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Warner Music Group WMG Operating margin

Operating margin at other companies

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Reservoir Media, Inc.RSVR
21.8%-0.3pp
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Warner Bros. Discovery, Inc.WBD
-3.5%-3.7pp
LiveOne, Inc. logo
LiveOne, Inc.LVO
-20.1%+7.5pp

Other financials

Income statement

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Revenue$1.9B+10.4%
Gross profit$854.0M+10.1%
Operating income$305.0M+80.5%
Net income$204.0M+1,375%
EPS (diluted)$0.39+1,400%

Balance sheet

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Cash & equivalents$618.0M+17.3%
Total debt$875.0M-79.7%
Total equity$854.0M+45.0%
Total assets$10.7B+9.7%

Cash flow

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Operating cash flow$142.0M+209%
CapEx$28.0M-28.2%
Free cash flow$114.0M+1,529%

Valuation

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Market cap$13.56B-13.4%
Enterprise value$13.82B-28.9%
P/E20.2×-32.5×
P/S1.9×-0.6×

Profitability

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Gross margin45.8%-0.9pp
Net margin9.2%+4.6pp
FCF margin11.4%+2.1pp

Returns & leverage

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Return on equity93.1%+37.7pp
Debt / equity-6.3×
Current ratio0.7×+0.1×

Where this comes from

Calculated from Warner Music Group’s reported figures.

Based on trailing twelve months.

The source filing: Warner Music Group’s 10-Q, filed August 5, 2026. Open the filing →

Filed
Aug 5, 2026, 4:05 PM EDT
Fiscal quarter
Q3 FY2026
Calendar quarter
Q2 2026
Accession
0001319161-26-000032

FAQ

What is Warner Music Group's operating margin?
Warner Music Group (WMG) reported operating margin of 13.7% in Q2 2026.
How has Warner Music Group's operating margin changed year-over-year?
Warner Music Group's operating margin increased by 27.6% year-over-year, from 10.7% to 13.7%.
What is the long-term trend for Warner Music Group's operating margin?
Over 4 years (2021 to 2025), Warner Music Group's operating margin has grown at a -2.6% compound annual growth rate (CAGR), from 11.5% to 10.3%.
What does operating margin mean?
Operating income as a percentage of revenue (trailing twelve months). Captures profitability from core operations after both cost of revenue and operating expenses, but before interest and taxes.

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