WMG revenues, losses narrow in Q2

Digital revenue up 8% to $222 million

Warner Music Group reported Wednesday that its revenues and net losses both declined in the company’s second fiscal quarter ended March 31.

WMG’s revenues narrowed 8% vs. the same quarter in 2011, falling to $628 million from $684 million. Firm said growth in Japan, Asia, Italy and Canada was offset by weakness in the U.S. and most of Europe.

The company attributed the revenue drop to a lighter release schedule and a continuing decline in physical revenue from recorded music.

Net losses narrowed 5% to $36 million from $38 million a year earlier.

In recorded music, an 8% increase in digital revenue (to $222 million) was the only bright spot on the books. Overall, the division’s revenue plunged 9% to $503 million, while operating income fell 30% to $48 million.

WMG’s major sellers for the quarter were EDM artist Skrillez, rock duo the Black Keys, pop singer Bruno Mars and U.K. artist Ed Sheeran.

Music publishing revenue slipped 7% to $128 million from $137 million. Though synch revenue increased 3.2%, performance revenue declined 6%, in part due to reduction in domestic radio license fees.

Want to read more articles like this one? SUBSCRIBE TO VARIETY TODAY.
Post A Comment 0


    Leave a Reply

    No Comments

    Comments are moderated. They may be edited for clarity and reprinting in whole or in part in Variety publications.

    Fill in your details below or click an icon to log in:

    WordPress.com Logo

    You are commenting using your WordPress.com account. Log Out / Change )

    Twitter picture

    You are commenting using your Twitter account. Log Out / Change )

    Facebook photo

    You are commenting using your Facebook account. Log Out / Change )

    Google+ photo

    You are commenting using your Google+ account. Log Out / Change )

    Connecting to %s

    More Music News from Variety