Q3 2024 Warner Music Group Corp Earnings Call Transcript
Key Points
- Subscription streaming revenue grew by 14% on a normalized basis, driven by subscriber growth and price increases.
- Music publishing revenue increased by 9%, with streaming revenue up 12% on a normalized basis.
- Total adjusted OIBDA increased by 8%, with margin growth of 130 basis points.
- Strong performance in catalog optimization, with significant contributions from both new releases and deep catalog.
- Successful artist development, with new artists like Benson Boone achieving global success and topping charts.
- Recorded music revenue decreased by 1%, impacted by lower physical and artist services revenue.
- Ad-supported revenue showed minimal growth, increasing only by 1%, due to a challenging ad market.
- Physical revenue decreased by 4% due to the timing of releases and strong prior year comparisons.
- Artist services and expanded-rights revenue decreased by 26%, driven by lower merchandising and concert promotion revenue.
- Meta's decision to no longer make premium music videos available will result in a $10 million quarterly revenue impact starting in Q4.
Welcome to the Warner Music Group third-quarter earnings call for the period ended June 30, 2024. At the request of Warner Music Group, today's call is being recorded for replay purposes. And if you object, you may disconnect at any time. Now I'd like to turn today's call over to your host, Mr. Kareem Chin, Head of Investor Relations. You may begin.
Good morning, everyone, and welcome to Warner Music Group's fiscal third-quarter earnings conference Call. Please note that our earnings press release, earnings snapshot and Form 10-Q are available on our website. On today's call, we have our CEO, Robert Kyncl, and our CFO, Bryan Castellani, who will take you through our results, and then we will answer your questions.
Before our prepared remarks, I'd like to refer you to the second slide of the earnings snapshot to remind you that this communication involves forward-looking statements that reflect the current views of Warner Music Group about future events and financial
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
