Welcome to Worldwide music businessWeekly aggregator – where we make sure you’ve captured the five biggest stories to make our headlines over the past seven days. MBW’s round-up is powered by Centtriphelping more than 500 of the world’s best-selling artists maximize their income and reduce their touring expenses.
Following in the footsteps of Universal Music Group and Sony Corp, Warner Music Group This week announced financial results for 3 months to the end of June (second quarter of the calendar).
The company’s overall sales – across track records, music publishing and other activities – were up 12.1% year over year.
Recorded music streaming revenue 773 million dollars in the 2nd quarter calendar at WMG, only increased 2.7% YoY in constant currency.
However, that number was impacted by a one-time “catch-up” payment sent to Warner by a digital platform in the previous quarter.
In another development in this week’s news, live music startup Pollen has collapsed under management – the equivalent of UK bankruptcy protection in the US.
The most shocking element of Pollen’s demise was the fact that the company had raised about $150 million in funding just three months earlier.
Also announced this week: Hipgnosis and SESAC both are securitizing assets to launch nine-figure bond offerings, while TikTok is recruiting experts in AI music creation.
Here’s what happened in the last few days…
1) Warner Music Group’s revenue increased 12.1% YoY in the second calendar quarter; music streaming recording up 2.7%
Warner Music Group announced a flurry of results for its calendar Q2 (financial third quarter) 2022 results, with one notable positive leading indicator: In constant currency, WMG’s companywide revenue – across music, publishing and other activities – rose 12.1% year-on-year. quarter to 1.43 billion USD.
That double-digit increase was partly driven by the work of music publishing company Warner, Music Warner Chappellshows that its scheduled 2nd quarter sales hit $245 million during the quarter (three months to the end of June) – increase 34.6% YoY with constant currency. (MBW)
2) Pollen falls into the hands of management, three months after raising $150 million
UK-based travel and music experience company Pollen has fallen under management.
Streetteam Software Limited, the UK-based parent company of Pollen, has called on New York-based restructuring and bankruptcy specialist Kroll to run its restructuring.
The UK government has previously invested in Pollen through taxpayer support Future Fund.(MBW)
3) Music’s interconnected adventure continues: SESAC and Hipgnosis both launch nine-figure offerings
The story of the relationship between music companies and bonds has dried up a bit in recent months, as macroeconomic pressures continue to swirl around the entertainment business (and the wider world). .
But now that story has come back a lot: In a strong sign that music royalties are still a very researchable proposition, the past few weeks have not witnessed a two Major companies in the music industry began securitizing their assets into bonds. (MBW)
4) TikTok continues to develop music creation using AI and recruiting machine learning
According to some job ads discovered by MBW, TikTok and parent company ByteDance to be recruit for several highly skilled professionals in the field of machine learning and AI music creation in both the US and China.
TikTok, which acquired AI startup Music Jukedeck in 2019, appears to be doubling down on its AI-driven music-making ambitions. (MBW)
5) The German music publishing scene changes through the acquisition of 10 million euros +
Another interesting acquisition in the eight-figure range comes, as it was announced that German music publisher, ROBA, has partnered with AP Music Royalties Fund to acquire the music publisher’s catalog German music, GERIG.
The deal price has not been officially disclosed, but sources close to the transaction have confirmed to MBW that it is between 10 million euros and 20 million euros.
Founded in 1946, GERIG is comprised of more than 20 separately owned and managed music publishers. It contains about 30,000 songs and thousands of copyrights. (MBW)
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