Warner Music Group Reports $ 1.37 Billion in Fourth Quarter Revenue

Major vendors included Iron Maiden, Dua Lipa, Ed Sheeran, Masked Wolf, and Ava Max.

Looking closely at the edition, Warner Chappell Music rose 21.3% to $ 205 million from $ 169 million in the same quarter last year. Breaking down publishing revenue, digital generated $ 120 million, up 20% from the $ 100 million in the same period last year. With Hollywood back in the swing, sync revenue increased to $ 39 million from $ 27 million in the fourth quarter of 2021. Mechanics grew from $ 10 million to $ 13 million, thanks to a more commercial upturn large and increased physical sales. As a percentage of revenue, digital decreased slightly to 58.5% of total publishing revenue from 59.2% in the previous year quarter.

On the earnings side, all of these positive steps helped push net income for the quarter to $ 30 million from $ 1 million in the previous year’s quarter, which was hit by the pandemic. OIBDA (operating income before depreciation and amortization) stood at $ 179 million compared to $ 155 million the previous year. Operating profit was $ 100 million, compared to $ 88 million in the prior year quarter.

Over the 12 month period, WMG generated total revenue of $ 5.301 billion from $ 4.463 billion the previous year, an increase of 19%. Recorded music accounted for $ 4.544 billion of that tally, up 19%, while digital took in $ 3.1 billion (itself up 21% year-on-year). Music publishing increased 16% to $ 761 million for the 12-month period. When it comes to annual profit, ’21 was a good year compared to 2020, when losses amounted to $ 470 million. With the easing of pandemic conditions in the first year, WMG’s net amount for the year was $ 307 million, the company said.

“Music is essential for billions of people around the world. But today more than ever, great talents need help to find their way. By bringing in new artists and songwriters, returning superstars and global legends, we have also achieved exceptional results in 2021, ”said Steve cooper, CEO, WMG.

“Our strong fourth quarter results put an exclamation mark on an exceptional year,” added Lou Dickler, interim CFO. “Even though some revenues have been impacted by COVID, the strength and resilience of our music has propelled us towards double-digit revenue growth and margin expansion in 2021. As the possibilities of music continue to evolve , we remain focused on creating shareholder value through our disciplined investment strategy and positioning ourselves for the next wave of growth. “

Fourth Quarter Financial Data

  • Total revenue: $ 1.376 million, up 22% year-on-year
  • Recorded music revenue: $ 1.172 million, up 22% year-on-year
  • Music publishing revenue: $ 205 million, up 21%
  • Digital revenue: $ 926 million, up 19% year-on-year
  • Net profit: $ 30 million, compared to $ 1 million
  • Operating income: $ 100 million, up 14%

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