Overview
- Warner Music reported $1.732 billion in second-quarter revenue, up 17% from a year ago, with net income rising to $181 million.
- Recorded music grew 17% to $1.38 billion and music publishing rose 14% to $453 million, reflecting broad demand across the catalog.
- Management said subscription streaming led the gains as higher contractual prices at major services increased revenue per user.
- The company deepened its content and IP strategy as its $1.2 billion Bain venture deployed $650 million for catalogs, it bought indie distributor Revelator, and it set a Paramount first-look for films.
- Investors reacted positively after the beat as Guggenheim and Evercore raised their price targets and the shares moved higher.