XML 39 R13.htm IDEA: XBRL DOCUMENT v3.25.2
Revenue Recognition
 9 Months Ended
Jun. 30, 2025
Revenue from Contract with Customer [Abstract]  
Revenue Recognition Revenue Recognition
Disaggregation of Revenue
The Company’s revenue consists of the following categories, which aggregate into the segments – Recorded Music and Music Publishing:
Three Months Ended
June 30,		Nine Months Ended
June 30,
2025202420252024
(in millions)
Revenue by Type
Digital$929 $882 $2,643 $2,638 
Physical119 120 397 385 
Total digital and physical
1,048 1,002 3,040 3,023 
Artist services and expanded-rights195 159 508 489 
Licensing111 90 326 373 
Total Recorded Music1,354 1,251 3,874 3,885 
Performance58 52 167 155 
Digital204 194 599 577 
Mechanical16 13 46 43 
Synchronization54 42 142 129 
Other4 4 15 11 
Total Music Publishing336 305 969 915 
Intersegment eliminations(1)(2)(4)(4)
Total revenues
$1,689 $1,554 $4,839 $4,796 
Revenue by geographical location
U.S. Recorded Music$536 $517 $1,565 $1,652 
U.S. Music Publishing186 161 520 503 
Total U.S.722 678 2,085 2,155 
International Recorded Music818 734 2,309 2,233 
International Music Publishing150 144 449 412 
Total international
968 878 2,758 2,645 
Intersegment eliminations(1)(2)(4)(4)
Total revenues
$1,689 $1,554 $4,839 $4,796 
Sales Returns and Uncollectible Accounts
Based on management’s analysis of sales returns, refund liabilities of $16 million and $20 million were established at June 30, 2025 and September 30, 2024, respectively.
Based on management’s analysis of estimated credit losses, reserves of $24 million and $26 million were established at June 30, 2025 and September 30, 2024, respectively.
Deferred Revenue
Deferred revenue increased by $845 million during the nine months ended June 30, 2025 related to cash received from customers for fixed fees and minimum guarantees in advance of performance, including amounts recognized in the period. Revenues of $197 million were recognized during the nine months ended June 30, 2025 related to the balance of deferred revenue at September 30, 2024. There were no other significant changes to deferred revenue during the reporting period.
Performance Obligations
For the three months ended June 30, 2025 and June 30, 2024, the Company recognized revenue of $10 million and $35 million, respectively, from performance obligations satisfied in previous periods. For the nine months ended June 30, 2025 and June 30, 2024, the Company recognized revenue of $67 million and $109 million, respectively, from performance obligations satisfied in previous periods.
Revenues expected to be recognized in the future related to performance obligations that are unsatisfied at June 30, 2025 are as follows:
Rest of FY25
FY26
FY27
ThereafterTotal
(in millions)
Remaining performance obligations$422 $647 $171 $169 $1,409 
Total$422 $647 $171 $169 $1,409