UMG Q4 Revenue Hits $4.19B, Up 10.6% YoY

Universal Music Group (UMG) has released its Q4 and full year 2025 financial results.

Full year summary:

• Revenue reached €12.5 billion, up 8.7% YoY in constant currency.

• Recorded Music subscription revenue grew 8.6% YoY in constant currency, and streaming revenue grew 4.7% YoY in constant currency.

• Adjusted earnings before interest, taxes, and depreciation (EBITDA) hit €2.81 billion, an increase of 8.6% YoY in constant currency.

• Adjusted EBITDA margin remained constant at 22.5%.

Q4 summary:

• Revenue of €3.605 billion ($4.19bn) across all divisions.

• That was up 10.6% YoY in constant currency, with growth in the Recorded Music segment driving the uplift.

• Recorded Music subscription revenue grew 7.7% YoY in constant currency, and streaming revenue grew 9.3% YoY in constant currency.

• Adjusted EBITDA of €810 million increased 6.4% YoY in constant currency, while Adjusted EBITDA margin decreased 0.7pp to 22.5%.

Q4 Recorded Music highlights:

• Overall Recorded Music revenue for Q4 was €2.769 billion ($3.22bn), up 13.9% YoY in constant currency.

• Subscription and streaming revenues grew 8.1% YoY in constant currency, reaching €1.644 billion ($1.91bn).

• Physical revenue leapt 21.3% in constant currency to €524 million ($609.3m), with UMG crediting “strong vinyl sales in the US and Europe.”

• License and other revenue grew 18.1% YoY in constant currency to €516 million ($600m), driven by live event and other related income, and a “compensatory payment as part of a strategic licensing agreement with an AI music platform.”

• Downloads and other digital revenue was €85 million ($98.8m), up 107.3% YoY in constant currency, attributed to a confidential legal resolution.

Q4 Music Publishing:

• Overall Music Publishing revenue for Q4 reached €593 million ($689.5m), up 1.4% YoY in constant currency.

• Digital publishing revenue was €354 million ($411.6m), down 1.1% YoY in constant currency.

• Performance revenue was down 5.7% in constant currency at €116 million ($134.9m).

• Sync revenue reached €79 million ($91.9m), a 27.4% leap YoY in constant currency.

• Mechanical revenue reached €26 million ($30.2m), up 13.0% YoY in constant currency.

Q4 Merchandising and Other:

• Category revenue in Q4 was €248 million ($288.4m), no change YoY in constant currency.

Q4 EBITDA:

• EBITDA reached €730 million ($848.8m), growing 8.6% YoY in constant currency.

• Adjusted EBITDA in Q4 was €810 million ($941.9m), up 6.4% YoY in constant currency.

What they said:

• Sir Lucian Grainge, UMG’s Chairman and CEO: “2025 was another standout year for UMG; creatively, commercially, and strategically. We delivered real, measurable progress across our plan: advancing Streaming 2.0, scaling artist and label services, accelerating superfan initiatives, expanding in high-growth markets, and leading on responsible AI. The result is a stronger, more connected and growing ecosystem, creating greater opportunities for our artists and songwriters, and delivering long-term value for shareholders.”