Travis Scott and Beyoncé help Sony Music hit high note
Sony’s music division hit a high note in its second quarter to the end of 30 September as the company reported growth across recorded music, publishing and streaming.
The segment reported a 10 per cent rise in revenue to 448bn yen (£2.3bn), along with 12 per cent growth in operating income to 90bn yen (£455m).
After adjustments for depreciation and amortisation, operating income rose 15 per cent to 112bn yen (£567m), despite increased selling and administrative costs.
This growth came largely from gains in recorded music and publishing, and also from Sony’s consolidation of its equity in eplus, the Japanese ticketing platform.
Top streaming and live-event performers, including SZA, Beyoncé, Travis Scott, David Gilmour, Harry Styles and Luke Combs, drove revenue, reflecting rising consumer appetite for subscription streaming and live entertainment merchandise.
The division’s subscription streaming revenues surged, with Sony’s publishing revenues jumping by a double-digit percentage to 92bn yen, led by an increase in streaming.
It comes as Sony Music is doubling down on a push into gaming and recently revealed two new acquisitions at an event in London.
These gains in music, along with strong performances in its gaming and imaging arms, helped drive Sony’s total second quarter sales up three per cent to 2.9t yen (£14.7bn) and operating income up 73 per cent to 455bn yen (£2.3bn).
However the digital entertainment giant said that financial services and pictures segments were a drag on its revenue growth.