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WMG

Warner Music Group Corp.

WMG

Warner Music Group Corp. • NASDAQ
$28.24 ▲ 0.82% (+0.23)
Market Cap $14.72 B
52w High $36.64
52w Low $25.56
Dividend Yield 0.74%
P/E 40.93
Volume 883.26K
Outstanding Shares 521.27M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q4-2025 $1.868B ▲ $691M ▲ $365M ▲ 19.54% ▲ $0.37 ▲ $247M ▲
Q3-2025 $1.689B ▲ $607M ▲ $-16M ▼ -0.947% ▼ $-0.031 ▼ $128M ▼
Q2-2025 $1.484B ▼ $525M ▼ $36M ▼ 2.426% ▼ $0.069 ▼ $194M ▼
Q1-2025 $1.666B ▲ $558M ▼ $236M ▲ 14.166% ▲ $0.45 ▲ $453M ▲
Q4-2024 $1.63B $633M $41M 2.515% $0.077 $174M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q4-2025 $532M ▲ $9.829B ▲ $9.072B ▲ $647M ▲
Q3-2025 $527M ▼ $9.777B ▲ $8.965B ▲ $589M ▲
Q2-2025 $637M ▼ $9.568B ▲ $8.778B ▲ $567M ▲
Q1-2025 $802M ▲ $9.146B ▼ $8.449B ▼ $545M ▲
Q4-2024 $694M $9.155B $8.48B $518M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q4-2025 $108M ▲ $231M ▲ $-67M ▲ $-153M ▼ $5M ▲ $203M ▲
Q3-2025 $-16M ▼ $46M ▼ $-71M ▲ $-96M ▲ $-110M ▲ $-25M ▲
Q2-2025 $36M ▼ $69M ▼ $-121M ▼ $-121M ▲ $-165M ▼ $-46M ▼
Q1-2025 $241M ▲ $332M ▲ $-81M ▲ $-127M ▼ $108M ▲ $296M ▲
Q4-2024 $48M $304M $-110M $-116M $87M $207M

Revenue by Products

Product Q1-2025Q2-2025Q3-2025Q4-2025
Music Publishing
Music Publishing
 $320.00M ▲$310.00M ▼$340.00M ▲$340.00M ▲
Recorded Music
Recorded Music
 $1.34Bn ▲$1.18Bn ▼$1.35Bn ▲$1.53Bn ▲

Five-Year Company Overview

Income Statement

Income Statement Warner Music Group has been growing its top line steadily, with sales increasing each year. Profitability has also improved overall, but not as quickly as revenue. Operating profit is trending upward, suggesting the core business is healthy and gaining some scale. However, net income and earnings per share peaked a few years ago and have since eased, reflecting cost pressures, higher interest, or mix shifts. Overall, the business looks solid and stable, but not in a phase of explosive profit growth, and margins appear steady rather than sharply expanding.

Balance Sheet

Balance Sheet The balance sheet shows a company built around valuable music rights and intellectual property rather than large tangible assets. Total assets are rising, and equity has grown from a very thin base, which is a positive sign of gradually strengthening capital. At the same time, debt remains sizable and has crept higher, indicating a leveraged structure that depends on consistent cash generation. Cash levels are reasonable but not excessive, so balance-sheet strength relies heavily on the durability of the catalog and the continuing health of the streaming ecosystem.

Cash Flow

Cash Flow Cash generation from day‑to‑day operations is steady and has inched up, which is important for a content-heavy business like this. Free cash flow has improved meaningfully as investment spending has come down from prior years when the company was investing more heavily. This shift suggests Warner is moving from a more intensive build‑out phase into a period of harvesting cash from earlier investments. The key question going forward is whether the company can maintain or grow this stronger free cash flow while still funding new music, technology, and catalog deals.

Competitive Edge

Competitive Edge Warner Music Group sits firmly among the global “Big Three” music companies, with a deep catalog, strong artist relationships, and global reach. Its catalog of songs and recordings creates a recurring revenue base as music is streamed, licensed, and reused, which is difficult for smaller rivals to replicate. The company leans into an artist‑centric identity and a relatively flexible label structure, which helps it compete with larger peers while still attracting talent. However, it operates in an industry with powerful digital platforms and a small number of large label competitors, so bargaining power and regulatory attention are ongoing considerations.

Innovation and R&D

Innovation and R&D Warner is actively leaning into technology rather than fighting it. Its partnerships with AI music platforms, focus on opt‑in usage to protect artist rights, and exploration of Web3 and NFTs show a willingness to experiment with new business models. Internally, investments in better data systems, payments, and digital infrastructure aim to make the company more efficient and more attractive to artists and songwriters. The joint push into catalog acquisitions and direct‑to‑fan services (through WMX and similar efforts) also represents a form of strategic innovation that could diversify revenue beyond traditional recording and publishing.

Summary

Warner Music Group combines a stable, growing music business with a sizable catalog and a meaningful, though manageable, debt load. Revenues are rising and core profitability is improving, while net earnings have been more uneven. The balance sheet reflects a heavily intangible, leveraged model that depends on ongoing cash generation from music rights. Cash flow trends are encouraging, with better free cash flow as heavy investment has moderated. Competitively, Warner benefits from scale, a rich catalog, and an artist‑centric stance, yet faces intense competition and rapid technological change. Its visible push into AI, Web3, and artist services suggests a company trying to stay ahead of industry shifts, with the main uncertainties around how well these innovations will translate into sustained, higher‑quality cash flows over time.

NEWS

November 25, 2025 · 2:00 PM UTC

WARNER MUSIC GROUP AND SUNO FORGE GROUNDBREAKING PARTNERSHIP

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November 24, 2025 · 12:32 PM UTC

Global Music Powerhouses NE-YO, Sonu Nigam, MC Jin, and Former Warner Music Asia Co-President Jonathan Serbin Launch Pacific Music Group

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November 20, 2025 · 7:30 AM UTC

Warner Music Group Corp. Reports Results for Fiscal Fourth Quarter and Full Year Ended September 30, 2025

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November 19, 2025 · 1:05 PM UTC

WARNER MUSIC GROUP AND UDIO COLLABORATE TO BUILD A NEW LICENSED MUSIC CREATION SERVICE

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November 19, 2025 · 11:00 AM UTC

WARNER MUSIC GROUP AND STABILITY AI JOIN FORCES TO BUILD THE NEXT GENERATION OF RESPONSIBLE AI TOOLS FOR MUSIC CREATION

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