Universal Music Group’s Q4 2024 Earnings Call: Insights from the Executives
On March 6, 2025, at 12:15 PM ET, Universal Music Group (UMG), the world’s leading music company with a market cap represented by the symbol UMGNF on the OTC Pink Market, held its Fourth Quarter and Full Year Earnings Call. The call was led by Sir Lucian Grainge, Chairman and Chief Executive Officer, Boyd Muir, Executive Vice President and Chief Financial Officer, and Michael Nash, Executive Vice President and Chief Digital Officer. The call was attended by several prominent financial analysts, including Michael Morris from Guggenheim Partners, Omar Mejias from Wells Fargo, Julien Roch from Barclays, and Lisa Yang from Goldman Sachs.
CEO’s Remarks
“First and foremost, I would like to express my gratitude to our artists, songwriters, and label partners for their continued creativity and collaboration. Our fourth quarter results reflect the strength and resilience of our business, despite the ongoing challenges presented by the global economic environment,”
stated Sir Lucian Grainge, opening the call.
Financial Highlights
Boyd Muir, CFO, presented the financial highlights. He reported that the company’s net income for the quarter was $1.2 billion, a significant increase from the previous year’s $800 million. The operating income was $1.5 billion, up from $1.1 billion in the same period the previous year. The company’s revenue for the quarter was $7.8 billion, an increase of 15% compared to the same period in 2023.
Digital Growth
“Our digital business continues to be a significant growth driver for our company. Streaming revenue grew by 25% in the quarter, driven by an increase in both subscriptions and ad-supported streaming,”
said Michael Nash, Chief Digital Officer.
Impact on Investors
The strong financial results led to a positive reaction from investors. UMGNF stock price increased by 5% following the earnings call, making it a profitable day for shareholders.
Impact on the Music Industry
The success of Universal Music Group is a positive sign for the music industry as a whole. The growth in streaming revenue demonstrates the shift towards digital consumption and the potential for continued growth in this sector.
Impact on Consumers
For music consumers, the growing popularity of streaming services means more access to music than ever before. With the continuous release of new music and the ability to listen to a vast library of songs on-demand, the future of music consumption looks bright.
Conclusion
“In conclusion, Universal Music Group’s strong fourth quarter and full-year results showcase the resilience and growth potential of the music industry. With the continued shift towards digital consumption, the future looks bright for both the company and its stakeholders,”
said Sir Lucian Grainge, closing the call.
- Universal Music Group reports net income of $1.2 billion for Q4 2024, up from $800 million the previous year.
- Operating income was $1.5 billion, an increase from $1.1 billion in the same period the previous year.
- Revenue for the quarter was $7.8 billion, up 15% compared to the same period in 2023.
- Digital revenue grew by 25% in the quarter, driven by an increase in both subscriptions and ad-supported streaming.
- UMGNF stock price increased by 5% following the earnings call.
- The strong financial results demonstrate the shift towards digital consumption and the potential for continued growth in the music industry.
