Universal Music Group generated revenue of €2.75 billion in the third quarter, a 3.3% increase compared to the same period last year despite a slide in streaming sales, according to its latest financial results.
The music recording giant said that sales were underpinned by “healthy constant currency growth” across all of its business segments.
That was not enough to impress the market, as its share price had fallen by 6% by the time of writing on Friday to €23.64, after the release of its unaudited results for the third quarter and year to date.
Its top sellers during the latest quarter included Taylor Swift, Seventeen, Morgan Wallen, Olivia Rodrigo and King & Prince, Universal said.
Universal said it grew quarterly subscription revenue by 6.7% year over year, but streaming revenue fell 1.4%.
Adjustments for the third quarter included a revision to a €71 million legal settlement for copyright infringement with an undisclosed internet service provider.
Adjusted quarterly earnings before interest, taxes, depreciation and amortisation (EBITDA) totalled €581 million, which was a 5.1% increase year on year, and its adjusted margin grew 0.3 percentage points to 21.1%.
Revenue for the year to date was €7.9 billion, up 6.8% on last year, following “strong growth in all segments”, Universal said.
Subscription revenue for recorded music rose 9.9% during the year to date, compared to the same period last year, and streaming revenue was up 1% for the nine-month period.
EBITDA for the first three quarters was up 11.7% over the year at €1.69 billion.
