September 1, 2017:BMG revenues and profits both up in first half of 2017

It wasn’t just Universal Music posting new financials this week. BMG (through its parent group Bertelsmann) has also revealed its latest figures, with encouraging growth in both revenues and profits.

BMG generated revenues of €233m ($277m) in the first half of 2017, up 28% year-on-year. Meanwhile, the music company’s operating EBITDA (earnings before interest, tax, depreciation and amortisation) grew by 25% to €40m ($48m) over the same period.

Bertelsmann said that the growth was mainly down to “the recording and music publishing business in the United Kingdom and the United States, as well as the music publishing business in Australia”.

Among the highlights during the first half of this year: the acquisition of country-music firm BBR Music Group, and the signing to BMG of artists including Kylie Minogue, Avril Lavigne, Mando Diao and Fergie out of the Black Eyed Peas.

BMG paid €95m ($113m) in cash for BBR Music Group, with a further $25m ‘variable consideration’ dependent on future sales figures of artists signed to the latter company.

“As of June 30, 2017, Bertelsmann anticipates no payment from this variable consideration,” reported the company in its interim report published alongside the financials.

Stuart Dredge
READ MORE: Data News
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