Warner Music Group Corp. (WMG) Financials

WMG

Trailing 12 months to June 30, 2026

Revenue $7.3B +12.9% YoY

Net Income $672.0M +126.3% YoY

Free Cash Flow $836.0M +37.7% YoY

Operating Cash Flow $939.0M +25.0% YoY

Market Cap $15.0B as of Oct 10, 2026

Price / Sales 2.1x on $7.3B revenue, trailing 12 months to June 30, 2026

Price / Earnings 22.4x on $672.0M net income, trailing 12 months to June 30, 2026

Price / Book 17.6x on $854.0M equity, Q3 FY2026

A multiple compares the market's price with a filed figure; it says what the market pays, not how the business is doing. The market capitalization is the vendor's as of Oct 10, 2026; every other figure is from the SEC filings on this page. Not financial advice.

Source SEC Filings (10-K/10-Q) Latest period Q3 FY2026, ended Jun 30, 2026 Reported Aug 5, 2026 Currency USD FYE September

Newest figures come from the 10-Q for Q3 FY2026, filed Aug 5, 2026. Each column of the statement tables below links to the filing it was taken from, and every filing is listed on the WMG SEC filings page.

Warner Music Group Corp. (WMG) reported $7.3B in revenue over the twelve months to Jun 30, 2026, up 12.9% from the prior twelve months. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 15 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).

Rhea AI WMG FY2025 2026-10-04

Warner Music grows revenue, but FY2025 reveals margin compression and weaker cash conversion alongside a still-leveraged balance sheet.

Revenue reached $6.7B in FY2025, but gross margin fell to 45.9%, indicating growth produced less gross profit per sales dollar. Operating cash flow of $678M exceeded net income of $365M, so earnings remained cash-generative even as cash generation weakened from FY2024.

Revenue rose 4.4% in FY2025, yet operating income fell 15.7%, indicating operating deleverage as the cost base absorbed growth instead of converting it into profit. Free cash flow fell to $539M, showing weaker operations reduced cash left after investment.

Equity rose to $647M and debt-to-equity fell to 6.3x by FY2025, a structural improvement from FY2021’s thin equity base. Yet the current ratio remained at 0.7x while receivables reached $1.3B, indicating tight short-term liquidity and more cash tied to customer balances.

Financial Health Signals

Financial Health Score 50/100

Scored against operating companies for FY2025. Each of the six dimensions is a percentile rank within that peer group; the overall is their average, with missing dimensions counted as zero out of six. A high score means strong standing among peers, not absolute cross-industry strength. How this score is calculated →

Health score ≠ stock price. This rates the quality of Warner Music Group Corp.'s business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.

Profitability

Warner Music Group Corp. has an operating margin of 10.3%, meaning the company retains $10 of operating profit per $100 of revenue. This strong profitability earns a score of 78/100, reflecting efficient cost management and pricing power. This is down from 12.8% the prior year.

Growth

Warner Music Group Corp.'s revenue grew a modest 4.4% year-over-year to $6.7B. This slow but positive growth earns a score of 52/100.

Leverage

Warner Music Group Corp. has elevated debt relative to equity (D/E of 6.28), meaning the company relies heavily on borrowed funds. This high leverage results in a low score of 19/100, reflecting increased financial risk.

Liquidity

Warner Music Group Corp.'s current ratio of 0.66 is below the typical benchmark, resulting in a score of 7/100. This tight liquidity could limit financial flexibility if cash inflows slow.

Cash Flow

Warner Music Group Corp. has a free cash flow margin of 8.0%, earning a moderate score of 62/100. The company generates positive cash flow after capital investments, but with room for improvement.

Returns

Warner Music Group Corp. earns a strong 56.4% return on equity (ROE), meaning it generates $56 of profit for every $100 of shareholders' equity. This efficient capital use earns a returns score of 83/100. This is down from 84.0% the prior year.

Altman Z-Score Distress

1.54

Warner Music Group Corp. scores 1.54, below the 1.81 distress threshold. The score is driven primarily by a large market capitalization ($15.0B) relative to total liabilities ($9.1B). This indicates elevated financial distress risk and warrants close attention to liquidity and debt levels.

Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.

Piotroski F-Score Partial

4/8

Warner Music Group Corp. passes 4 of 8 computable financial strength tests (1 of the nine could not be computed from available data). 3 of 4 profitability signals pass, 1 of 2 leverage/liquidity signals pass, neither operating efficiency signal passes.

Earnings Quality Cash-Backed

1.86x

For every $1 of reported earnings, Warner Music Group Corp. generates $1.86 in operating cash flow ($678.0M OCF vs $365.0M net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.

Interest Coverage Adequate

3.92x

Warner Music Group Corp. earns $3.92 in operating income for every $1 of interest expense ($694.0M vs $177.0M). This adequate coverage means the company can meet its interest obligations, but has limited cushion if earnings fall.

Key Financial Metrics

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Earnings & Revenue

Revenue

$1.9B

YoY+10.4%

QoQ+7.6%

5Y CAGR+6.8%

10Y CAGR+8.7%

Warner Music Group Corp. generated $1.9B in revenue in Q3 2026. This represents an increase of 10.4% from the same quarter a year earlier. Against the prior quarter it is up 7.6%.

EBITDA

$416.0M

YoY+57.0%

QoQ+13.4%

5Y CAGR+11.5%

10Y CAGR+13.2%

Warner Music Group Corp.'s EBITDA was $416.0M in Q3 2026, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 57.0% from the same quarter a year earlier. Against the prior quarter it is up 13.4%.

Net Income

$204.0M

YoY+1375.0%

QoQ+11.5%

5Y CAGR+27.3%

Warner Music Group Corp. reported $204.0M in net income in Q3 2026. This represents an increase of 1375.0% from the same quarter a year earlier. Against the prior quarter it is up 11.5%.

EPS (Diluted)

Not reported for Q3 2026.

Cash & Balance Sheet

Free Cash Flow

$114.0M

YoY+1528.6%

QoQ+15.2%

5Y CAGR+9.9%

10Y CAGR+15.5%

Warner Music Group Corp. generated $114.0M in free cash flow in Q3 2026, representing cash available after capex. This represents an increase of 1528.6% from the same quarter a year earlier. Against the prior quarter it is up 15.2%.

Cash & Debt

$618.0M

YoY+17.3%

QoQ-16.6%

5Y CAGR+6.9%

10Y CAGR+6.0%

Warner Music Group Corp. held $618.0M in cash against $4.7B in long-term debt as of Q3 2026.

Dividends Per Share

$0.19

YoY+5.6%

QoQ0.0%

5Y CAGR+9.6%

Warner Music Group Corp. paid $0.19 per share in dividends in Q3 2026. This represents an increase of 5.6% from the same quarter a year earlier. It is unchanged from the prior quarter.

Shares Outstanding

Not reported for Q3 2026.

Margins & Returns

Gross Margin

45.8%

YoY-0.1pp

QoQ-0.5pp

5Y change-3.4pp

10Y change+1.1pp

Warner Music Group Corp.'s gross margin was 45.8% in Q3 2026, indicating the percentage of revenue retained after direct costs. This is down 0.1 percentage points from the same quarter a year earlier. Against the prior quarter it is down 0.5 percentage points.

Operating Margin

16.4%

YoY+6.3pp

QoQ+1.1pp

5Y change+4.3pp

10Y change+10.8pp

Warner Music Group Corp.'s operating margin was 16.4% in Q3 2026, reflecting core business profitability. This is up 6.3 percentage points from the same quarter a year earlier. Against the prior quarter it is up 1.1 percentage points.

Net Margin

10.9%

YoY+11.9pp

QoQ+0.4pp

5Y change+6.4pp

10Y change+12.0pp

Warner Music Group Corp.'s net profit margin was 10.9% in Q3 2026, showing the share of revenue converted to profit. This is up 11.9 percentage points from the same quarter a year earlier. Against the prior quarter it is up 0.4 percentage points.

Return on Equity

23.9%

YoY+26.6pp

QoQ-0.9pp

5Y change-51.4pp

Warner Music Group Corp.'s ROE was 23.9% in Q3 2026, measuring profit generated per dollar of shareholder equity. This is up 26.6 percentage points from the same quarter a year earlier. Against the prior quarter it is down 0.9 percentage points.

Capital Allocation

Share Buybacks

YoY-100.0%

QoQ-100.0%

Warner Music Group Corp. repurchased no shares in Q3 2026. This represents a decrease of 100.0% from the same quarter a year earlier. Against the prior quarter it is down 100.0%.

Capital Expenditures

$28.0M

YoY-28.2%

QoQ+3.7%

5Y CAGR+7.0%

10Y CAGR+13.3%

Warner Music Group Corp. invested $28.0M in capex in Q3 2026, funding long-term assets and infrastructure. This represents a decrease of 28.2% from the same quarter a year earlier. Against the prior quarter it is up 3.7%.

R&D Spending

Not reported for Q3 2026.

WMG Income Statement

Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.

WMG quarterly income statement

Metric	TTM	FY2510-K	FY2410-K	FY2310-K	FY2210-K	FY2110-K	FY2010-K	FY1910-K	FY1810-K	FY1710-K	FY1610-K	FY1510-K	FY1410-K	FY1310-K	FY1210-K	FY1010-K
Revenue	$7.3B	$6.7B+4.4%	$6.4B+6.4%	$6.0B+2.0%	$5.9B+11.7%	$5.3B+18.8%	$4.5B-0.3%	$4.5B+11.7%	$4.0B+12.0%	$3.6B+10.2%	$3.2B+9.4%	$3.0B-2.0%	$3.0B+5.4%	$2.9B+3.3%	$2.8B	$3.0B
Cost of Revenue	$4.0B	$3.6B+8.3%	$3.4B+5.6%	$3.2B+3.1%	$3.1B+12.3%	$2.7B+17.5%	$2.3B-2.8%	$2.4B+10.6%	$2.2B+12.4%	$1.9B+13.1%	$1.7B+13.0%	$1.5B-3.8%	$1.6B+5.2%	$1.5B+2.5%	$1.5B	$1.6B
Gross Profit	$3.3B	$3.1B+0.1%	$3.1B+7.4%	$2.9B+0.7%	$2.8B+10.9%	$2.6B+20.1%	$2.1B+2.7%	$2.1B+13.1%	$1.8B+11.5%	$1.6B+6.9%	$1.5B+5.8%	$1.5B-0.1%	$1.5B+5.7%	$1.4B+4.1%	$1.3B	$1.4B
SG&A Expenses	$1.9B	$1.9B+0.5%	$1.9B+2.9%	$1.8B-1.9%	$1.9B+8.2%	$1.7B-20.7%	$2.2B+43.6%	$1.5B+7.0%	$1.4B+15.5%	$1.2B+12.9%	$1.1B+0.8%	$1.1B-8.4%	$1.2B+6.8%	$1.1B+7.2%	$1.0B	$1.1B
Operating Income	$1.0B	$694.0M-15.7%	$823.0M+4.2%	$790.0M+10.6%	$714.0M+17.2%	$609.0M+365.9%	-$229.0M-164.3%	$356.0M+64.1%	$217.0M-2.3%	$222.0M+3.7%	$214.0M+68.5%	$127.0M+568.4%	$19.0M-74.7%	$75.0M-31.2%	$109.0M	$90.0M
EBITDA	N/A	$1.1B-7.0%	$1.1B+2.5%	$1.1B+6.6%	$1.1B+15.1%	$915.0M+2759.4%	$32.0M-94.9%	$625.0M+30.8%	$478.0M+1.1%	$473.0M-6.7%	$507.0M+16.3%	$436.0M+28.2%	$340.0M+2.1%	$333.0M-5.7%	$353.0M	$348.0M
Interest Expense	$181.0M	$177.0M-2.7%	$182.0M+15.9%	$157.0M+25.6%	$125.0M+5.0%	$119.0M-6.3%	$127.0M-10.6%	$142.0M+2.9%	$138.0M-7.4%	$149.0M-13.9%	$173.0M-4.4%	$181.0M-10.8%	$203.0M0.0%	$203.0M-9.8%	$225.0M	$190.0M
Income Tax	$208.0M	$120.0M-2.4%	$123.0M-27.6%	$170.0M-8.1%	$185.0M+24.2%	$149.0M+547.8%	$23.0M+155.6%	$9.0M-93.1%	$130.0M+186.1%	-$151.0M-1472.7%	$11.0M-15.4%	$13.0M+150.0%	-$26.0M+16.1%	-$31.0M-3200.0%	$1.0M	$41.0M
Net Income	$672.0M	$365.0M-16.1%	$435.0M+1.2%	$430.0M-22.0%	$551.0M+81.3%	$304.0M+164.0%	-$475.0M-285.5%	$256.0M-16.6%	$307.0M+114.7%	$143.0M+472.0%	$25.0M+127.5%	-$91.0M+70.5%	-$308.0M-55.6%	-$198.0M-76.8%	-$112.0M	-$143.0M

Metric	Q3'2610-Q	Q2'2610-Q	Q1'2610-Q	Q4'2510-Q	Q3'2510-Q	Q2'2510-Q	Q1'2510-Q	Q4'2410-K
Revenue	$1.9B+10.4%	$1.7B+16.7%	$1.8B+10.4%	$1.9B+14.6%	$1.7B+8.7%	$1.5B-0.7%	$1.7B-4.7%	$1.6B+2.8%
Cost of Revenue	$1.0B+10.6%	$930.0M+17.6%	$987.0M+10.4%	$1.0B+21.1%	$913.0M+10.0%	$791.0M0.0%	$894.0M+1.6%	$854.0M+1.1%
Gross Profit	$854.0M+10.1%	$802.0M+15.7%	$853.0M+10.5%	$834.0M+7.5%	$776.0M+7.2%	$693.0M-1.4%	$772.0M-11.1%	$776.0M+4.7%
SG&A Expenses	$464.0M-1.5%	$460.0M+2.2%	$458.0M-3.4%	$494.0M-0.2%	$471.0M+1.9%	$450.0M+0.9%	$474.0M-0.4%	$495.0M+4.7%
Operating Income	$305.0M+80.5%	$264.0M+57.1%	$288.0M+34.6%	$143.0M0.0%	$169.0M-18.4%	$168.0M+41.2%	$214.0M-39.5%	$143.0M-32.5%
EBITDA	$416.0M+57.0%	$367.0M+42.2%	$387.0M+29.0%	$247.0M+9.3%	$265.0M-7.7%	$258.0M+27.7%	$300.0M-31.0%	$226.0M-22.3%
Interest Expense	$46.0M+2.2%	$44.0M0.0%	$46.0M+7.0%	$45.0M0.0%	$45.0M-2.2%	$44.0M-4.3%	$43.0M-4.4%	$45.0M+7.1%
Income Tax	$67.0M+1240.0%	$73.0M+151.7%	$71.0M-20.2%	-$3.0M-200.0%	$5.0M-83.3%	$29.0M+61.1%	$89.0M+23.6%	$3.0M-94.8%
Net Income	$204.0M+1375.0%	$183.0M+408.3%	$176.0M-25.4%	$109.0M+165.9%	-$16.0M-111.5%	$36.0M-62.5%	$236.0M+48.4%	$41.0M-73.0%

Not reported in any period shown, so not listed: R&D Expenses, EPS (Basic), EPS (Diluted), Diluted Shares (Avg).

WMG Balance Sheet

WMG quarterly balance sheet

Metric	FY2510-K	FY2410-K	FY2310-K	FY2210-K	FY2110-K	FY2010-K	FY1910-K	FY1810-K	FY1710-K	FY1610-K	FY1510-K	FY1410-K	FY1310-K	FY1210-K	FY1010-K
Total Assets	$9.8B+7.4%	$9.2B+7.1%	$8.5B+9.2%	$7.8B+8.6%	$7.2B+12.5%	$6.4B+6.5%	$6.0B+12.6%	$5.3B-6.5%	$5.7B+7.2%	$5.3B-5.1%	$5.6B-5.6%	$6.0B-4.8%	$6.3B+18.5%	$5.3B	$3.8B
Current Assets	$2.8B+4.8%	$2.6B+10.0%	$2.4B+12.3%	$2.1B+12.8%	$1.9B+13.0%	$1.7B-0.8%	$1.7B+43.8%	$1.2B-7.8%	$1.3B+40.4%	$908.0M+9.8%	$827.0M+5.8%	$782.0M-12.5%	$894.0M-4.8%	$939.0M	$1.2B
Cash & Equivalents	$532.0M-23.3%	$694.0M+8.3%	$641.0M+9.8%	$584.0M+17.0%	$499.0M-9.8%	$553.0M-10.7%	$619.0M+20.4%	$514.0M-20.6%	$647.0M+80.2%	$359.0M+45.9%	$246.0M+56.7%	$157.0M+1.3%	$155.0M-48.7%	$302.0M	$439.0M
Short-Term Investments	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Inventory	$62.0M-37.4%	$99.0M-21.4%	$126.0M+16.7%	$108.0M+9.1%	$99.0M+25.3%	$79.0M+6.8%	$74.0M+76.2%	$42.0M+7.7%	$39.0M-4.9%	$41.0M-2.4%	$42.0M+7.7%	$39.0M+18.2%	$33.0M+17.9%	$28.0M	$37.0M
Accounts Receivable	$1.3B+6.8%	$1.3B+12.1%	$1.1B+13.8%	$984.0M+17.3%	$839.0M+8.8%	$771.0M-0.5%	$775.0M+73.4%	$447.0M+10.6%	$404.0M+22.8%	$329.0M-5.7%	$349.0M-8.9%	$383.0M-25.0%	$511.0M+28.4%	$398.0M	$434.0M
Long-Term Investments	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Goodwill	$2.1B+2.0%	$2.0B+1.4%	$2.0B+3.8%	$1.9B+4.9%	$1.8B-0.1%	$1.8B+4.0%	$1.8B+4.1%	$1.7B+0.4%	$1.7B+3.6%	$1.6B-0.3%	$1.6B-1.7%	$1.7B-0.4%	$1.7B+20.9%	$1.4B	$1.1B
Total Liabilities	$9.1B+7.0%	$8.5B+4.5%	$8.1B+5.9%	$7.7B+6.9%	$7.2B+11.0%	$6.5B+2.7%	$6.3B+11.0%	$5.7B+4.7%	$5.4B+5.6%	$5.1B-4.8%	$5.4B-3.3%	$5.6B+1.0%	$5.5B+27.1%	$4.3B	$4.0B
Current Liabilities	$4.2B+7.8%	$3.9B+10.1%	$3.5B+5.1%	$3.4B+6.9%	$3.1B+15.8%	$2.7B-3.5%	$2.8B+18.8%	$2.4B+13.0%	$2.1B+14.0%	$1.8B-0.8%	$1.9B-1.5%	$1.9B-5.1%	$2.0B+23.7%	$1.6B	$1.8B
Non-Current Liabilities	$4.9B+6.3%	$4.6B+0.2%	$4.6B+6.6%	$4.3B+6.9%	$4.0B+7.5%	$3.7B+7.7%	$3.5B+5.3%	$3.3B-0.6%	$3.3B+0.8%	$3.3B-6.9%	$3.5B-4.2%	$3.7B+4.5%	$3.5B+29.1%	$2.7B	$2.3B
Long-Term Debt	$4.1B+1.2%	$4.0B+1.3%	$4.0B+6.2%	$3.7B+11.5%	$3.3B+7.8%	$3.1B+4.4%	$3.0B+5.5%	$2.8B+0.3%	$2.8B+1.2%	$2.8B-6.8%	$3.0B-1.2%	$3.0B+5.7%	$2.9B+29.4%	$2.2B	$1.9B
Total Equity	$647.0M+24.9%	$518.0M+68.7%	$307.0M+102.0%	$152.0M+390.3%	$31.0M+149.2%	-$63.0M+78.2%	-$289.0M+13.5%	-$334.0M-214.0%	$293.0M+50.3%	$195.0M-11.8%	$221.0M-40.4%	$371.0M-48.9%	$726.0M-21.7%	$927.0M	-$265.0M
Retained Earnings	-$1.3B-1.4%	-$1.3B+5.3%	-$1.4B+6.1%	-$1.5B+13.6%	-$1.7B+2.2%	-$1.7B-48.6%	-$1.2B+7.5%	-$1.3B-94.5%	-$654.0M+8.5%	-$715.0M+3.4%	-$740.0M-14.0%	-$649.0M-90.3%	-$341.0M-138.5%	-$143.0M	-$929.0M

Metric	Q3'2610-Q	Q2'2610-Q	Q1'2610-Q	Q4'2510-Q	Q3'2510-Q	Q2'2510-Q	Q1'2510-Q	Q4'2410-K
Total Assets	$10.7B+9.7%	$10.6B+10.9%	$10.0B+9.5%	$9.8B+7.4%	$9.8B+10.7%	$9.6B+9.6%	$9.1B+1.7%	$9.2B+7.1%
Current Assets	$3.3B+21.7%	$3.2B+23.9%	$3.0B+11.1%	$2.8B+4.8%	$2.7B+7.9%	$2.6B+6.1%	$2.7B+3.8%	$2.6B+10.0%
Cash & Equivalents	$618.0M+17.3%	$741.0M+16.3%	$751.0M-6.4%	$532.0M-23.3%	$527.0M-13.2%	$637.0M+8.5%	$802.0M+6.4%	$694.0M+8.3%
Short-Term Investments	$0	$0	$0	$0	$0	$0	$0	$0
Inventory	$69.0M-31.7%	$65.0M-26.1%	$60.0M-28.6%	$62.0M-37.4%	$101.0M+9.8%	$88.0M-9.3%	$84.0M-20.8%	$99.0M-21.4%
Accounts Receivable	$1.6B+23.1%	$1.5B+23.6%	$1.4B+14.4%	$1.3B+6.8%	$1.3B+6.8%	$1.2B+1.8%	$1.2B+0.5%	$1.3B+12.1%
Long-Term Investments	$0	$0	$0	$0	$0	$0	$0	$0
Goodwill	$2.1B+3.0%	$2.1B+1.1%	$2.1B+2.5%	$2.1B+2.0%	$2.1B+3.0%	$2.0B+1.2%	$2.0B-0.1%	$2.0B+1.4%
Total Liabilities	$9.6B+7.5%	$9.6B+9.8%	$9.2B+8.7%	$9.1B+7.0%	$9.0B+9.4%	$8.8B+7.8%	$8.4B+0.9%	$8.5B+4.5%
Current Liabilities	$4.4B+9.7%	$4.4B+12.9%	$4.3B+9.9%	$4.2B+7.8%	$4.0B+13.4%	$3.9B+10.8%	$3.9B+4.8%	$3.9B+10.1%
Non-Current Liabilities	$5.2B+5.8%	$5.2B+7.3%	$4.9B+7.6%	$4.9B+6.3%	$4.9B+6.3%	$4.9B+5.4%	$4.5B-2.2%	$4.6B+0.2%
Long-Term Debt	$4.7B+16.0%	$4.7B+18.3%	$4.4B+10.5%	$4.1B+1.2%	$4.1B+2.1%	$4.0B+0.2%	$4.0B-1.2%	$4.0B+1.3%
Total Equity	$854.0M+45.0%	$738.0M+30.2%	$720.0M+32.1%	$647.0M+24.9%	$589.0M+21.9%	$567.0M+30.9%	$545.0M+17.7%	$518.0M+68.7%
Retained Earnings	-$1.1B+20.3%	-$1.2B+4.7%	-$1.3B-7.2%	-$1.3B-1.4%	-$1.3B-6.3%	-$1.2B+6.1%	-$1.2B+11.1%	-$1.3B+5.3%

WMG Cash Flow Statement

WMG quarterly cash flow statement

Metric	TTM	FY2510-K	FY2410-K	FY2310-K	FY2210-K	FY2110-K	FY2010-K	FY1910-K	FY1810-K	FY1710-K	FY1610-K	FY1510-K	FY1410-K	FY1310-K	FY1210-K	FY1010-K
Operating Cash Flow	$939.0M	$678.0M-10.1%	$754.0M+9.8%	$687.0M-7.4%	$742.0M+16.3%	$638.0M+37.8%	$463.0M+15.8%	$400.0M-5.9%	$425.0M-20.6%	$535.0M+56.4%	$342.0M+54.1%	$222.0M+70.8%	$130.0M-18.2%	$159.0M-23.9%	$209.0M	$150.0M
Depreciation & Amortization	N/A	$376.0M+15.0%	$327.0M-1.5%	$332.0M-2.1%	$339.0M+10.8%	$306.0M+17.2%	$261.0M-3.0%	$269.0M+3.1%	$261.0M+4.0%	$251.0M-14.3%	$293.0M-5.2%	$309.0M-3.7%	$321.0M+24.4%	$258.0M+5.7%	$244.0M	$258.0M
Stock-Based Compensation	N/A	$54.0M+3.8%	$52.0M+6.1%	$49.0M+25.6%	$39.0M-13.3%	$45.0M-92.6%	$608.0M+1116.0%	$50.0M-19.4%	$62.0M-11.4%	$70.0M+204.3%	$23.0M+666.7%	$3.0M-62.5%	$8.0M-57.9%	$19.0M	N/A	$10.0M
Capital Expenditures	$103.0M	$139.0M+19.8%	$116.0M-8.7%	$127.0M-5.9%	$135.0M+45.2%	$93.0M+9.4%	$85.0M-18.3%	$104.0M+40.5%	$74.0M+68.2%	$44.0M+4.8%	$42.0M-33.3%	$63.0M-17.1%	$76.0M+123.5%	$34.0M+6.3%	$32.0M	$51.0M
Free Cash Flow	$836.0M	$539.0M-15.5%	$638.0M+13.9%	$560.0M-7.7%	$607.0M+11.4%	$545.0M+44.2%	$378.0M+27.7%	$296.0M-15.7%	$351.0M-28.5%	$491.0M+63.7%	$300.0M+88.7%	$159.0M+194.4%	$54.0M-56.8%	$125.0M-29.4%	$177.0M	$99.0M
Investing Cash Flow	-$741.0M	-$340.0M-9.3%	-$311.0M-3.7%	-$300.0M+63.6%	-$824.0M-29.2%	-$638.0M-191.3%	-$219.0M+41.8%	-$376.0M-192.8%	$405.0M+421.4%	-$126.0M-1475.0%	-$8.0M	N/A	N/A	N/A	-$58.0M	-$85.0M
Financing Cash Flow	-$94.0M	-$497.0M-25.5%	-$396.0M-21.8%	-$325.0M-272.9%	$188.0M+408.2%	-$61.0M+80.7%	-$316.0M-459.1%	$88.0M+109.2%	-$955.0M-646.1%	-$128.0M+40.7%	-$216.0M	N/A	N/A	N/A	-$3.0M	-$3.0M
Dividends Paid	$400.0M	$383.0M+6.1%	$361.0M+6.2%	$340.0M+6.9%	$318.0M+20.0%	$265.0M-23.0%	$344.0M+266.0%	$94.0M-89.8%	$925.0M+1001.2%	$84.0M	N/A	N/A	N/A	N/A	N/A	N/A
Share Buybacks	$61.0M	$16.0M	$0	$0	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

Metric	Q3'2610-Q	Q2'2610-Q	Q1'2610-Q	Q4'2510-Q	Q3'2510-Q	Q2'2510-Q	Q1'2510-Q	Q4'2410-K
Operating Cash Flow	$142.0M+208.7%	$126.0M+82.6%	$440.0M+32.5%	$231.0M-24.0%	$46.0M-75.5%	$69.0M+322.6%	$332.0M+13.3%	$304.0M-10.1%
Depreciation & Amortization	$111.0M+15.6%	$103.0M+14.4%	$99.0M+15.1%	$104.0M+25.3%	$96.0M+20.0%	$90.0M+8.4%	$86.0M+6.2%	$83.0M+5.1%
Stock-Based Compensation	N/A	N/A	N/A	N/A	$1.0M	N/A	N/A	N/A
Capital Expenditures	$28.0M-28.2%	$27.0M-25.0%	$20.0M-44.4%	$28.0M-15.2%	$39.0M+39.3%	$36.0M+38.5%	$36.0M+24.1%	$33.0M-13.2%
Free Cash Flow	$114.0M+1528.6%	$99.0M+200.0%	$420.0M+41.9%	$203.0M-25.1%	$7.0M-95.6%	$33.0M+157.9%	$296.0M+12.1%	$271.0M-9.7%
Investing Cash Flow	-$151.0M-112.7%	-$471.0M-289.3%	-$52.0M+35.8%	-$67.0M+39.1%	-$71.0M+6.6%	-$121.0M-266.7%	-$81.0M+12.0%	-$110.0M+43.9%
Financing Cash Flow	-$110.0M-14.6%	$328.0M+371.1%	-$159.0M-25.2%	-$153.0M-31.9%	-$96.0M-6.7%	-$121.0M-24.7%	-$127.0M-36.6%	-$116.0M-26.1%
Dividends Paid	$100.0M+6.4%	$100.0M+5.3%	$100.0M+6.4%	$100.0M+6.4%	$94.0M+5.6%	$95.0M+6.7%	$94.0M+5.6%	$94.0M+5.6%
Share Buybacks	$0-100.0%	$22.0M	$26.0M+1200.0%	$13.0M	$1.0M	$0	$2.0M	$0

WMG Financial Ratios

Margins and returns are percentages; the remaining ratios are unitless multiples. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.

WMG quarterly financial ratios

Metric	FY2510-K	FY2410-K	FY2310-K	FY2210-K	FY2110-K	FY2010-K	FY1910-K	FY1810-K	FY1710-K	FY1610-K	FY1510-K	FY1410-K	FY1310-K	FY1210-K	FY1010-K
Gross Margin	45.9%-1.9pp	47.8%+0.4pp	47.4%-0.6pp	48.0%-0.3pp	48.3%+0.5pp	47.7%+1.4pp	46.4%+0.6pp	45.8%-0.2pp	46.0%-1.4pp	47.4%-1.6pp	49.1%+0.9pp	48.1%+0.1pp	48.0%+0.4pp	47.7%	47.0%
Operating Margin	10.3%-2.5pp	12.8%-0.3pp	13.1%+1.0pp	12.1%+0.6pp	11.5%+16.6pp	-5.1%-13.1pp	8.0%+2.5pp	5.4%-0.8pp	6.2%-0.4pp	6.6%+2.3pp	4.3%+3.6pp	0.6%-2.0pp	2.6%-1.3pp	3.9%	3.0%
Net Margin	5.4%-1.3pp	6.8%-0.4pp	7.1%-2.2pp	9.3%+3.6pp	5.7%+16.4pp	-10.6%-16.4pp	5.7%-2.0pp	7.7%+3.7pp	4.0%+3.2pp	0.8%+3.8pp	-3.1%+7.1pp	-10.2%-3.3pp	-6.9%-2.9pp	-4.0%	-4.8%
Return on Equity	56.4%-27.6pp	84.0%-56.1pp	140.1%-222.4pp	362.5%-618.1pp	980.6%	N/A	N/A	N/A	48.8%+36.0pp	12.8%+54.0pp	-41.2%+41.8pp	-83.0%-55.8pp	-27.3%-15.2pp	-12.1%	N/A
Return on Assets	3.7%-1.0pp	4.8%-0.3pp	5.0%-2.0pp	7.0%+2.8pp	4.2%+11.6pp	-7.4%-11.7pp	4.3%-1.5pp	5.7%+3.2pp	2.5%+2.0pp	0.5%+2.1pp	-1.6%+3.6pp	-5.2%-2.0pp	-3.2%-1.0pp	-2.1%	-3.8%
Current Ratio	0.660.0x	0.680.0x	0.680.0x	0.640.0x	0.600.0x	0.620.0x	0.60+0.1x	0.50-0.1x	0.61+0.1x	0.490.0x	0.450.0x	0.410.0x	0.45-0.1x	0.58	0.66
Debt-to-Equity	6.28-1.5x	7.75-5.2x	12.91-11.6x	24.55-83.4x	107.94	N/A	N/A	N/A	9.59-4.7x	14.25+0.8x	13.49+5.4x	8.13+4.2x	3.93+1.6x	2.38	N/A
Asset Turnover	0.680.0x	0.700.0x	0.710.0x	0.760.0x	0.740.0x	0.700.0x	0.740.0x	0.75+0.1x	0.630.0x	0.61+0.1x	0.530.0x	0.510.0x	0.46-0.1x	0.53	0.78
FCF Margin	8.0%-1.9pp	9.9%+0.7pp	9.3%-1.0pp	10.3%0.0pp	10.3%+1.8pp	8.5%+1.9pp	6.6%-2.1pp	8.8%-5.0pp	13.7%+4.5pp	9.2%+3.9pp	5.4%+3.6pp	1.8%-2.6pp	4.3%-2.0pp	6.4%	3.3%

Metric	Q3'2610-Q	Q2'2610-Q	Q1'2610-Q	Q4'2510-Q	Q3'2510-Q	Q2'2510-Q	Q1'2510-Q	Q4'2410-K
Gross Margin	45.8%-0.1pp	46.3%-0.4pp	46.4%0.0pp	44.6%-3.0pp	45.9%-0.7pp	46.7%-0.3pp	46.3%-3.3pp	47.6%+0.9pp
Operating Margin	16.4%+6.3pp	15.2%+3.9pp	15.7%+2.8pp	7.7%-1.1pp	10.0%-3.3pp	11.3%+3.4pp	12.8%-7.4pp	8.8%-4.6pp
Net Margin	10.9%+11.9pp	10.6%+8.1pp	9.6%-4.6pp	5.8%+3.3pp	-0.9%-9.9pp	2.4%-4.0pp	14.2%+5.1pp	2.5%-7.1pp
Return on Equity	23.9%+26.6pp	24.8%+18.4pp	24.4%-18.9pp	16.9%+8.9pp	-2.7%-31.5pp	6.3%-15.8pp	43.3%+9.0pp	7.9%-41.6pp
Return on Assets	1.9%+2.1pp	1.7%+1.3pp	1.8%-0.8pp	1.1%+0.7pp	-0.2%-1.7pp	0.4%-0.7pp	2.6%+0.8pp	0.4%-1.3pp
Current Ratio	0.73+0.1x	0.73+0.1x	0.700.0x	0.660.0x	0.660.0x	0.660.0x	0.690.0x	0.680.0x
Debt-to-Equity	5.52-1.4x	6.39-0.6x	6.07-1.2x	6.28-1.5x	6.89-1.3x	7.04-2.2x	7.26-1.4x	7.75-5.2x
Asset Turnover	0.170.0x	0.160.0x	0.180.0x	0.190.0x	0.170.0x	0.160.0x	0.180.0x	0.180.0x
FCF Margin	6.1%+5.7pp	5.7%+3.5pp	22.8%+5.1pp	10.9%-5.8pp	0.4%-9.9pp	2.2%+6.0pp	17.8%+2.7pp	16.6%-2.3pp

Note: The current ratio is below 1.0 (0.66), indicating current liabilities exceed current assets, which may suggest potential short-term liquidity concerns.

Similar Companies

Newest fiscal year on record for each company. The health score is the peer-relative Financial Health Score for that year; a dash means no score is published for it.

Company	Fiscal year	Revenue	Net income	Net margin	Market cap	Health score
Warner Music Group Corp. WMG	FY2025	$6.7B	$365.0M	5.4%	$15.0B	50/100
News Corporation NWS	FY2026	$9.0B	$743.0M	8.2%	$17.2B	38/100
News Corporation NWSA	FY2026	$9.0B	$743.0M	8.2%	$15.7B	38/100
TKO Group Holdings, Inc. TKO	FY2025	$4.7B	$546.3M	11.5%	$13.0B	42/100
Fox Corporation FOXA	FY2026	$17.1B	$1.7B	9.8%	$26.3B	46/100
Roku, Inc. ROKU	FY2025	$4.7B	$88.4M	1.9%	$22.7B	52/100

Where Warner Music Group Corp. Ranks

Frequently Asked Questions

What is Warner Music Group Corp.'s annual revenue?

Warner Music Group Corp. (WMG) reported $6.7B in total revenue for fiscal year 2025. This represents a 4.4% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.

How fast is Warner Music Group Corp.'s revenue growing?

Warner Music Group Corp. (WMG) revenue grew by 4.4% year-over-year, from $6.4B to $6.7B in fiscal year 2025.

Is Warner Music Group Corp. profitable?

Yes, Warner Music Group Corp. (WMG) reported a net income of $365.0M in fiscal year 2025, with a net profit margin of 5.4%.

What is Warner Music Group Corp.'s EBITDA?

Warner Music Group Corp. (WMG) had EBITDA of $1.1B in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.

How much debt does Warner Music Group Corp. have?

As of fiscal year 2025, Warner Music Group Corp. (WMG) had $532.0M in cash and equivalents against $4.1B in long-term debt.

What is Warner Music Group Corp.'s gross margin?

Warner Music Group Corp. (WMG) had a gross margin of 45.9% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.

What is Warner Music Group Corp.'s operating margin?

Warner Music Group Corp. (WMG) had an operating margin of 10.3% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.

What is Warner Music Group Corp.'s net profit margin?

Warner Music Group Corp. (WMG) had a net profit margin of 5.4% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.

Does Warner Music Group Corp. pay dividends?

Yes, Warner Music Group Corp. (WMG) paid $0.73 per share in dividends during fiscal year 2025.

What is Warner Music Group Corp.'s return on equity (ROE)?

Warner Music Group Corp. (WMG) has a return on equity of 56.4% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.

What is Warner Music Group Corp.'s free cash flow?

Warner Music Group Corp. (WMG) generated $539.0M in free cash flow during fiscal year 2025. This represents a -15.5% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.

What is Warner Music Group Corp.'s operating cash flow?

Warner Music Group Corp. (WMG) generated $678.0M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.

What are Warner Music Group Corp.'s total assets?

Warner Music Group Corp. (WMG) had $9.8B in total assets as of fiscal year 2025, including both current and long-term assets.

What are Warner Music Group Corp.'s capital expenditures?

Warner Music Group Corp. (WMG) invested $139.0M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.

Does Warner Music Group Corp. buy back shares?

Yes, Warner Music Group Corp. (WMG) spent $16.0M on share buybacks during fiscal year 2025, returning capital to shareholders by reducing shares outstanding.

What is Warner Music Group Corp.'s current ratio?

Warner Music Group Corp. (WMG) had a current ratio of 0.66 as of fiscal year 2025, which is below 1.0, which may suggest potential liquidity concerns.

What is Warner Music Group Corp.'s debt-to-equity ratio?

Warner Music Group Corp. (WMG) had a debt-to-equity ratio of 6.28 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.

What is Warner Music Group Corp.'s return on assets (ROA)?

Warner Music Group Corp. (WMG) had a return on assets of 3.7% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.

What is Warner Music Group Corp.'s P/E ratio?

Warner Music Group Corp. (WMG) trades at 22.4x earnings, its market capitalization divided by net income of $672.0M net income, trailing 12 months to June 30, 2026. The market capitalization is $15.0B as of Oct 10, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.

What is Warner Music Group Corp.'s price-to-sales ratio?

Warner Music Group Corp. (WMG) trades at 2.1x sales, its market capitalization divided by revenue of $7.3B revenue, trailing 12 months to June 30, 2026. The market capitalization is $15.0B as of Oct 10, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.

What is Warner Music Group Corp.'s Altman Z-Score?

Warner Music Group Corp. (WMG) has an Altman Z-Score of 1.54, placing it in the Distress Zone (elevated bankruptcy risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.

What is Warner Music Group Corp.'s Piotroski F-Score?

Warner Music Group Corp. (WMG) has a Piotroski F-Score of 4 out of 8 computable signals; 1 of the nine could not be computed from available data, so the full-scale strength rating is not shown. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.

Are Warner Music Group Corp.'s earnings high quality?

Warner Music Group Corp. (WMG) has an earnings quality ratio of 1.86x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.

Can Warner Music Group Corp. cover its interest payments?

Warner Music Group Corp. (WMG) has an interest coverage ratio of 3.92x, meaning it can adequately cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.

How financially healthy is Warner Music Group Corp.?

Warner Music Group Corp. (WMG) scores 50 out of 100 on our Financial Health Score, indicating moderate standing within its operating companies peer group. The score is a 0-100 composite of six dimensions (Profitability, Growth, Leverage, Liquidity, Cash Flow, Returns), each ranked as a percentile relative to companies in the same scoring family (banks against banks, REITs against REITs, and so on) rather than across all industries. It rates the quality of the business, not whether the stock is fairly priced, and is not financial advice. Learn more in our complete guide to financial health indicators.