Universal Music Group (UMG) has announced its financial results for the third quarter of 2025, posting revenue of €3.021 billion ($3.53 billion). This represents a year-over-year increase of 10.2% at constant currency, with growth reported across all business segments.
The company’s Adjusted EBITDA for the quarter was €664 million ($775 million), achieving a 22% margin.
The Recorded Music division was a primary driver, generating €2.223 billion ($2.59 billion) in revenue, an 8.3% increase. A significant highlight was the 23.1% surge in physical revenue to €341 million ($398 million), which UMG attributed to initial shipments of major new releases and strong performance in markets like Japan.
Subscription streaming revenue for recorded music grew 8.7% to €1.178 billion ($1.37 billion), fueled by global subscriber growth. Ad-supported streaming revenue remained flat at €337 million ($394 million), a trend UMG noted is due to a consumer shift toward less-monetized short-form video platforms.
Top-selling artists for the quarter included the KPop Demon Hunters soundtrack, Taylor Swift, Sabrina Carpenter, Morgan Wallen, and Mrs. GREEN APPLE.
In a statement, UMG Chairman and CEO Sir Lucian Grainge said, “As we position the company for long-term value creation, we continued to achieve strong results this quarter.” He pointed to progress in strategic areas including global expansion and responsible AI initiatives.
CFO Matt Ellis added, “Our double-digit growth in both revenue and Adjusted EBITDA is a reflection of the breadth and depth of our global roster, the strength of our partnerships, and the consistent execution on our strategic plan.”
