Overview

* Warner Music ( WMG ) fiscal Q3 revenue rises 9%, beating analyst expectations, per LSEG data

* Adjusted EPS for fiscal Q3 missed consensus, resulting in a net loss of $16 mln

* The multinational entertainment and record label conglomerate had announced restructuring plan and catalog acquisition JV

Result Drivers

* STREAMING REVENUE - Recorded Music streaming revenue increased due to market share gains and chart success across geographies and genres

* RESTRUCTURING IMPACT - Restructuring and impairment charges contributed to a net loss, affecting operating income

* REVENUE MIX - Adjusted OIBDA growth driven by revenue mix, acquisitions, and cost savings from strategic restructuring

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Beat $1.69 $1.59

Revenue bln bln (12

Analysts

)

Q3 EPS Miss -$0.03 $0.27

(13

Analysts

)

Q3 Net -$16 mln

Income

Q3 Free $7 mln

Cash

Flow

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 12 "strong buy" or "buy", 7 "hold" and 1 "sell" or "strong sell"

* The average consensus recommendation for the entertainment production peer group is "buy"

* Wall Street's median 12-month price target for Warner Music Group Corp ( WMG ) is $33.00, about 9% above its August 6 closing price of $30.04

* The stock recently traded at 23 times the next 12-month earnings vs. a P/E of 21 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)