Compared to Estimates, Warner Music Group (WMG) Q1 Earnings: A Look at Key Metrics

Core Insights - Warner Music Group Corp. (WMG) reported a revenue of $1.84 billion for the quarter ended December 2025, reflecting a year-over-year increase of 10.4% and a surprise of +3.95% over the Zacks Consensus Estimate of $1.77 billion [1] - The earnings per share (EPS) for the quarter was $0.33, down from $0.45 in the same quarter last year, resulting in an EPS surprise of -16.69% compared to the consensus estimate of $0.40 [1] Revenue Breakdown - Total Recorded Music revenue reached $1.48 billion, exceeding the two-analyst average estimate of $1.43 billion [4] - Music Publishing revenue was $362 million, surpassing the two-analyst average estimate of $343.46 million [4] - Revenue from Recorded Music Digital was $976 million, compared to the average estimate of $944.83 million [4] - Revenue from Recorded Music Physical was $152 million, slightly below the average estimate of $157.21 million [4] - Total revenue from Recorded Music (Digital and Physical combined) was $1.13 billion, exceeding the two-analyst average estimate of $1.1 billion [4] - Music Publishing revenue from Performance was $64 million, above the average estimate of $58.25 million [4] - Music Publishing revenue from Synchronization was $60 million, significantly higher than the average estimate of $41.56 million [4] Stock Performance - Over the past month, shares of Warner Music Group have returned -5.3%, while the Zacks S&P 500 composite has changed by +0.5% [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the broader market in the near term [3]