BMG H1 2025 Revenue Falls 8% Amid Market Shifts, EBITDA Margin Rises

BMG reported a nearly 8% year-over-year revenue decline to €424 million ($496 million) in the first half of 2025, primarily due to the sale of non-core businesses including its live entertainment division and a strategic scaling back of lower-margin activities. Despite the revenue drop, the company achieved an all-time high EBITDA margin of around 29%, driven by a more profitable business mix focused on digital and scalable models, with operating EBITDA stable at €122 million. Streaming revenue grew in the high single digits, increasing digital sources to 72% of total revenue, up from 69% a year earlier, as BMG expanded direct licensing agreements with digital service providers and optimized relationships with digital platforms. U.S. sales remained the largest market, though they declined 8.1%, alongside significant revenue drops in Germany and France, reflecting market dynamic shifts. CEO Thomas Coesfeld emphasized BMG's digital-first strategy under the BMG Next business model, aiming to build a future-forward music company through innovation, technology, and enhanced artist support. The company continues to invest heavily in catalog acquisitions, with total catalog investments surpassing €1.4 billion.