items for the first half of the financial year.
Analysts expect full-year pretax profits to be around £160 million ($280.5 million).