Universal Music Group (UMG) reported significant growth in Q4 2024, with overall revenue increasing by 7.2% year-over-year, driven primarily by subscription streaming gains.

Key Financial Highlights:

• Subscription streaming revenue: Up 7.9% YoY to $1.32 billion
• Ad-supported streaming: Decreased 5.1% YoY to $404.53 million
• Overall streaming revenue: Increased 4.6% YoY to $1.73 billion
• Physical sales: Up 2.5% YoY to $494.15 million
• Publishing revenue: Reached $661.40 million (6.4% YoY growth)
• Merchandise revenue: Grew 22.8% YoY to $284.84 million

Full Year 2024 Performance:

• Total revenue: $12.77 billion (up 6.5% YoY)
• EBITDA: $2.52 billion (up 29% YoY)
• Paid streaming revenue: $4.99 billion (up 8.2% YoY)

Notable Developments:

• UMG received $21.58 million in DSP "catch-up income"
• Two legal settlements contributed $43.18 million in additional revenue
• Company confirms ongoing "Super Premium" tier discussions with all streaming partners
• Fitness platform weakness noted as affecting streaming growth
• UMG maintains 8-10% compound annual growth rate projection for subscription revenue through 2028

The company is continuing its "Streaming 2.0" initiative and plans to implement phase two of its cost-savings program while expanding superfan monetization efforts.

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