In its first quarterly report as a stand-alone company, Universal Music Group’s revenue of $2.498b was up 16.1% over the third quarter of 2020.

Recorded Music revenue for the third quarter of 2021 was $1.98b, up 15.5%, with subscription and streaming revenue up 14% to $1.52b. Ad-supported streaming was particularly strong, due to the ongoing improvement in ad-based monetization and new and enhanced deals in social media.

In 2022 UMG will break streaming revenue down into subscription and ad-supported categories, UMG EVP/CFO/President of Operations Boyd Muir announced.

Physical revenue grew 8.9% to $324m, driven by strong vinyl demand as well as growth in direct-to-consumer sales. “Connecting the fan with an artist with physical product is important, increasingly so," Muir told investors on a conference call. "We’re very, very focused on it.”

"Our operational and financial performance this quarter—our first as an independent, publicly traded company—demonstrates both why UMG is the world's most successful music company and how our commitment to artists' career development and fostering innovation promotes growth across the music ecosystem," said Sir Lucian Grainge, UMG Chairman and CEO. "We feel there is unprecedented opportunity for further growth."

UMG went public on 9/21, nine days before the quarter ended. The stock closed today at $25.14, its highest price this month.

Grainge also recounted highlights of the past quarter, mentioning new deals with Aerosmith, Andrea Bocelli, BTS, Abba and stars in France and India. He touted chart highlights of the year as well, noting that UMG has had the #1 album in the U.S. for 33 of the first 39 weeks of 2021, the Top 4 best sellers of the year and the top seven debut weeks. In the U.K., UMG has eight of the Top 10 artists and three of the top four artists.