Warner Music Group's total revenues for the third quarter of its financial year ending on 30 Jun were up 18.9% on the previous year. And for recorded music the increase was 22.8%. But net losses were up by 196.8% year-on-year. CEO Stephen Cooper SAID: "A stronger release schedule, combined with sustained investment in exceptional artistic talent and first-class execution by our operators, delivered robust results this quarter. We are especially pleased to see our strategic moves pay off, with the acquisition of Parlophone Label Group being a key contributor to this quarter's success. We expect our momentum to continue through the remainder of the fiscal year, due to several exciting artist releases in the coming months". Overall, digital income across the group now represents 41.1% of revenues. On the recordings side, digital accounts for 45.6% of total revenues, while in publishing it's 19.7%, thanks in part to a 22.7% increase in revenue from streaming services.
Warner Music and Clear Channel yesterday announced a new alliance which sees the mini-major agree to a deal with the US radio giant similar to that previously entered into with some key independents, whereby the media firm will pay royalties for music used on its AM and FM services in return for better royalty rates on its rapidly expanding digital platform iHeartRadio.
Warner Music Group and Live Nation have both issued upbeat statements after bth forms latest financial figures were released. Live Nation said it had seen revenues 8.3% year-on-year in the last quarter to $1.7 billion in the quarter to the end of June, with net income of $59 million above analyst expectations with CEO Michael Rapino calling a 'record summer'.
Warner Music Group, meanwhile, had seen revenues increase by 1.8% in the same period, but losses had almost doubled to $63 million. Recorded music revenues increased by 3.3%, while digital revenues on recordings were up by 9.8% on the same quarter last year, representing 44.8% of total recorded music income. Comparatively, revenues on physical releases dropped by 5.8%.
Elsewhere HMV confirmed it was moving back into its original store on London's Oxford Street which it first occupied in 1922 until 2000 when the store moved to larger presmises, which were then given up t to Sports Direct earlier this year. New HMV owner Hilco confirmed the return this week
Warner Music saw revenues rise in the quarter to 30 September 2012, while losses were down both in the quarter and over the year. Revenue for the quarter was up 2% year-on-year to $731 million, while losses were down to $18 million. For the year, revenues were down slightly, $2.78 billion compared to $2.87 billion the previous year, but losses were also down, from $205 million to $112 million - and digital revenues continue to grow.
