WMG sets record with streaming revenue in Q1

Warner Music Group has become the first major record label to receive more revenue from music streaming than downloads, according to their first quarter report.

The main take-awaysfrom the report were that total revenue is up4% measuring withlocal currency or 13% on a constant-currency basis (as if exchange rates had remained constant); the Recorded Music revenue is up 5% (15% constant-currency) at $564 million, up from $535 millionand Digital revenue overallis up 1% or 10% on a constant-currency basis.Digital revenue for Q1 2015 was $297 million, up from $295m. The growth in digital revenue is attributed to more streaming revenue which actually more than offset the continued decline in download revenue.

Warner Music Group’s net income is $19 million; in the same quarter in 2014the major operated at a lossreporting $59 million in net losses.

"We experienced significant revenue growth this quarter across key segments of our business – in particular Recorded Music, across the U.S. and international and across digital and physical – capping off a strong first half of our fiscal year," saidStephen Cooper, Warner Music Group’s CEO in a statement.

"Notably, in this quarter we saw continued growth in streaming revenue which surpassed download revenue for the first time in the history of our recorded music business," Cooper added."Our commitment to being at the forefront of industry change as well as our ongoing investment in artist development is the foundation of our continued success."

The news follows the launch ofJay Z’s streaming service Tidal and precedes Apple's Beats music service.