Klaus Vedfelt/DigitalVision via Getty Images Summary I gave a buy rating to Universal Music Group ( UMGNF ) previously in August, as the long-term upside had improved. Back then, underlying fundamentals were sound: subscription revenue growth remained healthy, ad-supported demand was also good, and music publishing was also scaling. For this update, while the share price has been beaten down, I re...
Klaus Vedfelt/DigitalVision via Getty Images Summary I gave a buy rating to Universal Music Group ( UMGNF ) previously in August, as the long-term upside had improved. Back then, underlying fundamentals were sound: subscription revenue growth remained healthy, ad-supported demand was also good, and music publishing was also scaling. For this update, while the share price has been beaten down, I reiterate my buy rating as Streaming 2.0 is now rolling out nicely, core subscription growth remains healthy even before the full benefit shows up, and the Downtown deal makes the growth story broader than before. Organic Demand and Streaming 2.0 In my last write-up, a big part of the bull case relied on Streaming 2.0 eventually becoming a real growth driver. My argument was that it could lift ARPU, support stronger subscription growth, and improve the economics between UMG and the DSPs. Very encouragingly, this has played out as I expected. Management said it reached Streaming 2.0 agreements with two additional global DSP partners, Spotify ( SPOT ) and YouTube, and was clear that the rate benefit should start showing up in FY2026. This is very clear proof that UMGNF can make this work, and this should give the market confidence that Streaming 2.0 is no longer just a concept; it is working. An important point here is that the core subscription business is still strong even before the Streaming 2.0 benefits come through. For those that have missed the earnings, Q4 2025 subscription revenue grew 7.7% in constant currency [CC] and 9.6% on a like-for-like basis. A positive datapoint to show the strength of organic growth is that management said UMG has now delivered more than 8% subscription growth for six straight quarters, with little help from Streaming 2.0 so far. I believe that should give investors more confidence that the organic demand base has not deteriorated at all. If anything, it is solid, and the Streaming 2.0 benefits should easily push this >10% in due time. For w...
For years, Malaysians watched singer-actress Bella Astillah’s heartbreak unfold in public. They saw her endure a troubled marriage, a cheating scandal and a divorce while raising two children under the glare of celebrity culture. When lawmaker Syed Saddiq Syed Abdul Rahman, 33, proposed to her – first on Mount Kinabalu and later at a formal engagement ceremony in Kuala Lumpur – it resonated with m...
For years, Malaysians watched singer-actress Bella Astillah’s heartbreak unfold in public. They saw her endure a troubled marriage, a cheating scandal and a divorce while raising two children under the glare of celebrity culture. When lawmaker Syed Saddiq Syed Abdul Rahman, 33, proposed to her – first on Mount Kinabalu and later at a formal engagement ceremony in Kuala Lumpur – it resonated with many Malaysians who felt Bella was finally getting the happy ending she deserved. Syed Saddiq’s...