Warner Music Group’s net loss nearly doubled in its third fiscal quarter ended June 20, 2013 compared to the corresponding period in 2012, while revenues increased by around 2%.
WMG posted a net loss of $63 million in the quarter compared to $32 million last year, while revenues stood at $663 million compared to $651 million at the same point in 2012.
The net loss jump was attributed to an increase in tax expense by the company, partially offset by a decline in interest expense on debt.
WMG sales increased 1.8% and operating income before depreciation and amortising went up 4.5% to $69 million from $66 million last year.
Recorded music saw a sales increase of 3.2% (from $517m to $534m year-on-year) with digital sales growing 8.5% to £236m from $216m. Digital revenues accounted for 44.4% of sales.
Music publishing revenues declined by 2.9% in the quarter from $138 million to $134 million.
The drop was attributed to a number of declines in revenue sources with performance income dropping 5.6% from $54m to $51m; mechanical falling 2.9% from $34m to $33m and sync down 16.1% from $31m to $26m.
The company said that the decline in mechanical revenue was expected and reflects the continued transition from physical to digital sales. Meanwhile the increase in digital revenue was driven by increases in both subscription and streaming revenue as well as that from downloads.