The three main music corporations now generate $2.5m each hour

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In the MBW Review, we focus our microscope on some of the biggest happenings in the music business of recent times. This time we analyze the numbers of the most recent Q2 results from the major music companies. The MBW Review is supported by Instrumental.

The record industry is headed for a gangbuster year – and we have the evidence.

MBW analyzed the reported calendar Q2 financials of each of the three major music companies for our analysis below.

Want to see how well Universal Music Group, Sony Music Group and Warner Music Group are looking in 2021?

Our calculations have shown:

  • Together, the three major music companies generated the sound carrier arms $ 4.63 billion in the three months until the end of June – a huge plus 40.1% (or + $ 1.32 Billion) in the same period of 2020;
  • If you add the income from the publishing business to the income from music recordings at UMG, SMG and WMG, things get even rosier. On this basis, the three majors generated $ 5.60 billion in the calendar Q2 2021, plus until $ 1.53 billion (or + 37.6%) compared to the same period last year;
  • That $ 5.60 billionn Revenue corresponds to the three majors that generate cumulatively $ 61.5 million per day in the second quarter of the year – or again $ 2.56 million per hour;
  • Universal musical group quarterly worldwide sales (music recordings plus publishing) grew massively $ 607 million compared to the previous year in Q2; The corresponding global number of Sony Music Group (including Japan) increased $ 592 million; Warner Music Group was up $ 331 million;
  • In the first six months of 2020, the three major music companies generated $ 10.91 billion – Get them firmly on track for an accumulated $ 20 billion year.

Focus on that Half a year The majors’ results this year (i.e., the six months to the end of June) show us that Universal Music Group is now firmly in the running to hit, or perhaps even exceed, sales of over $ 10 billion in 2021.

UMG’s sales of music recordings and publications amounted to 4.65 billion US dollars in the first six months of 2021, according to calculations by MBW.

That was $ 864 million more than last year.

Universal was also by far the largest music company in the world in mid-2021 and generated 3.97 billion US dollars with its labels and artists.

The six-month music number recorded by UMG increased by 807 million US dollars compared to the first half of 2020 compared to the previous year.

Sony, on the other hand, led the world’s largest music publisher by a comfortable margin in the first half of 2021.

Sony’s global music publishing operation – led by Sony Music Publishing, but also the company’s Pubco in Japan – grossed $ 838 million in the six months ended June 2021.

That was an increase of $ 181 million from its corresponding mid-2020 revenue.

Collectively, the three majors generated $ 10.91 billion through phonograms and publishing in the first six months of 2021.

That was an increase of over $ 2.3 billion over what Universal, Sony and Warner jointly reported in sales for the corresponding period in 2020.

Instrumental logoThe MBW Review is supported by Instrumental, one of the music industry’s leading growth teams for independent artists. Instrumental uses data science to identify the world’s fastest growing independent artists and then offers them funding, premium sales, and marketing support to take them to the next level without depriving them of their rights.

A quick note on the methodology, to get USD results for the three major music companies, quarterly financial results for two of the three – Sony Music Group (via Sony Group Corp) and Universal Music Group (via Vivendi) – were obtained from. converted to Japanese Yen or Euro at the applicable quarterly exchange rates provided by each parent company. Universal Music Group’s recorded music results in MBW’s analysis include merchandise sales; Vivendi reports these separately from music recordings, but the combination of these two categories (merch + music recordings) brings UMG in line with the music coverage of Sony and Warner. The half year results above reflect the calendar results for Q1 and Q2 combined for each company, with currency converted at a quarterly rate for each three month period.

A small caveat for the above mid-year numbers: As of the second quarter of 2020, Sony Group Corp. Provided a music recording revenue figure that includes additional gross revenue paid by streaming platforms (including a portion of that earmarked for its partner labels). That gross number from Sony is reflected in all of the calculations in this article and is the closest equivalent of how Universal and Warner present their numbers. However, Sony’s additional gross sales are Not available for the first quarter of 2020, which means that the relevant Sony sales figures for the first half of 2020 in the charts above are slightly lower than reality.Music business worldwide

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