Universal Music Group Full-Year Earnings Up 10 Percent, According to Early Report
Universal Music Group has confirmed fourth-quarter momentum that will meet full-year guidance of 10 percent revenue, according to an early guidance report issued by parent company Vivendi.
The report also notes a nearly a 20 percent boost in overall earnings before interest, taxes, depreciation and amortization (EBITDA). A full report will be released next month.
Looking ahead, last year's deals with Spotify and YouTube are highlighted as cause for optimism, as the report states, "enabling improved flexibility and better monetization of artist content while creating new revenue streams for the years to come." Other opportunities for growth include licensing deals inked with China's leading digital music platform Tencent last May and Facebook in December -- the first of any majors.
Last quarter, UGM's operating profits fell to €161 million ($188.2 million), down almost 8 percent from €174 million ($192 million) in the same period last year. But its revenues rose nearly 1 percent (0.08 percent) to €1.32 billion ($1.54 billion) from last year's €1.31 billion ($1.45 billion).