Universal Music Reports 8% Growth in Q4 Streaming Subscriptions, Signals End of Streaming Plateau
Universal Music Group (UMG) has reported strong financial results for Q4 2024, with notable growth in subscription streaming revenue despite ongoing industry concerns about streaming plateaus.
Key Q4 2024 Financial Highlights:
- Overall revenue growth: 7.2% year-over-year
- Subscription streaming revenue: Up 7.9% to $1.32 billion
- Ad-supported streaming: Declined 5.1% to $404.53 million
- Total streaming revenue: Increased 4.6% to $1.73 billion
Universal Music Group logo
Additional Revenue Sources:
- Physical sales: $494.15 million (up 2.5%)
- Licensing and other revenue: $498.46 million (up 12.7%)
- Publishing revenue: $661.40 million (up 6.4%)
- Merchandising: $284.84 million (up 22.8%)
Full Year 2024 Performance:
- Total revenue: $12.77 billion (up 6.5%)
- EBITDA: $2.52 billion (up 29%)
- Paid streaming revenue: $4.99 billion (up 8.2%)
Notable Developments:
- UMG confirmed ongoing discussions with "all partners" about Super Premium tiers
- Company received $21.58 million in DSP "catch-up income"
- Two legal settlements contributed $43.18 million in additional Q4 revenue
- Plans announced for "phase two" of cost-savings program
Future Outlook: UMG maintains its projected 8-10% compound annual growth rate for subscription revenue through 2028, despite some headwinds from fitness platforms affecting streaming growth.
Harry Styles performing at Las Vegas Sphere
These results suggest potential recovery from the streaming plateau, supported by UMG's continued focus on superfan monetization and streaming innovation strategies.
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