WMG Reports Q4 Loss
November 24, 2009 at 4:44 AM (PT)
WARNER MUSIC GROUP has reported a fiscal Q4 loss, reports THE WALL STREET JOURNAL. CFO STEVE MACRI said that although the company is seeing growing market share, "the volatile global economy and ongoing recorded music industry transition are likely to continue to affect our results" in its new fiscal year."
For the quarter ended SEPTEMBER 30th, WMG reported a loss of $18 million, or 12 cents a share, from a year-earlier profit of $6 million, or 4 cents. The current year's quarter included 9 cents in severance charges. Revenue rose 0.8% to $861 million, or 5% on a constant-currency basis.
Gross margin fell to 48.4% from 49.3%. Total operating and production costs rose 2.4% while interest expenses climbed 17% and income taxes jumped 54%.
Revenue from the company's music business dropped 9.4%, with digital music revenue growing 9.5%.
THE JOURNAL writes "shares closed at $7.06 MONDAY and were inactive premarket. They have more than doubled so far this year."
Keep Up To Date With Our Industry's Financials
To keep tabs on radio stocks, head for the ALL ACCESS STOCK PAGE, and then scroll down through the radio stocks the ALL ACCESS COMPOSITE, and other quotes in the INDUSTRY-RELATED INDEX.