Universal Music Group N.V. Reports Financial Results for the Second Quarter and Half Year Ended June 30, 2023

HILVERSUM, The Netherlands, July 26, 2023

• Revenue of €2,697 million increased 6.4% year-over-year, or 8.8% in constant currency, driven by strong growth in the Recorded Music and Merchandising and Other segments
• Recorded Music subscription revenue grew 10.6% year-over-year, or 13.0% in constant currency and streaming revenue grew 2.9% year-over-year, or 5.3% in constant currency
• Adjusted EBITDA of €590 million increased 16.4% year-over-year, or 19.2% in constant currency, and Adjusted EBITDA margin expanded 1.9 percentage points to 21.9%
• Recorded Music top sellers included King & Prince, Morgan Wallen, SEVENTEEN, Taylor Swift, and Stray Kids

Summary H1 2023 Results¹

• Revenue of €5,148 million increased 8.7% year-over-year, or 9.1% in constant currency, driven by growth across all segments
• Recorded Music subscription revenue grew 11.6% year-over-year on both a reported and constant currency basis and streaming revenue grew 2.3% year-over-year, or 1.8% in constant currency
• Adjusted EBITDA of €1,112 million increased 15.6% year-over-year, or 16.2% in constant currency, and Adjusted EBITDA margin expanded 1.3 percentage points to 21.6%
• Net cash provided by operating activities before income tax paid of €703 million increased 16.2% compared to €605 million in H1 2022
• Interim dividend of €437 million, or €0.24 per share

HILVERSUM, The Netherlands, July 26, 2023 /PRNewswire/ -- Universal Music Group N.V. ("UMG" or "the Company") today announced its financial results for the second quarter and half year ended June 30, 2023.

UMG´s Chairman and CEO Sir Lucian Grainge said, "As an artist-centric company, we're not only proud of our continued strong performance, but we're also particularly excited that it enables us to accelerate our strategy to promote a healthier streaming business—one that rewards real artists and real music—and drive growth opportunities for the broader music ecosystem."

"Our strong growth in revenues, Adjusted EBITDA and operating cash flow has enabled our continued strategic investment in the business, further driving long-term shareholder value as we continue to execute on our vision," said Boyd Muir, UMG's EVP, CFO and President of Operations.