Financially troubled U.K. company shows improvement
EMI Group’s balance sheet improved in the fiscal year ended March 30, as the financially troubled U.K. music company announced revenues up 5.2% to £1.65 billion ($2.6 billion) over fiscal 2009 in an annual report issued Wednesday.Company’s net loss of $798 million was down 67% on the $2.3 billion logged the previous year. Gross profit grew to $1.13 billion from just over $1 billion in 2009. Loss was a result of restructuring and finance charges tied to Terra Firma’s 2007 purchase of the company, but these charges narrowed dramatically over the past 12 months. “This report shows the very real operational progress that EMI has made in the past three years, in the face of the serious challenges faced by the music industry and the wider economy,” said Stephen Alexander, chairman of EMI parent Maltby Capital. Revenue at EMI’s recorded music division jumped 6.5% to $1.8 billion. It tied its improving performance to strong sales of the Beatles’ remastered catalog, which sold more than 10 million units worldwide, plus artists including Robbie Williams, Lady Antebellum, David Guetta, Lily Allen, Katy Perry and Coldplay. EMI Music Publishing’s revenue climbed 2.1% to $745 million. The division continued as the industry leader with writers including Beyonce, Black Eyed Peas, Gorillaz, Jay-Z, Lady Antebellum, Pink and Rihanna.