Warner Music Group

Barclays' 12th Global Music Results Wrap, released August 21, shows that major music companies reported average streaming growth of 8.3% in the second quarter of 2026, with Warner Music Group leading at 11.3% and Universal Music Group at 5.6%. Although Spotify Technology reported stronger growth of 14.6% for the period, the gap between the labels' streaming performance and Spotify's shrank to 7 percentage points from an all-time high of 17 points in the second quarter of 2024. This narrowing suggests a structural shift in bargaining power, as label revenue growth now tracks Spotify more closely. Warner's growth was supported by a 7% volume increase, with overall revenue up 9% at constant currency to approximately $1.86 billion. Spotify expects €5.0 billion in third-quarter revenues, representing 17.0% reported growth and 15.0% constant currency growth. Meanwhile, hedge fund ownership in Spotify fell from 123 to 112 funds, while Warner's rose from 33 to 38, indicating shifting institutional sentiment.

Disney reported second-quarter revenues of $25.25 billion, up 6.8% year on year, falling short of analysts' expectations by 0.6% but beating EPS estimates. Among the seven consumer discretionary media stocks tracked, News Corp was the best performer with revenues of $2.34 billion, up 10.8% year on year and beating estimates by 4.1%, while Scholastic was the weakest with revenues of $476.1 million, down 6.3% year on year and missing estimates by 7.9%. Warner Music Group reported revenues of $1.86 billion, up 10.4% year on year and beating estimates by 3.8%, and The New York Times reported revenues of $762.5 million, up 11.2% year on year and beating estimates by 1.4%. As a group, revenues missed analysts' consensus estimates by 0.8%, and share prices have held steady on average since the latest earnings results.