A live performance from SZA, whose SOS, despite having debuted in late 2022, generated the most Q3 2024 revenue of any Sony Music release. Photo Credit: Erin Cazes
Sony Music achieved double-digit YoY revenue growth in Q3 2024 thanks in part to a relatively strong streaming showing as well as an over 22% spike in physical sales.
Those and other performance particulars for July, August, and September of 2024 (the second fiscal quarter) came to light in a newly released earnings report from the overarching Sony Group Corp. All told, the conglomerate attributed about $2.91 billion (¥444 billion) in external sales to its music operations for the three-month stretch, up 11.18% YoY.
As usual, though, that multifaceted sum includes the “visual media and platform” segment, itself consisting of mobile gaming and more. Excluding this industry-adjacent contribution, Sony Music revenue came in at $2.50 billion (¥381.77 billion) in calendar Q3, up closer to 13.46% YoY.
(Also worth reiterating is that Sony Music collects revenue in a number of currencies and reports in yen, with a sizable average Q3 exchange rate of $1 to ¥149.5 pinpointed in the report.)
Behind the sum, recorded music streaming revenue finished at $1.24 billion (¥189.47 billion), up 8.98% YoY, according to the Sony Music earnings report, as recorded music physical sales delivered $167.07 million (¥25.48 billion), a YoY increase of 22.26%.
For further context, Sony Music artists’ top Q3 releases by recorded revenue were SZA’s SOS (2022), David Gilmour’s Luck and Strange (2024), Travis Scott’s Utopia (2023), Future and Metro Boomin’s We Don’t Trust You (2024), Beyoncé’s Cowboy Carter (2024), and Harry Styles’ Harry’s House (2022), respectively.
Bearing in mind the presence of a few years-old projects on the list, Sony Music reiterated the U.S. recorded music market’s 73% catalog-consumption rate (referring specifically to the listenership share behind projects at least 18 months old).
Building on the point, higher-ups confirmed they’re looking to capitalize on NIL rights by pursuing “additional monetization opportunities such as merchandising and experiential live events that use these rights.”
Returning to the core financials, Sony Music Publishing revenue for 2024’s third quarter was $600.63 million (¥91.53 billion), up 10.65% YoY. Therein, streaming accounted for $347 million or so (¥52.93 billion), a 9.28% YoY jump.
Overall, Sony Music’s Q3 operating income reached $592.21 million (¥90.36 billion), an 11.56% YoY boost. However, visual media and platform kicked in “slightly less than 20%” of the figure, per the breakdown.
Late last month, Universal Music Group posted its own calendar Q3 financials, and Warner Music Group is set to unveil its performance data for the same period (the fourth quarter of its fiscal year) on Thursday, November 21st.
