Universal Music Group (UMG) recently announced its financial performance for the first quarter of 2024, showcasing notable growth in various sectors.
UMG’s revenue saw a significant rise of 7.9% year-on-year in constant currency, reaching €2.59 billion, driven by strong growth in all operational areas.
Of particular interest is the surge in recorded music subscription revenue, up by 12.5% in constant currency, indicating high demand for UMG’s music catalog among streaming subscribers. Streaming revenue, including ad-funded streams, also saw a healthy growth of 10.3% in constant currency.
UMG’s music publishing division experienced a substantial revenue increase of 18.4% in constant currency, contributing positively to the overall financial performance.
Adjusted EBITDA for UMG stood at €591 million, marking an impressive increase of 15.9% in constant currency, reflecting the effectiveness of UMG’s strategic initiatives and operational efficiencies.
Key artists driving UMG’s strong performance in the quarter include globally recognized names such as Taylor Swift, Noah Kahan, Morgan Wallen, Ariana Grande, and Olivia Rodrigo. These results cover the period up to March 31, preceding the release of Taylor Swift’s latest album, “The Tortured Poets Department.”
In his remarks on the financial results, Sir Lucian Grainge, Chairman, and CEO of Universal Music Group, highlighted the company’s commitment to prioritizing artists and credited UMG’s ongoing success to its artist-centric approach and talented teams.
Boyd Muir, Universal Music Group’s EVP, CFO, and President of Operations, expressed optimism about the company’s performance, citing positive revenue growth across all segments and strong EBITDA expansion. Muir reiterated UMG’s confidence in its strategic plans for the current year and beyond, signaling a promising outlook.
