News October 31, 2017

Report: DJ Khaled contributes to 21.6% recorded revenue jump for Sony Music

Report: DJ Khaled contributes to 21.6% recorded revenue jump for Sony Music

Streaming helped Sony Music’s recorded music revenues reach ¥109.18 billion (A$1.28 billion) in the three months to September.

The figures were up 21.6% year-on-year.

Streaming represented 49% of the quarter’s revenues, representing ¥52.99 billion ($623.1 million). This marked a 68.3% growth compared to Q3 2016.

Streaming has for the first nine months of 2017 made Sony Music over $1.3 billion (AUD).

Music Business Worldwide calculated that streaming makes $6.5 million each day for Sony Music. In comparison, Universal Music Group’s streaming was making $7.8 million a day and Warner Music Group’s labels about $5.2 million a day.

For Sony Music, Q3 revenue contribution by physical formats continued to fall, down a further 10%, to ¥27.59 billion ($325.2 million) and represent 25.3% of the major label’s revenue pie.

Downloads also contributed, down 10.2% to ¥12.3 billion ($145 million).

The two best sellers in the period were: Japanese acts, Nogizaka46’s Nigemizu at the top, and Japanese idol group Keyakizaka46’s album, Masshiro na Mono wa Yogoshitaku naru (I Want to Squeeze All Kinds Of Things),at #2.

Others included releases by DJ Khaled, Foo Fighters, Calvin Harris, Arcade Fire, French Montana, Khalid, Kesha and 21 Savage

Sony’s publishing division – which includes Sony/ATV worldwide and Sony Music Publishing in Japan – grew 25.1% representing ¥19.5 billion ($229.9 million).

The figures were released overnight as part of Tokyo-based parent company Sony Corp’s financial report.

Sony Corp.’s overall reported net income of ¥130.9 trillion ($1.51 billion), a 22% rise.

In total the global music division – encompassing recorded music, publishing and ’visual media and platform’ divisions— posted revenues ¥206.6 billion ($2,4 billion) in the three months. Operating income was ¥32.5 billion ($382.67 billion)

In comparison to the same period in 2016, this represented a 37.5% jump in revenue and nearly 97% in operating income.

The figures are not broken down by territory, only on divisions, so it’s not known how Sony Music’s Australian operations fared in the period.

Sony’s Visual Media & Platform was the best performer of the company, involved in the making and distribution of animation titles, including game apps based on those titles and service offerings for music and visual products.’

This segment’s revenue was up nearly 80% to ¥74.16 billion ($898.99 million), driven by “Fate/Order” game app for mobile devices.

Related articles