Warner Music Group (WMG) announced a revenue of US$1.732 billion for the quarter ending March 31, 2026, representing a 12.1% increase compared to the same period last year when adjusted for currency fluctuations. This growth was largely driven by ongoing advancements in streaming and robust performance in recorded music.
The results showcased gains across the company’s recorded music and publishing sectors, coupled with enhanced profitability and operational efficiencies.
Recorded music revenue increased by 12.7% to reach US$1.38 billion, while Warner Chappell Music’s publishing revenues rose by 9.6% to US$353 million. Revenue from subscription streaming rose 12.7% to US$734 million, bolstered by gains in market share and price increases on key platforms.
“Our Q2 results illustrate the impactful synergy of creative and operational achievements, along with financial discipline, clearly indicating our strategic transformation is having a positive effect,” stated WMG CEO Robert Kyncl. “Supported by our three strategic pillars—expanding market share, enhancing the value of music, and improving overall effectiveness—we continue to build momentum.”
Kyncl emphasised the company’s commitment to generating long-term value for artists, songwriters, and shareholders.
In terms of recorded music, streaming revenue hit US$961 million, while ad-supported streaming revenue grew by 10.2% to US$227 million, reversing last year’s decline, which the company attributed to a recovering advertising market.
The surge in subscription streaming was also aided by recent price hikes on major platforms, such as Spotify’s US premium pricing increase earlier this year.
Additionally, revenue from artist services and expanded rights rose 33.3% to US$164 million, driven by increased concert promotions in France and higher merchandise sales. Physical revenue rose by 18.1% to US$137 million, supported by strong new releases and catalogue sales, while licensing revenue saw a decline of 6.3% to US$104 million.
In publishing, digital revenue growth was fueled by new licensing agreements and renewals, and performance income increased by 3.6% due to heightened touring activity across Europe. However, synchronisation on revenue experienced a slight dip to US$50 million.
Net income for the quarter surged to US$181 million, compared to US$36 million in the previous year, while operating income rose by 45.1% to US$264 million. Adjusted OIBDA showed a 24.5% improvement, totalling US$397 million, with the adjusted OIBDA margin enhancing to 22.9%, up from 20.4%.
Chief Financial Officer Armin Zerza remarked that the results were a clear indication of the company’s successful execution of its growth strategy.
“For the fourth consecutive quarter, we’ve adhered to our sustainable growth model, boosting core growth, expanding margins, and enhancing cash flow productivity,” he said, adding that strategic investments and diligent cost management, alongside innovative and technological initiatives, have positioned the company for ongoing growth.
