Universal Music Group posted 3.294 billion euros ($3.795 billion) in revenue for the company’s second quarter, the record company reported in its latest earnings report on Thursday, a 10.5 percent increase year over year.
Excluding revenue from recently-acquired Downtown Music, revenue was just over 3 billion euros, or about $3.5 billion.
Recorded revenues grew about 13 percent to 2.516 billion euros ($2.89 billion), while publishing revenue grew about 8 percent to 616 million euros (about $710 million).
“We’re delivering on our strategic plan, and working to further sharpen our execution, while capitalizing on the opportunities presented by new technologies and the ever-evolving music ecosystem,” UMG chairman and CEO Lucian Grainge said in a statement. “Our unique combination of global reach, local expertise, artist development, vast audio and visual IP and entrepreneurial culture positions UMG to deliver long-term growth, sustained value creation, and creative and commercial success for our artists and songwriters.”
Merchandising revenue was weak, dropping 13 percent year over year to 167 million euros (about $193 million), with UMG citing the drop to a decline in touring income due to the UMG roster’s timing of tours, and to lower direct-to-consumer revenue over product release scheduling. It marks the second consecutive quarter of lower overall merchandise revenue.
