Warner Music Group Corp. (WMG) 10-Year Financial Performance & Capital Metrics

WMG • • Industrial / General

Communication ServicesEntertainmentMusic & Audio EntertainmentMusic Publishing & Record Labels

AboutWarner Music Group Corp. operates as a music entertainment company in the United States, the United Kingdom, Germany, and internationally. The company operates through Recorded Music and Music Publishing segments. The Recorded Music segment is involved in the discovery and development of recording artists, as well as related marketing, promotion, distribution, sale, and licensing of music created by such recording artists; markets its music catalog through compilations and reissuances of previously released music and video titles, as well as previously unreleased materials; and conducts its operation primarily through a collection of record labels, such as Warner Records and Atlantic Records, as well as Asylum, Big Beat, Canvasback, East West, Erato, FFRR, Fueled by Ramen, Nonesuch, Parlophone, Reprise, Roadrunner, Sire, Spinnin' Records, Warner Classics, and Warner Music Nashville. This segment markets, distributes, and sells music and video products to retailers and wholesale distributors; independent labels to retail and wholesale distributors; and various distribution centers and ventures, as well as retail outlets, online physical retailers, streaming services, and download services. The Music Publishing segment owns and acquires rights to approximately one million musical compositions comprising pop hits, American standards, folk songs, and motion picture and theatrical compositions. Its catalog includes approximately 100,000 songwriters and composers; and various genres, including pop, rock, jazz, classical, country, R&B, hip-hop, rap, reggae, Latin, folk, blues, symphonic, soul, Broadway, electronic, alternative, and gospel. This segment also administers the music and soundtracks of various third-party television and film producers and studios. The company was founded in 1929 and is headquartered in New York, New York.Show more

Revenue $6.71B +4.4%
EBITDA $1.56B +35.8%
Net Income $365M -16.1%
EPS (Diluted) 0.69 -17.9%
Gross Margin 45.85% -4.1%
EBITDA Margin 23.29% +30.1%
Operating Margin 17.68% +38.1%
Net Margin 5.44% -19.6%
ROE 50.98% -35.3%
ROIC 19.55% +31.7%
Debt/Equity 6.09 -4.2%
Interest Coverage 7.32 +43.2%

Technical Analysis

Key Insights

Based on financial data analysis

✓Strengths

✓Excellent 3Y average ROE of 91.2%
✓High quality earnings: Operating CF exceeds net income

✗Weaknesses

✗High debt to equity ratio of 6.1x
✗Weak Piotroski F-Score: 3/9
✗Dividend payout exceeds 100% of earnings
✗Shares diluted 90.6% in last year
✗Expensive at 40.2x book value

Price & Volume

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Growth Metrics

Revenue CAGR

10Y8.5%

5Y8.49%

3Y4.25%

TTM4.37%

Profit (Net Income) CAGR

10Y-

5Y-

3Y-12.83%

TTM42.76%

EPS CAGR

10Y-

5Y-

3Y-13.33%

TTM3.77%

ROCE

10Y Avg11.06%

5Y Avg17.4%

3Y Avg18.17%

Latest21.79%

Peer Comparison

Music Publishing & Record Labels

Name	Market Cap	Current Price	P/E Ratio	Revenue Growth 1Y	Net Margin	ROE	FCF Yield	Debt/Equity
RSVRReservoir Media, Inc.	495.85M	7.56	63	9.56%	5.78%	2.58%		1.08
WMGWarner Music Group Corp.	4.54B	30.88	44.75	4.37%	9.26%	82.03%	11.87%	6.09

Profit & Loss

	Sep 2016	Sep 2017	Sep 2018	Sep 2019	Sep 2020	Sep 2021	Sep 2022	Sep 2023	Sep 2024	Sep 2025
Sales/Revenue+	3.25B	3.58B	4B	4.47B	4.46B	5.3B	5.92B	6.04B	6.43B	6.71B
Revenue Growth %	0.09%	0.1%	0.12%	0.12%	-0%	0.19%	0.12%	0.02%	0.06%	0.04%
Cost of Goods Sold+	1.71B	1.93B	2.17B	2.4B	2.33B	2.74B	3.08B	3.18B	3.35B	3.63B
COGS % of Revenue	0.53%	0.54%	0.54%	0.54%	0.52%	0.52%	0.52%	0.53%	0.52%	0.54%
Gross Profit+	1.54B	1.65B	1.83B	2.07B	2.13B	2.56B	2.84B	2.86B	3.07B	3.08B
Gross Margin %	0.47%	0.46%	0.46%	0.46%	0.48%	0.48%	0.48%	0.47%	0.48%	0.46%
Gross Profit Growth %	0.06%	0.07%	0.11%	0.13%	0.03%	0.2%	0.11%	0.01%	0.07%	0%
Operating Expenses+	1.32B	1.42B	1.62B	1.72B	2.36B	1.95B	2.13B	2.07B	2.25B	1.89B
OpEx % of Revenue	0.41%	0.4%	0.4%	0.38%	0.53%	0.37%	0.36%	0.34%	0.35%	0.28%
Selling, General & Admin	1.08B	1.22B	1.41B	1.51B	2.17B	1.72B	1.79B	1.74B	1.78B	1.89B
SG&A % of Revenue	0.33%	0.34%	0.35%	0.34%	0.49%	0.32%	0.3%	0.29%	0.28%	0.28%
Research & Development	0	0	0	0	0	0	0	0	0	0
R&D % of Revenue	-	-	-	-	-	-	-	-	-	-
Other Operating Expenses	243M	201M	206M	208M	190M	229M	339M	331M	472M	0
Operating Income+	214M	222M	217M	356M	-229M	609M	714M	790M	823M	1.19B
Operating Margin %	0.07%	0.06%	0.05%	0.08%	-0.05%	0.11%	0.12%	0.13%	0.13%	0.18%
Operating Income Growth %	0.69%	0.04%	-0.02%	0.64%	-1.64%	3.66%	0.17%	0.11%	0.04%	0.44%
EBITDA+	507M	473M	478M	625M	32M	915M	1.05B	1.12B	1.15B	1.56B
EBITDA Margin %	0.16%	0.13%	0.12%	0.14%	0.01%	0.17%	0.18%	0.19%	0.18%	0.23%
EBITDA Growth %	0.16%	-0.07%	0.01%	0.31%	-0.95%	27.59%	0.15%	0.07%	0.02%	0.36%
D&A (Non-Cash Add-back)	293M	251M	261M	269M	261M	306M	339M	332M	327M	376M
EBIT	214M	147M	580M	409M	-320M	578M	865M	750M	762M	694M
Net Interest Income+	-173M	-149M	-138M	-142M	-127M	-122M	-125M	-141M	-161M	-162M
Interest Income	0	0	0	0	0	0	0	0	0	0
Interest Expense	173M	149M	138M	142M	127M	122M	125M	141M	161M	162M
Other Income/Expense	-173M	-224M	225M	-89M	-218M	-153M	26M	-181M	-222M	-696M
Pretax Income+	41M	-2M	442M	267M	-447M	456M	740M	609M	601M	490M
Pretax Margin %	0.01%	-0%	0.11%	0.06%	-0.1%	0.09%	0.13%	0.1%	0.09%	0.07%
Income Tax+	11M	-151M	130M	9M	23M	149M	185M	170M	123M	125M
Effective Tax Rate %	0.61%	-71.5%	0.69%	0.96%	1.06%	0.67%	0.74%	0.71%	0.72%	0.74%
Net Income+	25M	143M	307M	256M	-475M	304M	551M	430M	435M	365M
Net Margin %	0.01%	0.04%	0.08%	0.06%	-0.11%	0.06%	0.09%	0.07%	0.07%	0.05%
Net Income Growth %	1.27%	4.72%	1.15%	-0.17%	-2.86%	1.64%	0.81%	-0.22%	0.01%	-0.16%
Net Income (Continuing)	30M	149M	312M	258M	-470M	307M	555M	439M	478M	365M
Discontinued Operations	0	0	0	0	0	0	0	0	0	0
Minority Interest	15M	15M	14M	20M	18M	15M	16M	123M	157M	110M
EPS (Diluted)+	0.05	0.28	0.62	0.50	-0.93	0.60	1.06	0.84	0.84	0.69
EPS Growth %	1.28%	4.62%	1.21%	-0.19%	-2.86%	1.65%	0.77%	-0.21%	0%	-0.18%
EPS (Basic)	0.05	0.28	0.62	0.50	-0.93	0.60	1.06	0.84	0.82	0.69
Diluted Shares Outstanding	501.99M	501.99M	501.99M	510M	510.03M	513.47M	519.81M	515.72M	517.52M	986.27M
Basic Shares Outstanding	501.99M	501.99M	501.99M	510M	510.03M	513.47M	519.81M	515.72M	517.52M	986.27M
Dividend Payout Ratio	-	0.59%	3.01%	0.37%	-	0.87%	0.58%	0.79%	0.83%	1.05%

Balance Sheet

	Sep 2016	Sep 2017	Sep 2018	Sep 2019	Sep 2020	Sep 2021	Sep 2022	Sep 2023	Sep 2024	Sep 2025
Total Current Assets+	908M	1.27B	1.18B	1.69B	1.68B	1.9B	2.14B	2.4B	2.64B	2.77B
Cash & Short-Term Investments	359M	647M	514M	619M	553M	499M	584M	641M	694M	532M
Cash Only	359M	647M	514M	619M	553M	499M	584M	641M	694M	532M
Short-Term Investments	0	0	0	0	0	0	0	0	0	0
Accounts Receivable	329M	404M	447M	775M	771M	839M	984M	1.12B	1.25B	1.34B
Days Sales Outstanding	36.99	41.24	40.74	63.21	63.06	57.77	60.68	67.72	71.28	72.92
Inventory	41M	39M	42M	74M	79M	99M	108M	126M	99M	62M
Days Inventory Outstanding	8.77	7.37	7.06	11.25	12.36	13.18	12.8	14.48	10.77	6.23
Other Current Assets	51M	44M	50M	53M	55M	86M	91M	102M	125M	255M
Total Non-Current Assets+	4.43B	4.44B	4.17B	4.33B	4.73B	5.32B	5.69B	6.14B	6.51B	7.06B
Property, Plant & Equipment	203M	213M	229M	300M	604M	632M	641M	703M	706M	630M
Fixed Asset Turnover	15.99x	16.79x	17.49x	14.92x	7.39x	8.39x	9.23x	8.59x	9.10x	10.65x
Goodwill	1.63B	1.69B	1.69B	1.76B	1.83B	1.83B	1.92B	1.99B	2.02B	2.06B
Intangible Assets	2.32B	2.21B	2B	1.87B	1.81B	2.17B	2.38B	2.5B	2.51B	2.73B
Long-Term Investments	0	0	0	0	0	0	0	0	0	8M
Other Non-Current Assets	278M	241M	231M	353M	422M	651M	715M	913M	1.22B	1.53B
Total Assets+	5.33B	5.72B	5.34B	6.02B	6.41B	7.21B	7.83B	8.54B	9.15B	9.83B
Asset Turnover	0.61x	0.63x	0.75x	0.74x	0.70x	0.74x	0.76x	0.71x	0.70x	0.68x
Asset Growth %	-0.05%	0.07%	-0.07%	0.13%	0.07%	0.12%	0.09%	0.09%	0.07%	0.07%
Total Current Liabilities+	1.84B	2.1B	2.37B	2.82B	2.72B	3.15B	3.37B	3.54B	3.9B	4.2B
Accounts Payable	204M	208M	281M	260M	264M	302M	268M	300M	289M	257M
Days Payables Outstanding	43.62	39.32	47.24	39.53	41.3	40.2	31.76	34.47	31.44	25.83
Short-Term Debt	0	0	0	0	0	0	0	0	0	43M
Deferred Revenue (Current)	1000K	1000K	1000K	1000K	1000K	1000K	1000K	1000K	1000K	1000K
Other Current Liabilities	21M	26M	34M	286M	80M	102M	245M	57M	110M	3.62B
Current Ratio	0.49x	0.61x	0.50x	0.60x	0.62x	0.60x	0.64x	0.68x	0.68x	0.66x
Quick Ratio	0.47x	0.59x	0.48x	0.57x	0.59x	0.57x	0.60x	0.64x	0.65x	0.64x
Cash Conversion Cycle	2.14	9.29	0.56	34.94	34.11	30.75	41.72	47.73	50.61	53.33
Total Non-Current Liabilities+	3.28B	3.31B	3.29B	3.47B	3.73B	4.01B	4.29B	4.58B	4.58B	4.87B
Long-Term Debt	2.78B	2.81B	2.82B	2.97B	3.1B	3.35B	3.73B	3.96B	4.01B	4.37B
Capital Lease Obligations	0	0	0	0	299M	287M	241M	255M	228M	200M
Deferred Tax Liabilities	269M	190M	165M	172M	163M	207M	220M	216M	195M	164M
Other Non-Current Liabilities	236M	309M	307M	321M	169M	175M	99M	141M	146M	142M
Total Liabilities	5.13B	5.41B	5.66B	6.29B	6.46B	7.17B	7.66B	8.12B	8.48B	9.07B
Total Debt+	2.78B	2.81B	2.82B	2.97B	3.44B	3.68B	4.01B	4.26B	4.29B	4.61B
Net Debt	2.42B	2.16B	2.31B	2.35B	2.89B	3.18B	3.43B	3.62B	3.59B	4.08B
Debt / Equity	13.23x	9.13x	-	-	-	79.91x	23.89x	9.91x	6.35x	6.09x
Debt / EBITDA	5.48x	5.94x	5.90x	4.76x	107.56x	4.02x	3.81x	3.80x	3.73x	2.95x
Net Debt / EBITDA	4.77x	4.58x	4.82x	3.77x	90.28x	3.47x	3.26x	3.23x	3.12x	2.61x
Interest Coverage	1.24x	1.49x	1.57x	2.51x	-1.80x	4.99x	5.71x	5.60x	5.11x	7.32x
Total Equity+	210M	308M	-320M	-269M	-45M	46M	168M	430M	675M	757M
Equity Growth %	-0.12%	0.47%	-2.04%	0.16%	0.83%	2.02%	2.65%	1.56%	0.57%	0.12%
Book Value per Share	0.42	0.61	-0.64	-0.53	-0.09	0.09	0.32	0.83	1.30	0.77
Total Shareholders' Equity	195M	293M	-334M	-289M	-63M	31M	152M	307M	518M	647M
Common Stock	0	0	0	1M	1M	1M	1M	1M	1M	1M
Retained Earnings	-715M	-654M	-1.27B	-1.18B	-1.75B	-1.71B	-1.48B	-1.39B	-1.31B	-1.33B
Treasury Stock	0	0	0	0	0	0	0	0	0	0
Accumulated OCI	-218M	-181M	-190M	-240M	-222M	-202M	-347M	-322M	-247M	-189M
Minority Interest	15M	15M	14M	20M	18M	15M	16M	123M	157M	110M

Cash Flow

	Sep 2016	Sep 2017	Sep 2018	Sep 2019	Sep 2020	Sep 2021	Sep 2022	Sep 2023	Sep 2024	Sep 2025
Cash from Operations+	342M	535M	425M	400M	463M	638M	742M	687M	754M	678M
Operating CF Margin %	0.11%	0.15%	0.11%	0.09%	0.1%	0.12%	0.13%	0.11%	0.12%	0.1%
Operating CF Growth %	0.54%	0.56%	-0.21%	-0.06%	0.16%	0.38%	0.16%	-0.07%	0.1%	-0.1%
Net Income	30M	149M	312M	258M	-470M	307M	555M	439M	478M	361M
Depreciation & Amortization	293M	251M	261M	269M	261M	306M	339M	332M	327M	376M
Stock-Based Compensation	23M	70M	62M	50M	608M	45M	39M	49M	52M	0
Deferred Taxes	-26M	-192M	66M	-68M	-57M	27M	13M	-13M	-48M	-90M
Other Non-Cash Items	-4M	84M	-355M	-35M	91M	34M	-117M	-1M	93M	252M
Working Capital Changes	26M	173M	79M	-74M	30M	-81M	-87M	-119M	-148M	-221M
Change in Receivables	17M	-60M	-43M	-90M	18M	-58M	-195M	-113M	-110M	-61M
Change in Inventory	0	1M	-3M	3M	-2M	-19M	-22M	-12M	30M	-11M
Change in Payables	23M	48M	82M	3M	-32M	91M	-21M	77M	86M	-28M
Cash from Investing+	-8M	-126M	405M	-376M	-219M	-638M	-824M	-300M	-311M	-340M
Capital Expenditures	-67M	-60M	-88M	-145M	-125M	-574M	-326M	-241M	-303M	-334M
CapEx % of Revenue	0.02%	0.02%	0.02%	0.03%	0.03%	0.11%	0.06%	0.04%	0.05%	0.05%
Acquisitions	-	-	-	-	-	-	-	-	-	-
Investments	-	-	-	-	-	-	-	-	-	-
Other Investing	-3M	-73M	23M	231M	94M	0	0	0	0	0
Cash from Financing+	-216M	-128M	-955M	88M	-316M	-61M	188M	-325M	-396M	-497M
Debt Issued (Net)	-	-	-	-	-	-	-	-	-	-
Equity Issued (Net)	-	-	-	-	-	-	-	-	-	-
Dividends Paid	0	-84M	-925M	-94M	-344M	-265M	-318M	-340M	-361M	-383M
Share Repurchases	-	-	-	-	-	-	-	-	-	-
Other Financing	-5M	-45M	-40M	-15M	-47M	-40M	-23M	-149M	-35M	-97M
Net Change in Cash	-	-	-	-	-	-	-	-	-	-
Free Cash Flow+	275M	475M	337M	255M	338M	64M	416M	446M	638M	539M
FCF Margin %	0.08%	0.13%	0.08%	0.06%	0.08%	0.01%	0.07%	0.07%	0.1%	0.08%
FCF Growth %	0.92%	0.73%	-0.29%	-0.24%	0.33%	-0.81%	5.5%	0.07%	0.43%	-0.16%
FCF per Share	0.55	0.95	0.67	0.50	0.66	0.12	0.80	0.86	1.23	0.55
FCF Conversion (FCF/Net Income)	13.68x	3.74x	1.38x	1.56x	-0.97x	2.10x	1.35x	1.60x	1.73x	1.86x
Interest Paid	0	0	0	0	0	0	0	0	0	0
Taxes Paid	0	0	0	0	0	0	0	0	0	0

Key Ratios

Metric	2016	2017	2018	2019	2020	2021	2022	2023	2024	2025
Return on Equity (ROE)	11.14%	55.21%	-	-	-	60800%	514.95%	143.81%	78.73%	50.98%
Return on Invested Capital (ROIC)	5.72%	6.53%	7.3%	13.12%	-6.97%	15.06%	15.7%	15.5%	14.84%	19.55%
Gross Margin	47.41%	46%	45.79%	46.35%	47.73%	48.27%	47.96%	47.37%	47.79%	45.85%
Net Margin	0.77%	4%	7.67%	5.72%	-10.64%	5.73%	9.31%	7.12%	6.77%	5.44%
Debt / Equity	13.23x	9.13x	-	-	-	79.91x	23.89x	9.91x	6.35x	6.09x
Interest Coverage	1.24x	1.49x	1.57x	2.51x	-1.80x	4.99x	5.71x	5.60x	5.11x	7.32x
FCF Conversion	13.68x	3.74x	1.38x	1.56x	-0.97x	2.10x	1.35x	1.60x	1.73x	1.86x
Revenue Growth	9.44%	10.17%	12%	11.74%	-0.27%	18.78%	11.66%	1.99%	6.44%	4.37%

Revenue by Segment

	2016	2017	2018	2019	2020	2021	2022	2023	2024	2025
Recorded Music	2.74B	3.02B	3.36B	3.84B	3.81B	4.54B	4.97B	4.96B	5.22B	5.41B
Recorded Music Growth	-	10.38%	11.26%	14.29%	-0.78%	19.27%	9.29%	-0.22%	5.41%	3.54%
Music Publishing	524M	572M	653M	643M	657M	761M	958M	1.09B	1.21B	1.31B
Music Publishing Growth	-	9.16%	14.16%	-1.53%	2.18%	15.83%	25.89%	13.57%	11.21%	7.93%

Revenue by Geography

	2016	2017	2018	2019	2020	2021	2022	2023	2024	2025
UNITED STATES	1.36B	1.59B	1.75B	1.96B	1.93B	2.36B	2.74B	2.77B	2.87B	2.87B
UNITED STATES Growth	-	16.69%	10.52%	11.52%	-1.12%	22.18%	16.12%	0.80%	3.76%	0.14%
All Other Countries	1.4B	1.47B	1.66B	1.92B	1.98B	1.66B	1.83B	2.01B	2.27B	2.46B
All Other Countries Growth	-	5.16%	13.02%	15.98%	2.86%	-16.28%	10.39%	9.96%	12.89%	8.46%
UNITED KINGDOM	-	-	-	-	551M	620M	734M	726M	774M	857M
UNITED KINGDOM Growth	-	-	-	-	-	12.52%	18.39%	-1.09%	6.61%	10.72%
GERMANY	-	-	-	-	-	662M	613M	535M	513M	515M
GERMANY Growth	-	-	-	-	-	-	-7.40%	-12.72%	-4.11%	0.39%

Frequently Asked Questions

Valuation & Price

Warner Music Group Corp. (WMG) has a price-to-earnings (P/E) ratio of 44.8x. This suggests investors expect higher future growth.

Growth & Financials

Warner Music Group Corp. (WMG) reported $6.71B in revenue for fiscal year 2025. This represents a 141% increase from $2.78B in 2012.

Warner Music Group Corp. (WMG) grew revenue by 4.4% over the past year. Growth has been modest.

Yes, Warner Music Group Corp. (WMG) is profitable, generating $621.0M in net income for fiscal year 2025 (5.4% net margin).

Dividend & Returns

Yes, Warner Music Group Corp. (WMG) pays a dividend with a yield of 1.26%. This makes it attractive for income-focused investors.

Warner Music Group Corp. (WMG) has a return on equity (ROE) of 51.0%. This is excellent, indicating efficient use of shareholder capital.

Warner Music Group Corp. (WMG) generated $428.0M in free cash flow for fiscal year 2025. Positive FCF indicates the company can fund dividends, buybacks, or reinvestment.

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Warner Music Group Corp. (WMG) 10-Year Financial Performance & Capital Metrics

WMG • • Industrial / General

Communication ServicesEntertainmentMusic & Audio EntertainmentMusic Publishing & Record Labels

Revenue $6.71B +4.4%
EBITDA $1.56B +35.8%
Net Income $365M -16.1%
EPS (Diluted) 0.69 -17.9%
Gross Margin 45.85% -4.1%
EBITDA Margin 23.29% +30.1%
Operating Margin 17.68% +38.1%
Net Margin 5.44% -19.6%
ROE 50.98% -35.3%
ROIC 19.55% +31.7%
Debt/Equity 6.09 -4.2%
Interest Coverage 7.32 +43.2%

Technical Analysis

Key Insights

Based on financial data analysis

✓Strengths

✓Excellent 3Y average ROE of 91.2%
✓High quality earnings: Operating CF exceeds net income

✗Weaknesses

✗High debt to equity ratio of 6.1x
✗Weak Piotroski F-Score: 3/9
✗Dividend payout exceeds 100% of earnings
✗Shares diluted 90.6% in last year
✗Expensive at 40.2x book value

Price & Volume

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Growth Metrics

Revenue CAGR

10Y8.5%

5Y8.49%

3Y4.25%

TTM4.37%

Profit (Net Income) CAGR

10Y-

5Y-

3Y-12.83%

TTM42.76%

EPS CAGR

10Y-

5Y-

3Y-13.33%

TTM3.77%

ROCE

10Y Avg11.06%

5Y Avg17.4%

3Y Avg18.17%

Latest21.79%

Peer Comparison

Music Publishing & Record Labels

Name	Market Cap	Current Price	P/E Ratio	Revenue Growth 1Y	Net Margin	ROE	FCF Yield	Debt/Equity
RSVRReservoir Media, Inc.	495.85M	7.56	63	9.56%	5.78%	2.58%		1.08
WMGWarner Music Group Corp.	4.54B	30.88	44.75	4.37%	9.26%	82.03%	11.87%	6.09

Profit & Loss

	Sep 2016	Sep 2017	Sep 2018	Sep 2019	Sep 2020	Sep 2021	Sep 2022	Sep 2023	Sep 2024	Sep 2025
Sales/Revenue+	3.25B	3.58B	4B	4.47B	4.46B	5.3B	5.92B	6.04B	6.43B	6.71B
Revenue Growth %	0.09%	0.1%	0.12%	0.12%	-0%	0.19%	0.12%	0.02%	0.06%	0.04%
Cost of Goods Sold+	1.71B	1.93B	2.17B	2.4B	2.33B	2.74B	3.08B	3.18B	3.35B	3.63B
COGS % of Revenue	0.53%	0.54%	0.54%	0.54%	0.52%	0.52%	0.52%	0.53%	0.52%	0.54%
Gross Profit+	1.54B	1.65B	1.83B	2.07B	2.13B	2.56B	2.84B	2.86B	3.07B	3.08B
Gross Margin %	0.47%	0.46%	0.46%	0.46%	0.48%	0.48%	0.48%	0.47%	0.48%	0.46%
Gross Profit Growth %	0.06%	0.07%	0.11%	0.13%	0.03%	0.2%	0.11%	0.01%	0.07%	0%
Operating Expenses+	1.32B	1.42B	1.62B	1.72B	2.36B	1.95B	2.13B	2.07B	2.25B	1.89B
OpEx % of Revenue	0.41%	0.4%	0.4%	0.38%	0.53%	0.37%	0.36%	0.34%	0.35%	0.28%
Selling, General & Admin	1.08B	1.22B	1.41B	1.51B	2.17B	1.72B	1.79B	1.74B	1.78B	1.89B
SG&A % of Revenue	0.33%	0.34%	0.35%	0.34%	0.49%	0.32%	0.3%	0.29%	0.28%	0.28%
Research & Development	0	0	0	0	0	0	0	0	0	0
R&D % of Revenue	-	-	-	-	-	-	-	-	-	-
Other Operating Expenses	243M	201M	206M	208M	190M	229M	339M	331M	472M	0
Operating Income+	214M	222M	217M	356M	-229M	609M	714M	790M	823M	1.19B
Operating Margin %	0.07%	0.06%	0.05%	0.08%	-0.05%	0.11%	0.12%	0.13%	0.13%	0.18%
Operating Income Growth %	0.69%	0.04%	-0.02%	0.64%	-1.64%	3.66%	0.17%	0.11%	0.04%	0.44%
EBITDA+	507M	473M	478M	625M	32M	915M	1.05B	1.12B	1.15B	1.56B
EBITDA Margin %	0.16%	0.13%	0.12%	0.14%	0.01%	0.17%	0.18%	0.19%	0.18%	0.23%
EBITDA Growth %	0.16%	-0.07%	0.01%	0.31%	-0.95%	27.59%	0.15%	0.07%	0.02%	0.36%
D&A (Non-Cash Add-back)	293M	251M	261M	269M	261M	306M	339M	332M	327M	376M
EBIT	214M	147M	580M	409M	-320M	578M	865M	750M	762M	694M
Net Interest Income+	-173M	-149M	-138M	-142M	-127M	-122M	-125M	-141M	-161M	-162M
Interest Income	0	0	0	0	0	0	0	0	0	0
Interest Expense	173M	149M	138M	142M	127M	122M	125M	141M	161M	162M
Other Income/Expense	-173M	-224M	225M	-89M	-218M	-153M	26M	-181M	-222M	-696M
Pretax Income+	41M	-2M	442M	267M	-447M	456M	740M	609M	601M	490M
Pretax Margin %	0.01%	-0%	0.11%	0.06%	-0.1%	0.09%	0.13%	0.1%	0.09%	0.07%
Income Tax+	11M	-151M	130M	9M	23M	149M	185M	170M	123M	125M
Effective Tax Rate %	0.61%	-71.5%	0.69%	0.96%	1.06%	0.67%	0.74%	0.71%	0.72%	0.74%
Net Income+	25M	143M	307M	256M	-475M	304M	551M	430M	435M	365M
Net Margin %	0.01%	0.04%	0.08%	0.06%	-0.11%	0.06%	0.09%	0.07%	0.07%	0.05%
Net Income Growth %	1.27%	4.72%	1.15%	-0.17%	-2.86%	1.64%	0.81%	-0.22%	0.01%	-0.16%
Net Income (Continuing)	30M	149M	312M	258M	-470M	307M	555M	439M	478M	365M
Discontinued Operations	0	0	0	0	0	0	0	0	0	0
Minority Interest	15M	15M	14M	20M	18M	15M	16M	123M	157M	110M
EPS (Diluted)+	0.05	0.28	0.62	0.50	-0.93	0.60	1.06	0.84	0.84	0.69
EPS Growth %	1.28%	4.62%	1.21%	-0.19%	-2.86%	1.65%	0.77%	-0.21%	0%	-0.18%
EPS (Basic)	0.05	0.28	0.62	0.50	-0.93	0.60	1.06	0.84	0.82	0.69
Diluted Shares Outstanding	501.99M	501.99M	501.99M	510M	510.03M	513.47M	519.81M	515.72M	517.52M	986.27M
Basic Shares Outstanding	501.99M	501.99M	501.99M	510M	510.03M	513.47M	519.81M	515.72M	517.52M	986.27M
Dividend Payout Ratio	-	0.59%	3.01%	0.37%	-	0.87%	0.58%	0.79%	0.83%	1.05%

Balance Sheet

	Sep 2016	Sep 2017	Sep 2018	Sep 2019	Sep 2020	Sep 2021	Sep 2022	Sep 2023	Sep 2024	Sep 2025
Total Current Assets+	908M	1.27B	1.18B	1.69B	1.68B	1.9B	2.14B	2.4B	2.64B	2.77B
Cash & Short-Term Investments	359M	647M	514M	619M	553M	499M	584M	641M	694M	532M
Cash Only	359M	647M	514M	619M	553M	499M	584M	641M	694M	532M
Short-Term Investments	0	0	0	0	0	0	0	0	0	0
Accounts Receivable	329M	404M	447M	775M	771M	839M	984M	1.12B	1.25B	1.34B
Days Sales Outstanding	36.99	41.24	40.74	63.21	63.06	57.77	60.68	67.72	71.28	72.92
Inventory	41M	39M	42M	74M	79M	99M	108M	126M	99M	62M
Days Inventory Outstanding	8.77	7.37	7.06	11.25	12.36	13.18	12.8	14.48	10.77	6.23
Other Current Assets	51M	44M	50M	53M	55M	86M	91M	102M	125M	255M
Total Non-Current Assets+	4.43B	4.44B	4.17B	4.33B	4.73B	5.32B	5.69B	6.14B	6.51B	7.06B
Property, Plant & Equipment	203M	213M	229M	300M	604M	632M	641M	703M	706M	630M
Fixed Asset Turnover	15.99x	16.79x	17.49x	14.92x	7.39x	8.39x	9.23x	8.59x	9.10x	10.65x
Goodwill	1.63B	1.69B	1.69B	1.76B	1.83B	1.83B	1.92B	1.99B	2.02B	2.06B
Intangible Assets	2.32B	2.21B	2B	1.87B	1.81B	2.17B	2.38B	2.5B	2.51B	2.73B
Long-Term Investments	0	0	0	0	0	0	0	0	0	8M
Other Non-Current Assets	278M	241M	231M	353M	422M	651M	715M	913M	1.22B	1.53B
Total Assets+	5.33B	5.72B	5.34B	6.02B	6.41B	7.21B	7.83B	8.54B	9.15B	9.83B
Asset Turnover	0.61x	0.63x	0.75x	0.74x	0.70x	0.74x	0.76x	0.71x	0.70x	0.68x
Asset Growth %	-0.05%	0.07%	-0.07%	0.13%	0.07%	0.12%	0.09%	0.09%	0.07%	0.07%
Total Current Liabilities+	1.84B	2.1B	2.37B	2.82B	2.72B	3.15B	3.37B	3.54B	3.9B	4.2B
Accounts Payable	204M	208M	281M	260M	264M	302M	268M	300M	289M	257M
Days Payables Outstanding	43.62	39.32	47.24	39.53	41.3	40.2	31.76	34.47	31.44	25.83
Short-Term Debt	0	0	0	0	0	0	0	0	0	43M
Deferred Revenue (Current)	1000K	1000K	1000K	1000K	1000K	1000K	1000K	1000K	1000K	1000K
Other Current Liabilities	21M	26M	34M	286M	80M	102M	245M	57M	110M	3.62B
Current Ratio	0.49x	0.61x	0.50x	0.60x	0.62x	0.60x	0.64x	0.68x	0.68x	0.66x
Quick Ratio	0.47x	0.59x	0.48x	0.57x	0.59x	0.57x	0.60x	0.64x	0.65x	0.64x
Cash Conversion Cycle	2.14	9.29	0.56	34.94	34.11	30.75	41.72	47.73	50.61	53.33
Total Non-Current Liabilities+	3.28B	3.31B	3.29B	3.47B	3.73B	4.01B	4.29B	4.58B	4.58B	4.87B
Long-Term Debt	2.78B	2.81B	2.82B	2.97B	3.1B	3.35B	3.73B	3.96B	4.01B	4.37B
Capital Lease Obligations	0	0	0	0	299M	287M	241M	255M	228M	200M
Deferred Tax Liabilities	269M	190M	165M	172M	163M	207M	220M	216M	195M	164M
Other Non-Current Liabilities	236M	309M	307M	321M	169M	175M	99M	141M	146M	142M
Total Liabilities	5.13B	5.41B	5.66B	6.29B	6.46B	7.17B	7.66B	8.12B	8.48B	9.07B
Total Debt+	2.78B	2.81B	2.82B	2.97B	3.44B	3.68B	4.01B	4.26B	4.29B	4.61B
Net Debt	2.42B	2.16B	2.31B	2.35B	2.89B	3.18B	3.43B	3.62B	3.59B	4.08B
Debt / Equity	13.23x	9.13x	-	-	-	79.91x	23.89x	9.91x	6.35x	6.09x
Debt / EBITDA	5.48x	5.94x	5.90x	4.76x	107.56x	4.02x	3.81x	3.80x	3.73x	2.95x
Net Debt / EBITDA	4.77x	4.58x	4.82x	3.77x	90.28x	3.47x	3.26x	3.23x	3.12x	2.61x
Interest Coverage	1.24x	1.49x	1.57x	2.51x	-1.80x	4.99x	5.71x	5.60x	5.11x	7.32x
Total Equity+	210M	308M	-320M	-269M	-45M	46M	168M	430M	675M	757M
Equity Growth %	-0.12%	0.47%	-2.04%	0.16%	0.83%	2.02%	2.65%	1.56%	0.57%	0.12%
Book Value per Share	0.42	0.61	-0.64	-0.53	-0.09	0.09	0.32	0.83	1.30	0.77
Total Shareholders' Equity	195M	293M	-334M	-289M	-63M	31M	152M	307M	518M	647M
Common Stock	0	0	0	1M	1M	1M	1M	1M	1M	1M
Retained Earnings	-715M	-654M	-1.27B	-1.18B	-1.75B	-1.71B	-1.48B	-1.39B	-1.31B	-1.33B
Treasury Stock	0	0	0	0	0	0	0	0	0	0
Accumulated OCI	-218M	-181M	-190M	-240M	-222M	-202M	-347M	-322M	-247M	-189M
Minority Interest	15M	15M	14M	20M	18M	15M	16M	123M	157M	110M

Cash Flow

	Sep 2016	Sep 2017	Sep 2018	Sep 2019	Sep 2020	Sep 2021	Sep 2022	Sep 2023	Sep 2024	Sep 2025
Cash from Operations+	342M	535M	425M	400M	463M	638M	742M	687M	754M	678M
Operating CF Margin %	0.11%	0.15%	0.11%	0.09%	0.1%	0.12%	0.13%	0.11%	0.12%	0.1%
Operating CF Growth %	0.54%	0.56%	-0.21%	-0.06%	0.16%	0.38%	0.16%	-0.07%	0.1%	-0.1%
Net Income	30M	149M	312M	258M	-470M	307M	555M	439M	478M	361M
Depreciation & Amortization	293M	251M	261M	269M	261M	306M	339M	332M	327M	376M
Stock-Based Compensation	23M	70M	62M	50M	608M	45M	39M	49M	52M	0
Deferred Taxes	-26M	-192M	66M	-68M	-57M	27M	13M	-13M	-48M	-90M
Other Non-Cash Items	-4M	84M	-355M	-35M	91M	34M	-117M	-1M	93M	252M
Working Capital Changes	26M	173M	79M	-74M	30M	-81M	-87M	-119M	-148M	-221M
Change in Receivables	17M	-60M	-43M	-90M	18M	-58M	-195M	-113M	-110M	-61M
Change in Inventory	0	1M	-3M	3M	-2M	-19M	-22M	-12M	30M	-11M
Change in Payables	23M	48M	82M	3M	-32M	91M	-21M	77M	86M	-28M
Cash from Investing+	-8M	-126M	405M	-376M	-219M	-638M	-824M	-300M	-311M	-340M
Capital Expenditures	-67M	-60M	-88M	-145M	-125M	-574M	-326M	-241M	-303M	-334M
CapEx % of Revenue	0.02%	0.02%	0.02%	0.03%	0.03%	0.11%	0.06%	0.04%	0.05%	0.05%
Acquisitions	-	-	-	-	-	-	-	-	-	-
Investments	-	-	-	-	-	-	-	-	-	-
Other Investing	-3M	-73M	23M	231M	94M	0	0	0	0	0
Cash from Financing+	-216M	-128M	-955M	88M	-316M	-61M	188M	-325M	-396M	-497M
Debt Issued (Net)	-	-	-	-	-	-	-	-	-	-
Equity Issued (Net)	-	-	-	-	-	-	-	-	-	-
Dividends Paid	0	-84M	-925M	-94M	-344M	-265M	-318M	-340M	-361M	-383M
Share Repurchases	-	-	-	-	-	-	-	-	-	-
Other Financing	-5M	-45M	-40M	-15M	-47M	-40M	-23M	-149M	-35M	-97M
Net Change in Cash	-	-	-	-	-	-	-	-	-	-
Free Cash Flow+	275M	475M	337M	255M	338M	64M	416M	446M	638M	539M
FCF Margin %	0.08%	0.13%	0.08%	0.06%	0.08%	0.01%	0.07%	0.07%	0.1%	0.08%
FCF Growth %	0.92%	0.73%	-0.29%	-0.24%	0.33%	-0.81%	5.5%	0.07%	0.43%	-0.16%
FCF per Share	0.55	0.95	0.67	0.50	0.66	0.12	0.80	0.86	1.23	0.55
FCF Conversion (FCF/Net Income)	13.68x	3.74x	1.38x	1.56x	-0.97x	2.10x	1.35x	1.60x	1.73x	1.86x
Interest Paid	0	0	0	0	0	0	0	0	0	0
Taxes Paid	0	0	0	0	0	0	0	0	0	0

Key Ratios

Metric	2016	2017	2018	2019	2020	2021	2022	2023	2024	2025
Return on Equity (ROE)	11.14%	55.21%	-	-	-	60800%	514.95%	143.81%	78.73%	50.98%
Return on Invested Capital (ROIC)	5.72%	6.53%	7.3%	13.12%	-6.97%	15.06%	15.7%	15.5%	14.84%	19.55%
Gross Margin	47.41%	46%	45.79%	46.35%	47.73%	48.27%	47.96%	47.37%	47.79%	45.85%
Net Margin	0.77%	4%	7.67%	5.72%	-10.64%	5.73%	9.31%	7.12%	6.77%	5.44%
Debt / Equity	13.23x	9.13x	-	-	-	79.91x	23.89x	9.91x	6.35x	6.09x
Interest Coverage	1.24x	1.49x	1.57x	2.51x	-1.80x	4.99x	5.71x	5.60x	5.11x	7.32x
FCF Conversion	13.68x	3.74x	1.38x	1.56x	-0.97x	2.10x	1.35x	1.60x	1.73x	1.86x
Revenue Growth	9.44%	10.17%	12%	11.74%	-0.27%	18.78%	11.66%	1.99%	6.44%	4.37%

Revenue by Segment

	2016	2017	2018	2019	2020	2021	2022	2023	2024	2025
Recorded Music	2.74B	3.02B	3.36B	3.84B	3.81B	4.54B	4.97B	4.96B	5.22B	5.41B
Recorded Music Growth	-	10.38%	11.26%	14.29%	-0.78%	19.27%	9.29%	-0.22%	5.41%	3.54%
Music Publishing	524M	572M	653M	643M	657M	761M	958M	1.09B	1.21B	1.31B
Music Publishing Growth	-	9.16%	14.16%	-1.53%	2.18%	15.83%	25.89%	13.57%	11.21%	7.93%

Revenue by Geography

	2016	2017	2018	2019	2020	2021	2022	2023	2024	2025
UNITED STATES	1.36B	1.59B	1.75B	1.96B	1.93B	2.36B	2.74B	2.77B	2.87B	2.87B
UNITED STATES Growth	-	16.69%	10.52%	11.52%	-1.12%	22.18%	16.12%	0.80%	3.76%	0.14%
All Other Countries	1.4B	1.47B	1.66B	1.92B	1.98B	1.66B	1.83B	2.01B	2.27B	2.46B
All Other Countries Growth	-	5.16%	13.02%	15.98%	2.86%	-16.28%	10.39%	9.96%	12.89%	8.46%
UNITED KINGDOM	-	-	-	-	551M	620M	734M	726M	774M	857M
UNITED KINGDOM Growth	-	-	-	-	-	12.52%	18.39%	-1.09%	6.61%	10.72%
GERMANY	-	-	-	-	-	662M	613M	535M	513M	515M
GERMANY Growth	-	-	-	-	-	-	-7.40%	-12.72%	-4.11%	0.39%

Frequently Asked Questions

Valuation & Price

Warner Music Group Corp. (WMG) has a price-to-earnings (P/E) ratio of 44.8x. This suggests investors expect higher future growth.

Growth & Financials

Warner Music Group Corp. (WMG) reported $6.71B in revenue for fiscal year 2025. This represents a 141% increase from $2.78B in 2012.

Warner Music Group Corp. (WMG) grew revenue by 4.4% over the past year. Growth has been modest.

Yes, Warner Music Group Corp. (WMG) is profitable, generating $621.0M in net income for fiscal year 2025 (5.4% net margin).

Dividend & Returns

Yes, Warner Music Group Corp. (WMG) pays a dividend with a yield of 1.26%. This makes it attractive for income-focused investors.

Warner Music Group Corp. (WMG) has a return on equity (ROE) of 51.0%. This is excellent, indicating efficient use of shareholder capital.

Warner Music Group Corp. (WMG) generated $428.0M in free cash flow for fiscal year 2025. Positive FCF indicates the company can fund dividends, buybacks, or reinvestment.