WMG Reports 2009 Q2 Financials
May 7, 2009 at 5:15 AM (PT)
WARNER MUSIC GROUP has reported its second-quarter financial results for the period ended MARCH 31st, 2009.
"While this quarter reflected the expected effects of release schedule timing, as well as ongoing industry and macroeconomic pressures, we continued to outpace our competitors, gain share, diversify our revenue mix and drive our transformational agenda," said Chairman/CEO EDGAR BRONFMAN, JR. "We are laying the foundation for future growth by extending our digital presence and increasing the number of expanded rights agreements to now include about one-half of our current global artist roster."
Highlights Of The Report
* Cash balance grew $109 million in the quarter to $658 million.
* Total revenue of $668 million decreased 17% from the prior-year quarter, or 10% on a constant-currency basis.
* Digital revenue was $173 million, or 26% of total revenue in the quarter, up 1% sequentially from $171 million in the first quarter of fiscal 2009 and up 6% from $164 million in the prior-year quarter. On a constant-currency basis, digital revenue grew 11% from the prior-year quarter and 3% sequentially.
* Operating income from continuing operations declined 46% to $15 million compared to $28 million in the prior-year quarter. The quarter included a $4 million write-off of a cash receivable from IMEEM.
* Operating income before depreciation and amortization fell 17% to $80 million from $96 million in the prior-year quarter. OIBDA for the quarter included the Receivable Write-off.
* Loss from continuing operations was ($0.45) per diluted share compared to a loss from continuing operations of ($0.23) per diluted share in the prior-year quarter. The quarter included charges of $33 million, or $0.22 per diluted share, primarily related to the impairment of cost-method investments in lala and imeem and the Receivable Write-off.