Warner Music's Q2 Revenue Surges On Ed Sheeran, Jack Harlow, Green Day Hits, Yet Shares Fall
Portfolio Pulse from Anusuya Lahiri
Warner Music Group Corp (NASDAQ:WMG) reported fiscal Q2 2024 results with a GAAP EPS of $0.18, surpassing the analyst consensus of $0.16, and a 7% Y/Y revenue increase to $1.49 billion, beating estimates. Recorded Music and Music Publishing revenues grew, driven by hits from artists like Ed Sheeran and Green Day. Despite positive financial performance, WMG shares fell 6.1% to $33.46. The company also completed the sale of non-core media properties and plans to reduce headcount by 600.

May 09, 2024 | 3:01 pm
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Warner Music Group Corp reported higher than expected Q2 2024 earnings and revenue growth, yet shares dropped 6.1%.
Despite Warner Music's positive earnings report, with a 7% revenue increase and surpassing EPS estimates, the stock price fell significantly. This could be due to market reactions to broader economic concerns or possibly the company's announcement of disposing non-core assets and reducing headcount, which might raise concerns about future growth prospects.
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