Quarterly Report Card For Warner Music: C-
Warner Music Group, the world’s third largest record company, posted a wider quarterly loss on Tuesday as the company contends with rapidly dropping music sales in the United States. Net loss widened to $17 million, or 12 cents per share compared with a loss of $14 million, or 10 cents per share for the year-ago quarter.
For the three-month period ending June 30th, revenues dipped a mild 2% to $804 million, from $822 million during the year-ago quarter. Meanwhile, digital revenues jumped 29% to $119 million, a total that now accounts for 15% of total revenues. Another boost came from the publishing group, which posted revenue gains of 5% to $157 million. Publishing improvements were largely powered by digital and synchronization revenues, according to the group. Wall Street analysts had on average been expecting revenue of $832.2 million.
Update: Shares of WMG tanked — hitting $9.89 when the bell finally rung yesterday.