Universal Music Group saw an 8.8% spike in constant currency in the second quarter of 2023 as revenue neared $3b ( €2.7b). Strong growth in the Recorded Music and Merchandising and Other segments powered the quarter.

Recorded Music revenue of €2.08b was up 8.2% (10.9% in constant currency) in the three-month period that ended 6/30.

Recorded Music subscription revenue grew 10.6% year-over-year, or 13% in constant currency, to €1.07b and streaming revenue grew 2.9% year-over-year, or 5.3% in constant currency, to €358m. Combined, subscriptions and streaming were up 8.5% (11% in constant currency) to €1.426.

License and other revenue improved 13.1% year-over-year, or 16.1% in constant currency, as a result of improvements in neighboring rights, brand promotion and live income. Top sellers for the quarter included releases from Morgan Wallen, Taylor Swift, SEVENTEEN, Stray Kids and King & Prince.

"As an artist-centric company, we’re not only proud of our continued strong performance, but we’re also particularly excited that it enables us to accelerate our strategy to promote a healthier streaming business—one that rewards real artists and real music—and drive growth opportunities for the broader music ecosystem," UMG Chairman and CEO Sir Lucian Grainge said. "Our growth came from all segments of the business."

In a call with investors, Grainge touted sales stats—in the first six months, UMG has seven of the Top 10 albums in the U.S. and six of Top 10 in the U.K.—plus King & Prince’s domination of Japan's album chart and the recent signings of Latin artists Karol G and Anitta.

Adjusted EBITDA for the quarter was €590m, up 16.4% year-over-year, or 19.2% in constant currency, and Adjusted EBITDA margin improved to 21.9%, compared to 20% in the second quarter of 2022.

"Our strong growth in revenues, Adjusted EBITDA and operating cash flow has enabled our continued strategic investment in the business, further driving long-term shareholder value as we continue to execute on our vision," UMG EVP, CFO and President of Operations Boyd Muir said.