Warner Music Group’s total revenue grew 2.4%

Warner Music Group’s total revenue grew 2.4% (11.1% on a constant currency basis) to $849 million in the final three months of 2015, compared with the same period last year.  Digital revenue was up 18% to $348m and represented 41% of total revenue. Operating income before depreciation and amortisation (OIBDA) was $137m versus $102m in the prior-year quarter – a 34.3% increase, while net income was $28 million compared to a net loss of $41m in the same three-month period in 2014. “We delivered another strong quarter, thanks to great music from our artists and excellent execution from our worldwide team,” said Warner Music Group’s CEO Stephen Cooper. “Subscription streaming is a major driver of our growth and streaming revenue remains on a trajectory to become our largest revenue source.”

The company reported a cash balance of $278m, total debt of $2.986 billion and net debt of $2.7bn.

“We achieved robust growth in revenue, OIBDA, margin and cash flow,” added Eric Levin, Warner Music Group’s EVP and CFO.  “I am also pleased with our recently announced plans to redeem $50 million of our senior notes with cash on hand, which will further strengthen our balance sheet.”

Warner also announced it will share any proceeds from its equity stakes in digital music services with its artists.

Source: Music Week