Feeds

EMI profits up on iPod factor

Digital means dollars...

Bridging the IT gap between rising business demands and ageing tools

EMI is crediting downloads for a 13 per cent increase in profits despite falling sales of physical products.

The record giant, which only started offering music over the internet in 2003, and has Coldplay, Robbie Williams and Gorillaz on its books, increased profits to £159m on revenues which grew at just 2.1 per cent to £2.1bn.

Group digital sales jumped from £46.9m to £112.1m and group operating margin grew by almost a percentage point to 12 per cent in the year ended 31 March 2006. Physical sales fell 5.3 per cent.

EMI Group chairman Eric Nicoli said: "Digital revenues continue to grow at a very rapid pace in both divisions as we aggressively pursue new digital uses and demand for our exclusive music content. In 2005, Coldplay's latest album release, X&Y, was not only the industry's biggest selling album globally but also the largest selling digital album release in the US."

Digital sales in the US almost tripled over the year with mobile revenues growing fastest - increasing by a factor of nine, but internet downloads still make up 70 per cent of the market in the US.

In the UK and Ireland, physical sales fell 4.9 per cent but digital sales grew by 170 per cent. EMI blamed weak sales of compilations, especially over Christmas, for the decline.

Continental Europe, as EMI calls it, saw total industry sales fall 3.7 per cent. Digital sales in the region grew by 245 per cent and mobile revenues are a larger proportion of total sales than in the UK or US.

Physical and digital sales in Japan grew by six per cent in the year.

Looking forward, EMI predicted that digital music will make up 25 per cent of total global music sales by 2010.

More from EMI here. ®

Application security programs and practises

More from The Register

next story
Stick a 4K in them: Super high-res TVs are DONE
4,000 pixels is niche now... Don't say we didn't warn you
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Philip K Dick 'Nazi alternate reality' story to be made into TV series
Amazon Studios, Ridley Scott firm to produce The Man in the High Castle
Amazon Reveals One Weird Trick: A Loss On Almost $20bn In Sales
Investors really hate it: Share price plunge as growth SLOWS in key AWS division
Bose says today is F*** With Dre Day: Beats sued in patent battle
Music gear giant seeks some of that sweet, sweet Apple pie
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
Too many IT conferences to cover? MICROSOFT to the RESCUE!
Yet more word of cuts emerges from Redmond
prev story

Whitepapers

Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Top 8 considerations to enable and simplify mobility
In this whitepaper learn how to successfully add mobile capabilities simply and cost effectively.
Seven Steps to Software Security
Seven practical steps you can begin to take today to secure your applications and prevent the damages a successful cyber-attack can cause.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.