Sony’s recorded music revenues jumped by $451m YoY in calendar Q2, as streaming revenues rose 50.2%
Sony Music’s quarterly recorded music revenue increased 48.2% year over year in the second quarter of 2021 (three months to the end of June). In fact, they were up a massive $ 451 million in 2020 over the same period.
That increase was due to an unusually soft quarter for Sony in Q2 2020, when – hit by the effects of the pandemic – it turned over $ 936 million from recorded music.
That doesn’t change the strength of Sony’s final quarter, however, when the company made $ 1.39 billion from recorded music.
In the Q2 2021 calendar, Sony’s music production operation generated $ 996.4 million from streaming alone – an all-time high and the magical billion-dollar mark for the first time.
That music streaming revenue was up a whopping 50.2% year over year from the $ 663.4 million the company posted in the second quarter of 2020.
Those numbers were released today (Aug. 4) in Sony Group Corp’s latest quarterly financial results for calendar quarter 2 2021 (the company’s first quarter).
Sony Music Entertainment’s largest revenue-generating artist projects worldwide for the quarter, excluding Japan, were in the following order:
- Harry Styles, fine line
- Lil Nas X, various singles
- Polo G, Hall of Fame
- Lil Tjay, Destined 2 Win
- The Kid LAROI, F * ck Love
- Doja Cat, Planet Her
- KANG DANIEL, YELLOW
- DJ Khaled, KHALED KHALED
- Luke Combs, what you see is what you get
- Doja cat, pink
Sony’s results also show how the company’s global music publishing operations – including Sony Music Publishing and Sony Music Publishing Japan – performed over the past fiscal quarter.
Sony’s music publishing business generated $ 430.4 million worldwide in the three months ended June 2021.
Of that $ 430.4 million in quarterly publication revenue in the second quarter of 2021, $ 215.6 million was generated through streaming, according to today’s figures from Sony.
Combined, Sony’s global music publishing and music businesses generated $ 1.82 billion in the second quarter of 2021.
(All year-over-year percentage increases / decreases published above are calculated using the US dollar conversion level.)
Below is Sony’s quarterly breakdown in yen as presented today by Sony Group Corp. were published.
MBW’s USD calculations are based on Sony’s recalculation rough Sales figures for each quarter over the past 12 months.
The way Sony calculates its recorded music streaming numbers for the 12 months ending June 2021 now provides for additional gross revenue paid by streaming platforms, including a portion of those earmarked for its partner labels.
Note: MBW has calculated Sony financial data from Japanese Yen to US Dollars at the following prevailing exchange rates for each quarter, as confirmed by Sony Corp:
- Calendar Q2 2020: 107.6 yen per USD
- Calendar Q3 2020: 106.2 yen per USD
- Calendar Q4 2020: 104.5 yen per USD
- Calendar Q1 2021: 105.9 yen per USD
- Calendar Q2 2021: 109.5 yen per USD
By applying these exchange rate numbers to each applicable time period, we effectively obtain a US-oriented constant currency picture of Sony Music’s performance.
This is not a perfect system; there is a risk that Sony Music Entertainment’s global operations could be slightly overshadowed by converting some of Sony Music Entertainment Japan’s revenues (normally reported directly in yen) into US dollars.
But it gives us a clearer representation of New York-based Sony Music Entertainment’s performance outside of FX bias, as the company had to convert its US currency to yen primarily for Sony Corp’s results. The same goes for the US-based Sony / ATV.
MBW believes this currency exchange system is the benchmark used internally at the Sony Music Group headquarters in New York.Music business worldwide