‘Encanto’ Soundtrack, The Weeknd, King & Prince Boost Universal Music Earnings

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The music major, led by CEO Lucian Grainge, saw quarterly revenue increase 21.6 percent to $2.32 billion.

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Quarterly revenue increased 21.6 percent to 2.20 billion euros , or 16.5 percent when assuming constant currency exchange rates. The company’s recorded music, music publishing and “merchandising and other” segments all contributed to the improvement. In UMG’s recorded music unit, first-quarterly revenue rose 16 percent, or 11.3 percent assuming constant currencies, to 1.72 billion euros as subscription and streaming revenue jumped 14.6 percent on a constant currency basis, while physical revenue rose 8.7 percent on that basis. But downloads and other digital revenue fell 20.0 percent “as download sales continue their industrywide decline,” the firm said.

Music publishing revenue amounted to 375 million euros in the first quarter, a jump of 38.4 percent, or 32.5 percent in constant currency terms. Helping results were a new accounting policy in relation to “certain revenues that are collected through societies,” as well as “underlying organic growth trends and initial contributions from catalog acquisitions made in prior years.”

 

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