Warner Music Group is expected to post another year-over-year decline in earnings when the company delivers its 3Q financials before the market opens on Tuesday, August 8.
According to Zacks Investment Research, based on 7 analysts' forecasts, the consensus EPS forecast for the quarter is $0.21, down from $0.24 in 3Q 2022.
The firm’s second-quarter earnings were affected by a slowdown in music streaming revenue as well as $41 million in severance costs for former CEO Steve Cooper and CFO Eric Levin.
Revenue growth of 4.6% was held back by lower growth of 2.2% in its recorded music division and streaming divisions.
The firm’s new CEO Robert Kyncl is hoping to put the company back on a heavier release schedule. Upcoming releases include new material from big names like Dua Lipa, David Guetta, Lil Uzi Vert, Burna Boy and Kelly Clarkson.
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