- Share this article on Facebook
- Share this article on Twitter
- Share this article on Email
- Show additional share options
- Share this article on Print
- Share this article on Comment
- Share this article on Whatsapp
- Share this article on Linkedin
- Share this article on Reddit
- Share this article on Pinit
- Share this article on Tumblr
Warner Music Group on Thursday reported mixed fiscal third-quarter financials as underlying results improved, but its net loss widened.
The company, which Len Blavatnik‘s Access Industries acquired in 2011, cited the success of recorded music releases from the likes of Michael Buble, Bruno Mars and Paramore as boosting revenue.
“We recorded a solid quarter, having released several successful albums, and delivered strong performance from carry-over releases, while continuing to exercise financial discipline and to benefit from the outstanding execution of our operators,” said CEO Stephen Cooper. “We are also very pleased that on July 1 we closed the acquisition of Parlophone Label Group, and we are now moving forward with our plans for Parlophone’s extraordinary artists, legendary catalog and talented team.”
WMG’s quarterly loss widened to $63 million driven by higher tax expense. In the year-ago period, the company had posted a loss of $32 million. On an operating basis, earnings rose from $7 million to $8 million.
Operating income before depreciation and amortization, another profitability metric, increased 5 percent to $69 million.
Fiscal third-quarter revenue of $663 million was up 1.8 percent, or 3.6 percent assuming constant currencies, compared with the year-ago period.
Recorded music revenue rose 3.3 percent, or 5.3 percent on a constant currency basis, while music publishing revenue dropped 2.9 percent, or 2.2 percent assuming constant currencies.
Total digital revenue grew 11.7 percent to $257 million and represented 38.8 percent of total revenue, compared to 35.3 percent in the prior-year period.
During a conference call, management reiterated that it was confident in its ability to integrate Parlophone and said it would continue to look for possible further acquisitions.
Sign up for THR news straight to your inbox every day
More from The Hollywood Reporter
Justin Roiland Domestic Violence Charges Dismissed by Orange County District Attorney
The Stories Behind Whitney Houston’s Unreleased Gospel Songs: “She Left Healing Music for the World”
Mindy Kaling, Bruce Springsteen, Julia Louis-Dreyfus Among Honorees of White House’s National Medals of Arts
Ed Sheeran Goes on Intimate Journey in New Disney+ Docuseries ‘Ed Sheeran: The Sum of It All’
Mark Twain Prize
Adam Sandler’s Starry Friends Toast His Comic Legacy as He Receives Mark Twain Humor Prize