Universal Music Group (UMG) has recently disclosed its financial performance for the initial quarter of 2024, revealing a commendable growth trajectory across its diverse segments.
The revenue for UMG experienced a significant upswing of 7.9% year-on-year in constant currency, reaching €2.59 billion. This positive outcome was underpinned by robust expansion observed across all operational divisions.
Noteworthy is the recorded music subscription revenue, which surged by 12.5% in constant currency, indicating a buoyant demand for UMG’s music catalog among streaming subscribers. Additionally, streaming revenue, including ad-funded streams, witnessed a commendable growth of 10.3% in constant currency.
Moreover, the music publishing arm of UMG exhibited a substantial revenue increase of 18.4% in constant currency, further bolstering the conglomerate’s overall financial performance.
UMG’s adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) stood at €591 million, marking an impressive surge of 15.9% in constant currency. This remarkable growth in adjusted EBITDA reflects the efficacy of UMG’s strategic initiatives and operational efficiencies.
Top-selling artists contributing to UMG’s stellar performance in the quarter include globally renowned names such as Taylor Swift, Noah Kahan, Morgan Wallen, Ariana Grande, and Olivia Rodrigo. Notably, these results encompass the period up to March 31, predating the release of Taylor Swift’s latest album, “The Tortured Poets Department.”
Commenting on the financial results, Sir Lucian Grainge, Chairman, and CEO of Universal Music Group, emphasized the company’s steadfast commitment to placing artists at the forefront of its endeavors. He attributed UMG’s continued success to its artist-centric approach and the expertise of its industry-leading teams.
Boyd Muir, Universal Music Group’s EVP, CFO, and President of Operations, expressed optimism regarding the company’s performance, noting the positive revenue growth across all segments and robust EBITDA expansion. Muir underscored UMG’s confidence in its strategic plans for the current year and beyond, signaling a promising outlook for the future.
