WMG Q4 Results

WMG Q4 RESULTS OFF: Warner Music Group revenue fell 6% in fiscal Q4 for 2011, dropping to $707 million, though digital revenue rose 7% to $210 million (representing 29.7% of total revenue, up from 26.2% in the same quarter of 2010). That resulted in adjusted operating income rising 95% to $39 million while adjusted net loss narrowed 7% to $43 million. The revenue figures were attributed to a light release schedule and the continuing transition to digital in the music industry for the revenue results, with growth in France, Spain, and Latin America offset by weakness in the U.S, Japan and the rest of Europe. The company's Recorded Music division showed an 8% drop in overall revenue to $571 million, with digital revenue up 8% to $194 million (34% of overall revenue). Domestic digital revenue for recorded music reached $107 million, which is 49.5% of total domestic recorded music revenue. Music publishing revenue slipped 1% to $141 million, but last year's numbers included an additional $5 million in revenue from the mechanical royalty agreement between labels and publishers. Mechanical revenue fell, but performance revenue rose due to acquisitions and timing of collections from international societies. No word as to whether Len Blavatnik wants his money back, but at least they save on Edgar Bronfman's salary. (12/8p)