Warner Music Group Q3 Revenue Up 10% on Double-Digit Streaming Growth

Warner Music Group (WMG) reported on Monday (Aug. 3) that quarterly revenue rose by 10% to nearly $1.9 billion on double-digit digital revenue growth.

WMG released “preliminary estimated financial information” for the quarter ending June 30, 2026 on an accelerated timeline — it previously planned to report earnings and hold a conference call on Aug. 6 — following a pair of announcements on Friday (July 31) that chief financial officer and chief operating officer Armin Zerza was stepping down effective immediately. Chief accounting officer Louis Dickler has been named acting CFO, and Warner Records co-chairman and COO Tom Corson was named to replace Zerza in his additional role as COO.

Recorded music revenue, prior to intersegment eliminations, rose by 10% to approximately $1.5 billion, and music publishing revenue rose by 12% to $377 million compared to the year-ago quarter. WMG said both numbers reflect the divisions’ performance “prior to intersegment eliminations,” and that these were unaudited financials.

Digital revenue rose by 11% to about $1.25 billion, with recorded music streaming revenue rising by 12% to just over $1 billion in what is WMG’s third fiscal quarter compared to a year ago. The growth in recorded music streaming revenue comes from 12% growth in subscription streaming revenue and 10% growth in ad-supported revenue. Music publishing saw digital revenue grow by 15% to roughly $235 million.

The company said operating income grew by a whopping 80% to $305 million and adjusted operating income before depreciation and amortization (OIBDA) grew by 16% to $433 million, primarily due to the quarter’s “strong operating performance … and savings from the Company’s restructuring plans.”

WMG’s cash flow from operating activities, the amount of money it generates from ongoing, primary business activities, grew by $96 million or 209%, to approximately $142 million for the quarter. During the second quarter 2025, the company’s cash flow from operating activities was $46 million.

WMG recommitted to its financial targets of achieving “high-single-digit consolidated revenue growth, double-digit adjusted OIBDA and adjusted earnings per share growth and 50-60% operating cash flow conversion.” Additionally, WMG said it expects adjusted OIBDA margin to increase at the high-end of its 150-200 basis point financial target for its fiscal year, which ends Sept. 30.

WMG said it will release full financial results on Wednesday, Aug. 5, and hold an earnings conference call that afternoon at 4:30 p.m. in New York.

The company’s stock price was up 0.67% at $26.14 around 10:13 a.m. on Monday in New York.