Operating profit at Irish arm of music giant Sony decreases by 62%

DCM Editorial Summary: This story has been independently rewritten and summarised for DCM readers to highlight key developments relevant to the region. Original reporting by Irish Times, click this post to read the original article.

Music sales by Irish acts such as The Script, Christy Moore, Damien Dempsey and Gavin James last year contributed to revenue at the Irish arm of music giant Sony Music rising by 5 per cent to €17.34 million. However, operating profit decreased by 62 per cent from €807,000 to €307,000, accounts show.

Accounts show that despite the rise in revenue, operating profits at Sony Music Entertainment Ireland Ltd decreased by 62 per cent from €807,000 to €307,000.

The company’s pretax profit declined by 40 per cent from €1.78 million to €1.07 million after the company benefited from interest income of €767,000 compared with €974,000 under the same heading in 2024.

Revenue increased by €765,000 from €16.58 million to €17.34 million.

The company recorded the drop in profit as its costs of sales rose by 9 per cent from €12.54 million to €13.68 million in the 12 months to the end of March last.

In a note with the accounts the directors said they were confident that Sony Music Entertainment Ireland Ltd would continue to deliver strong results in a challenging market.

On the risks facing the company, the note said the company considered the key risks to be physical market decline and uncertainty over the long-term growth of the streaming market in addition to the strength of the release schedule.

Other Sony artists include Beyoncé, Adele, Calvin Harris, Bruce Springsteen and the late George Michael.

The directors of Sony Music Entertainment Ireland are listed as Annette Buckley, Michael Smith and Ross Timmons and aggregate pay to directors increased from €553,000 to €565,000, made up €529,000 in pay and €36,000 in pension payments.

Numbers employed increased by one to 14 as staff costs rose from €1.74 million to €1.84 million.

The company recorded a post-tax profit of €839,000 after paying corporation tax of €235,000.

At the end of March last, shareholder funds at the firm totalled €23.88 million and this included €11.73 million in accumulated profits.

Cash funds decreased from €837,000 to €808,000.

Separate accounts for Sony Music’s UK arm show its pretax profit last year increased by 59 per cent to £115.77 million (€132.85 million) in the 12 months to the end of March last.

This followed revenue increasing by 7 per cent from £340.67 million to £363.2 million.

The firm paid dividends of £215 million in dividends to parent firm Sony Music Entertainment UK Holdings Ltd during the year.