Important Information
Forward-Looking Statements
This presentation contains statements that constitute forward-looking statements relating to the business, financial performance and results of Universal Music Group N.V. (the “Company” or “UMG”) and the industry in which theCompany operates. Such forward-looking statements may be identified by the use of words such as "expectation", "belief", "estimate", "plan", "target", or "forecast" and similar expressions or the negative thereof; or by the forwardlooking nature of discussions of strategy, plans or intentions; or by their context. Although UMG believes that such forward-looking statements are based on reasonable assumptions, they are not guarantees of future performance.
Actual results may differ materially from such forward-looking statements as a result of a number of risks and uncertainties, many of which are related to factors that are outside UMG’s control, including, but not limited to, UMG’s
inability to compete successfully and to identify, attract, sign and retain successful recording artists and songwriters, failure of streaming and subscription adoption or revenue to grow or to grow less rapidly than anticipated, UMG’sreliance on digital service providers, UMG’s inability to execute its business strategy, the global nature of UMG’s operations, UMG’s inability to protect its intellectual property and against piracy, UMG’s inability to attract and retain key
personnel, changes in laws and regulations and the other risks that are described in the 2023 Annual Report. Accordingly, UMG cautions readers against placing undue reliance on such forward-looking statements. Such forwardlooking statements are made as of the date of this presentation. UMG disclaims any intention or obligation to provide, update or revise any such forward-looking statements, whether as a result of new information, future events orotherwise.
The forward-looking statements in this presentation may include target, goal, hypothetical or estimated results, projections and other comparable phrases and concepts which are hypothetical in nature and are shown for illustrative,
informational purposes only. Except as otherwise specifically stated, these forward-looking statements are not intended to forecast or predict future events, but rather to show the hypothetical estimates calculated using the specificassumptions presented herein. They do not reflect any actual results, which may differ materially. These forward-looking statements have been made for illustrative, informational purposes only, and may not materialize. No
representation or warranty is made as to the reasonableness of the assumptions made or that all assumptions used in calculating the target, goal, hypothetical or estimated results or projections have been stated or fully considered.
Changes in the assumptions may have a material impact on the target, goal, hypothetical or estimated results or projections presented. Target, goal, hypothetical or estimated results or projections may not materialize.

Presentation
The financial information included in this presentation is unaudited. The 2023/2022/2021 financial information included in this presentation contains only part of the 2023/2022/2021 financial statements which are included in the2023/2022/2021 Annual Reports and available on our website at investors.universalmusic.com/reports.
This presentation is not, and shall not be construed, as an offer to purchase or sell, or the solicitation of an offer to purchase or sell any securities of UMG. This presentation may not be distributed, referenced, quoted or linked by
website, in whole or in part, except as agreed to in writing by UMG.

Non-IFRS measures
This presentation includes certain alternative performance measures which are not defined in IFRS issued by the International Accounting Standards Board as endorsed by the EU. The descriptions of these alternative performancemeasures and reconciliations of non-IFRS to IFRS measures are included in the 2023 Annual Report which is available on our website at investors.universalmusic.com/reports.

Market and industry data
The Company obtained market data used in this presentation from internal surveys, reports and studies, where appropriate, as well as market research, publicly available information and industry publications.

Capital Markets
Day
Sir Lucian Grainge CBE Chairman & Chief Executive OfficerFact #1

Fact #2

Fact #3

Streaming isa quantum leap forward
in music access and monetization
Superfandom will
accelerate music industry
economics

Music isUniversal

Fact #1

Streaming isa quantum leap forward
in music access andmonetization

The Value
Proposition ofStreaming Is
Extraordinary…

… And Will
Improve:
Streaming 2.0

All the World’s
Music

Always With
You

Personalized
Discovery

Frictionless
Acquisition

Shareable

SocialOur Music Powers an Expanding Number of Platforms
2013

2016

Download to own

Streaming“duopoly”

2024

Big
4 streamers

SocialScale regional streamers= ~9.5B
combined users 2024

~5.3B

~0.4B

~0.6B
combined users~0.9B

combined users

combined users

iTunes registered users~4.2B
combined users
Note: “MAU” = “Monthly Active User”, “DAP” = “Daily Active People”, “DAU” = “Daily Active User”
Source: iTunes registered users (CNN, 2013), Apple Music subscribers and Spotify users (Business of Apps, 2016), Spotify MAUs (Q2 2024 Report), Apple Music and Amazon Music paid subscribers (Business of Apps, 2024), YouTube Music subscribers(YouTube Press Release, 2024), Paid subscribers + Ad supported users (MIDiA, 2024), Meta DAP (Q2 2024 Report), Snap DAUs (Q2 2024 Report), TikTok MAUs (Business of Apps, 2024)

Music Subscriber Growth Outlook Historically
UnderestimatedPrevious Estimates“in 2023 ~400M“ Paid subscribers will“

“ Future subscribers

Current Consensus Predicts

rise to 336M in 2025

Wall Street Analyst Report 2016

“State of the Streaming Nation 2” 2017

Paid subscribers
2023

336M subscribers
exceeded in~670M
Source: MIDiA “State of the Streaming Nation 2” (2017), Wall Street Analyst Report (2016), IFPI, UMG

2020

1B+

subscribers
by 2028

Music powers engagement
across a vast ecosystem –and we are in business with
far more than just a handfulof tech partners and DSPs

Fact #2

Superfandom will
accelerate music industry
economics

In the 60s-90s, “Super Fan” Passion Was Evident at
Midnight on Release Day as Fans Waited in Long Lines

Streaming and Subscription Have Equalized Fan Spending
for Core Music Consumption=

Download to own superfans spent~3x
the average customer

The streaming world equalizes spend between
the average customer and superfans

Superfan

Average Customer
User spend, 2014

Source: iTunes 2014

Average Customer
User spend, 2024

SuperfanUMG Revenue (€M, 2023)

Superfan passion
unlocks economic
growth potential

Publishing

Paid
Subscription
Streaming€ 1,956

Downloads& Other

License &
Other

€ 207

€ 4,275€ 1,174

€ 706

Merch

SuperfanBusiness€ 1,380

Physical
Source: UMG€ 1,425

Ad-Supported
StreamingWe are innovating
and developing products
and experiences togive superfans more
opportunities to engage

Fact #3

Music isUniversal

Music Is
Fundamental to
the Human
Experience3+ hoursof listening per day~60%+ listeners
actively choose

which songs they listen to~7 different methodsof engagement with music

Source: IFPI “Engaging with Music” Report (2023)

Music Is
Influential

Of the Top 20
GlobalInfluencers:

10Musicians
7/10

UMG Artists

5

Media
personalities

Note: Influencer ranking based on # of Instagram, X, TikTok, and YouTube followers as of August 2024
Source: Instagram, X, TikTok, YouTube

4

Athletes

1 ActorUnique Ability to Identify and Sign the World’s Best Artists
and Songwriters
AFRICA
Soolking

Rema

Ayra Starr

DJ Stokie

Xolly Mncwango

De Mthuda

Sam Deep

AMERICAS
Karol G

Noah Kahan

Sabrina Carpenter

The Weeknd

Luke Bryan

Billie Eilish

Jon Batiste

ASIA
King & Prince

Eason Chan

Ado

Hanumankind

Jay Chou

BLACKPINKEUROPE
Andrea Bocelli

LoreenOlivia Dean

Lewis Capaldi

U2

Helene Fischer

Stormzy

BadshahUMG Is Consistently Home to the World’s Best-Selling
Recording Artists
Top 10 Global Artists (’19-’23)

2019

8/10

2020

9/10

2021

8/10

2022

7/10

2023

9/10

Of UMG’s Top 10 Global Artists, U.S./U.K. vs. Non-U.S./U.K.

2/8

8/8

9/9

U.S./U.K.

U.S./U.K.

Non
U.S./U.K.

4/7

6/8
U.S./U.K.

Source: IFPI Global Charts (’19-’23)

Non
U.S./U.K.

3/7
U.S./U.K.

4/9
Non
U.S./U.K.

5/9
U.S./U.K.

Strong Track Record of Success

IPO
2021

€8.5B

€1.8B

€1.0B

Revenue

Adjusted EBITDA

FCF before investing

40%
2023

€11.1B

€2.4B

€1.7B

Revenue

Adjusted EBITDA

FCF before investing

Note: Historical financials are as reported
Source: UMG

Average Returnon Equity

Market Outlook &Innovation
Boyd Muir EVP, President of Operations & Chief Financial Officer

The Music Industry Has Experienced a Return to Growth,
Driven Primarily by Streaming
Global recorded music by revenue stream ($B, ’99-’23, nominal)

28.6
26.0
23.8

22.2
20.9

22.0
20.6
19.1

19.1

20.1
18.6

18.8

18.0

17.4

16.8
15.5

1999

2000

2001

2002

2003

2004

2005

CD era

2007

2008

2009

14.7

13.7

13.6

13.6

13.5

13.0

13.5

2010

2011

2012

2013

2014

2015

2016

Digital download era
Physical

Source: IFPI

2006

14.5

Streaming and Subscription

Downloads and Other Digital

15.8

2017

2018

2019

2020

Streaming era
Performance Rights

Synchronization

2021

2022

2023

Runway for Future Growth;
Spending Is ~50% of Peak Levels
US recorded music inflation-adjusted revenue per capita ($, indexed to 2023)

~2x

~95

to reach 1999 levels

~50
~25
1999

2014

2023

Peak physical era spend

Digital download era spend

Streaming era spend

Source: RIAA U.S. Music Revenue Database, World Bank US Population

Music Industry Growth Will Be Propelled by Streaming,
Superfandom and Ecosystem Expansion

Driving
Growth in
Streaming

UnlockingSuperfandom

Powering
a Broader
Ecosystem

Subscriber Growth in Both Established andHigh-Potential Markets
Paid subscribers, established and high-potential markets (M, ’19-’23)
EstablishedHigh-potential

84

667

75
91
84
333

2019 total

~15%

~24%

~19%

Establishedpaid sub CAGR (’19-’23)

High-potential
paid sub CAGR (’19-’23)

Total paid sub
CAGR (’19-’23)’19-’20’20-’21’21-’22’22-’232023 total

Note: Paid subscribers defined as users who have signed up for a streaming platform (including music streaming services, e.g., Spotify and fitness platforms, e.g., Peloton) with full access to the service’s music catalog, including free trials which still yield income
for the record label. Established markets include Australia, Austria, Baltics, Belgium, Canada, Croatia, Czechia, Denmark, Finland, France, Germany, Greece, Hong Kong, Iceland, Ireland, Israel, Italy, Japan, Netherlands, New Zealand, Norway, Portugal,
Singapore, Slovakia, South Korea, Spain, Sweden, Switzerland, Taiwan, US, UK; High-potential markets include Argentina, Bolivia, Brazil, Bulgaria, Chile, China, Colombia, Ecuador, Hungary, India, Indonesia, Malaysia, Mexico, Nigeria, Paraguay, Peru,
Philippines, Poland, Romania, South Africa, Thailand, Turkey, Uruguay, Vietnam, Other MENA, Other Sub-Saharan Africa, Other Europe (Serbia, Slovenia), Other N. America / LatAm / Caribbean, Other South Asia, Other East Asia and PacificSource: IFPI, UMG

Established and High-Potential Markets Have Significant
Headroom for Subscriber Growth
Paid music subscriber penetration rate (2023)

Established50%

High-potential

42%
38%
30%
23%

22%

13%

10%

SwedenUSA

UK

France

Japan

Italy

Remainingestablished

Brazil

13%

China

1%

1%

India

Indonesia

1%

3%

Nigeria Remaining
highpotential

Note: Penetration calculated as the share of paid subscribers out of total population. Established markets include Australia, Austria, Baltics, Belgium, Canada, Croatia, Czechia, Denmark, Finland, France, Germany, Greece, Hong Kong, Iceland, Ireland, Israel,
Italy, Japan, Netherlands, New Zealand, Norway, Portugal, Singapore, Slovakia, South Korea, Spain, Sweden, Switzerland, Taiwan, US, UK; High-potential markets include Argentina, Bolivia, Brazil, Bulgaria, Chile, China, Colombia, Ecuador, Hungary, India,
Source:Malaysia,
IFPI Global
MusicNigeria,
Report Paraguay,2024, : RIAA
U.S.
Music Revenue
Database,
UN
World
Population
Prospects
Indonesia,
Mexico,Peru,
Philippines,
Poland,Romania,South
Africa,Thailand,Turkey, Uruguay, Vietnam, Other MENA, Other Sub-Saharan Africa, Other Europe (Serbia, Slovenia), Other N. America / LatAm / Caribbean, Other
South Asia, Other East Asia and PacificSource: IFPI, World Bank, UMG

Music Streaming Is Significantly Under-Monetized
Subscription music is a very low-costform of entertainment

Ad-supported audio streaming is under-monetized

Cost per consumption hour ($, 2023)

Paid subscription vs. ad-supported audio revenue
per user (gross, monthly, 2023)

~$45

~4x
$5.37

~9x
~$7
Concerts Theatricalmovies

~$6
Theme
parks

~$5
Books

$1.27
~$1.2

~$0.5

~$0.2

SVOD

GamingMusic
subscription

Source: Deutsche Bank Research, Pollstar Top 100 Tours, MIDiA, eMarketer, Deloitte Digital Media Trends

$1.18

$0.14
Established paid
subscription ARPU

Establishedad-supported
audio ARPU

High-potential paid
subscription ARPU

High-potential
ad-supported
audio ARPU

High-Potential Market Subscribers Have Meaningful
Contribution to Subscription Revenue Growth
Paid streaming monthly trade ARPU

~6x

~4-5x

High-potential markets(2019)

High-potential markets(2023)

Established markets(2023)

Note: Monthly trade ARPU refers to the industry-wide revenue that is solely collected by record labels, attributable per user. Established markets include Australia, Austria, Baltics, Belgium, Canada, Croatia, Czechia, Denmark, Finland, France, Germany, Greece,
Source:GlobalMusicIsrael,
Report2024,: RIAA
U.S. MusicNew
Revenue
Database,
UN
World Population
Hong
Kong, IFPI
Iceland,
Ireland,
Italy,
Japan,
Netherlands,
Zealand,
Norway,Portugal,
Singapore,Prospects
Slovakia, South Korea, Spain, Sweden, Switzerland, Taiwan, US, UK; High-potential markets include Argentina, Bolivia, Brazil, Bulgaria, Caribbean,
Central America, Chile, China, Colombia, Ecuador, Hungary, India, Indonesia, Malaysia, Middle East & Northern Africa, Mexico, Nigeria, Paraguay, Peru, Philippines, Poland, Romania, South Africa, Thailand, Turkey, Uruguay, Vietnam
Source: IFPI, UMG

Growth Will Be Balanced Across Both Subscriber Growthand Improved Monetization
Subscriber Penetration• Demographic tailwinds in established markets (lateadoption, streaming habit persistence over time)

8-10%
Paid subscription revenue
CAGR through 2028

• Technology and streaming adoption in highpotential markets• Streaming innovation and value enhancement• Migration from ad-supported tiers to subscription

Improved Monetization• Price increases in line with consumer value
and inflation• Super-premium tier with enhanced artist /fan engagement• Better monetization of ad-supported tiers andfamily plans

UMG benefits as the most significant music rights holder partnering with DSPs to bring innovation to life
Note: Slide has been updated to replace “ARPU Growth” by “Improved Monetization” for clarification purposes
Source: UMG

Subscription Revenue Has Consistently Grown,With Modest “Event” Driven Changes in Momentum
Momentum
Drivers

Quarterly UMG paid subscriptions revenue (’14-’24)
Spotify priceincreases
Apple & Amazon
Music priceincreases
YouTubeMusic
subscription
launches
Transition fromdownload tostreaming era

COVID-19
pandemic

Price increases forunder-monetized services

Apple Onebundlelaunches

Timing and aggressivenessof promotions

Feature and technology innovations
Amazon Alexalaunches on
Amazon Music app

Expansion into new geos
New companies / business models

2014
Source: UMG

2015

2016

2017

2018

2019

2020

2021

2022

2023

2024

Market share shifts(e.g., acquisitions, release schedule)

Accelerating Superfan Monetization and Building a Scaled,
Complementary Business to Streaming
UMG physical and merchandise revenue (€M)

Developing premium music andmerchandise collectibles~19% CAGR
2,086
D2C
1,484

Creating innovative
superfan experiences
NonD2C

Expanding our D2C capabilities(customer data, supply chain)2021
Note: Historical financials and growth CAGRs are as reported
Source: UMG

2023

Superfan Monetization Increasingly Driven by
D2C Capabilities
Revenue
GrowthBrand
Building

Audience
Development~33%

1,300+~100M

D2C revenue CAGR (’21-’23)

UMG owned and operated
artist / brand stores

Global owned audiencein 2023

Note: Historical financials and growth CAGRs are at moving FX. Owned audiences are fans who have consented to receive marketing messages; other customers have not consented to receive marketing messages
Source: UMG

Market Outlook &Innovation
Gabi Lopes SVP, Global InsightUMG’s Unique Research and Insights Capabilities
Global Insight TeamThe most extensive
in-house research
program in themusic industry

Deep understandingof consumer behavior
across the ecosystem

Uniquely positioned
to inform future
market trends

Global coveragereaches over 100,000
consumers yearlyCompetitive Advantages
Genre and geographic
priorities

Artist-centric strategy

Superfan opportunities

Subscription ecosystemand partner dynamics

Substantial Headroom for Subscriber Penetration Aroundthe Globe

Higheradoption

Source: IFPI, World Bank, UMG

Lower
adoptionOur Research Indicates There Are ~220M Additional
Subscribers Already in the Consideration Set

Today’ssubscriber
consideration
set

Establishedmarkets~145M

High-potential
markets~220M
Consumers interested in amusic subscription andwilling to pay current priceSource: UMG~75M

Expanding Adoption of Streaming Provides Significant
Headroom for Growth
US penetration by usage (2023)
70%
5%
23%

Opportunity to introduce toon-demand subscription
Opportunity to convert to paid
subscription

Satellite Radio
Ad-Funded Streaming
Paid Subscribers

Source: UMG

61%
of US weekly audiobook
listeners currently don’t have amusic subscription

42%

US

Parallel funnels

Opportunity to Convert Non-Subscribers Across All
Demographics
US penetration by usage by age (2023)
Satellite Radio

90%
4%

89%
5%

20%

20%

Ad-Funded Streaming

86%
5%

Paid Subscribers

80%
8%

25%
31%

66%

64%

55%
6%
25%

56%
41%
24%

13-24
Source: UMG

25-34

35-44

45-54

55+

Subscriber Growth in Established Markets Will Continue asYoung Users Age and Retain Streaming Behavior
A Adoption increases as
younger cohorts enter
the market

B Organic increase in penetration as users age up
and carry on their behaviors

US paid subscription penetration by age
5 YRS
Today

~13M
under 13s in the US
aging into the ecosystemin the next 5 years

65%

60%
48%

66%

64%

56%

28%
41%
24%

13-24
Source: UMG

25-34

35-44

45-54

55+

Development of a Super-Premium Tier Represents
Significant Opportunity
Meaningful proportion of paid
subscribers interested in an
enhanced offer

Various levers:
fandom-centric and functional

Age profile of those interested andwilling to pay for enhanced features

Features of highest appeal

20%
of existing subscribers arewilling to pay extra for anenhanced subscription tierFandom

Early access to
new music

FandomPriority access todeluxe editions

Functional

Hi-res audio

FandomListening party invites

7%

7%

55+

13%

12%

45-54

19%

35-44

26%

25-34

36%

13-24

24%

30%

26%
FandomSource: UMG

Artist Q&A sessions

FunctionalfeaturesFandomfeaturesMarket Outlook &Innovation
Michael Nash EVP, Chief Digital Officer

UMG’s Innovation Promotes Industry Growth andDevelopment

Cornerstone partnership for launch ofYouTube Music subscription service

Landmark partnership to develop
Dolby Atmos

Launch partner for theYouTube Music AI IncubatorFirst music company to commerciallylicense a social media platform

Expanded livestream agreements
to enhance artist-fan engagement

Exclusive partner for first
FDA-approved prescription therapeutic
music productOne of “World’s 50 Most Innovative Companies”#1 in Music
Source: UMG

Industry-leading products withplatform’s largest music audiences

Propelling Market Through Artist-Centric Initiatives
Artist-Centric Phase 1: Model Innovation

Collaborative development
and implementationof artist-centric models

Source: UMG, Spotify, Tencent

Artist-Centric Phase 2: Product Innovation

Embedding artist-centric
principles acrossservices landscapeSuper-premium tierSuper VIP tier

Deluxe version of Spotify

Holistic listening experience

Enhanced user control

Priority access to digital albums

Higher-quality audio

Live event tickets

New features forthcoming

Online karaoke services

~1.5x

~5x

price vs. standard paid tierprice vs. standard paid tier

SVOD Market Development Supports Opportunity for Music
Subscription Growth, Monetization and Innovation
SVOD has already surpassed
1B individual subscribers

SVOD household monetizationis >4x that of music

SVOD evolution demonstrates
x innovation potential x

Avg. US monthly household
subscription spend ($)• Market segmentation and

~1B

~61

>4x

product tiering• Enhanced premiumfeaturesindividual subscribers
in 2024~14.5
SVOD(stacked services)Music(complete catalog)• Improved account-sharing
management

Note: Average household spend includes single-family households. Music spend includes Spotify (including Duo and Family Plans), Apple Music, Amazon Music Unlimited, YouTube Music and Pandora
Source: SVOD subscribers (MIDiA, 2024), US household SVOD spend (Deloitte, 2024), Spotify, Apple Music, Amazon Music, YouTube Music, Pandora, UMG

Ad-Supported Revenues Fortified by Social & Video
Complement Subscription
Complementary revenue stream

Balanced growth acrossad-funded audio andsocial & video

Key drivers of growth

UMG ad-supported revenue (1H24)• Secular migration ofadvertising spend fromanalog to digital channels

Audio

~1:3
Ratio of UMG ad-supported tosubscription revenues (’20-’24)• Significant ad-supported
user growth projectedSocial &video• Increased engagement onsocial media platforms• Better monetization of ad-

supported tiers and services% social& video
Source: UMG~65%

Streaming 2.0: Next Era of Streaming Growth
Streaming 1.0
Achieving scale

Streaming 2.0
Maximizing customer value

Simple compelling proposition

Segmented customer propositions

Volume over value

Artist-Centric principles

Scale digital monetization

Broader and deeper monetization

Established market focus

Global focus

Focus on subscriber growth

Focus on subscriber and ARPU growthRapidly Expanding Superfan Monetization by Developing
Innovative New Products and Experiences for Fans
PhysicalCollectibles

Premium
MerchandiseLive
Experiences

DigitalMonetizing Superfans by Delivering Personalized
Experiences
Rolling Stones Virtual Store

Zedd x Roblox Beat Galaxy

Exclusive virtual merchandiseGame featuring lead single “Lucky”

Source: UMG, Roblox

Music Powers an Expanding Ecosystem
Social Media

Health and Wellness

Gaming

Amplifying and Protecting Our Artists on Social Media

Renewal of landmark
agreement pioneeredin 2017

Broadened scope toincorporate WhatsApp

Significant Gen AI
safeguards

Multi-dimensional agreementwith enhanced monetizationand eCommerce integration

Development anddeployment of artist-centric
tools and major marketing
programs

Strategic collaboration on AI
principles and industryleading Gen AI protections

Expanded agreement builds
on companies’ long-standing
collaborative partnership

Improved commercial
opportunities and innovative
marketing activations

Commitments regarding
unauthorized Gen AI content

Embracing
Responsible AI
to Advance
Innovation

Health and wellness
soundscapes

Social music creation

Gen AI content,
attribution andcompensation
solutions

Voice-to-voice,voice-to-instrument AI

Principles for Music
Creation With AI

AI music incubator• Enhancing artists’ ability toexperiment and boost
creativity• Defending artistry and rightto fair compensation• Adapting music to new
products and formats

Patented Three AI-Enabled Technologies to Predict Virality
and Enhance Our Marketing Capabilities
1st
PatentIdentifies efficiency of a marketing
opportunity using AI

2ndPatentAnalyzes and predicts likelihood ofaudience engagement

3rd
PatentPredicts social media content trends
with high likelihood of translatable
DSP success

Note: 1st patent filed in 2020; 2nd patent filed in 2021; 3rd patent filed in 2022

Multiple patents
granted or
pending for
digitaldistribution,stem-based
audio formats
and health andwellness
products

We’reDriving
Five Big
ShiftsStreaming 1.0:
Achieving Scale

Streaming 2.0:
Maximizing Customer Value

Merchandise
for Fans

Superfan Collectibles
and Experiences

Establishing
D2C Infrastructure

Scaling and Monetizing
D2C Channel

Engaging
Fans

Direct, Personalized
Relationships with Fans

Building the
Ecosystem

Expanding and Monetizing
the Ecosystem

AgendaSir Lucian Grainge CBE Company Introduction & Preview of the Day
Boyd Muir, Gabi Lopes & Michael Nash Market Outlook & Innovation
Jody Gerson Universal Music Publishing Group
Monte Lipman & John Janick US Recorded Music LabelsFrank Briegmann Central Europe Recorded Music
Adam Granite High-Potential Markets
Nat Pastor & JT Myers Virgin Music

Boyd Muir Financial Outlook
Sir Lucian Grainge CBE ClosingUniversal Music
Publishing Group
Jody Gerson Chairman & Chief Executive Officer
Marc Cimino Chief Operating Officer
JW Beekman Chief Financial OfficerUMPG Is a
GlobalLeader inMusic
Publishing

9
Top 10

3
Top 5

11
Top 15

Spotify Global
Albums of 2023

Billboard Hot 100
Songwritersof 2023

Spotify Artists are
UMPG songwriters*

48

850+

~5M

Offices in 40
countries providing
global coverage

Total employees

Owned andadministered songsof theof theNorth America ~370
Europe ~310
Asia-Pacific ~120
Latin America ~60

Notes: *As of September 2024; all other numbers as of July 27, 2024
Source: Spotify, Billboard, UMG

of theUMPG Represents a World-Class Catalog Filled With
Recognizable and Enduring Songs
Like a Rolling Stone

West Side Story

I Want to Hold Your
Hand

Sweet Home Alabama

Don’t Worry Be Happy

Blowin’ in the Wind

Pump Up The Jam

I Will Survive

Piano ManAll I Want for Christmas
Is YouStaying Alive

Respect

Ain’t No Sunshine

Good Vibrations

Love Story

California Dreamin'Your SongConga

Every Breath You Take

These Boots Are Madefor Walkin’

Sweet Dreams(Are Made of This)

American Girl

Welcome To The Jungle

You Are So Beautiful

Rolling In the Deep

Born To Be Wild

Hotel California

Don't You
(Forget About Me)

Purple Rain

White Christmas

Sweet Caroline

Soul Man

Knockin’ On Heaven’s
Door

Seven Nation Army

With or Without You

Man In the Mirror

Viva La Vida

Tiny Dancer

Dancing Queen

Liv

Livin’ On A Prayer

We Innovate and Diversify How Songs Generate Revenue
1971
35x

1991

2023

2001
“Tiny Dancer” revenue breakdown

3.5x
1x

Mechanicals

Mechanicals

Mechanicals

Performance

Performance

Performance

Audio Streaming

Video Streaming

Synch

Downloads

Digital Lyrics

Print

Other Digital

Synch

Print
Note: Historical financials are as reported
Source: UMG

Print

UMPG Maximizes Revenue Across Many Different
Rights Categories
DigitalPublicPerformance

Synch
LicensingMechanical

Streaming

Radio / TV
Broadcast

Film

Vinyl

SVOD

Hospitality

Commercials

CDs

SocialMedia

Concerts

GamingLyricsOur Songs Are Everywhere, Our People Are Everywhere
UMPG officeUS“Anti-Hero”
Taylor SwiftCountry-Catalog“Tennessee Whiskey”
Chris Stapleton
US“Stay”
Kid Laroi & Justin Bieber
US-Catalog“Every Breath You Take”
The Police
Mexico-Catalog“Hasta La Raiz”
Natalia Lafourcade
Mexico“Rescate, El”
Marca Registrada & Junior H

Sweden-Catalog“Dancing Queen”
ABBA

Sweden“Barbie World”
Nicki Minaj &Ice Spice

UK-Catalog“Sweet Dreams (Are
Made Of This)”
Eurythmics
UK“As It Was”
Harry Styles

Germany“Superhero (Heroes & Villains)”
Metro Boomin

France“Friendships”
Pascal Letoublon
France-Catalog“Tu T’en Iras”
La Zarra

Japan“Night Dancer”
Imase

Japan-Catalog“Usseewa”
AdoClassical“Turandot”
Puccini
Italy“Malibu”
Sangiovanni

Latin“Dakiti”
Bad Bunny & Jhay Cortez
Latin-Catalog“Conga”
Gloria Estefan

Germany-Catalog“Rock You Like A Hurricane”
Scorpions

Brazil-Catalog“Balada”
Gustavo Lima

Italy
“Frolic (Curb Your
Enthusiasm Theme)”
Luciano Michelini

Nigeria“Last Last”
Burna Boy

Brazil“Hackearam-me”
Tierry & Marilia Mendonca

China-Catalog“Shui Xing Ji”
Guo Ding
China“Gu Du Mian Dian”
Jiang Yun Sheng

Australia“Cold Heart”
Elton John & Dua
Lipa
Australia-Catalog“Shooting Stars”
Bag Raiders

UMPG Songwriters Signed to UMG Labels

Taylor Swift

Post Malone

Ariana Grande

EminemTupac

Justin Bieber

Metallica

Shania Twain

The Weeknd

Drake

Maroon 5

ABBA

Elton John

J Balvin

Sabrina
Carpenter

Bee Gees

Guns N’ Roses

Sting

Lil Baby

Bon Jovi

Billie Eilish

Ice Spice

Neil Diamond

Mumford & Sons

Carin Leon

Pearl Jam

Kendrick Lamar

Florence +The Machine

J. ColeThe Beach Boys

Dadju

Feid

Selena Gomez

Lana Del Rey

U2

Gracie Abrams

UMPG Songwriters Signed to Non-UMG Labels

Adele

Coldplay

Harry Styles

H.E.R.

Jack White

Alicia Keys

Fred again..

Alejandro Sanz

Megan Thee
Stallion

JustinTimberlake

Steve Lacy

Baby Keem

Van Halen

Mariah Carey

A$AP Rocky

ROSALÍA

Linkin Park

Idris Elba

Elvis Presley

SZA

Billy Joel

Bob Dylan

Bad Bunny

Maren Morris

Gloria Estefan

PrinceMuse

Bill Withers

Red Hot
Chili Peppers

Don Henley

R.E.M.

Kenny Chesney

VampireWeekendLuke Combs

Eurythmics

Brandi CarlileUMPG Songwriters / Producers Contribute to Global Hits

Bernie Taupin

Louis Bell

Metro Boomin

Mark Ronson

Nicholas Britell

Blake Slatkin

Nija Charles

Kid Harpoon

Daytrip

Steve Mac

Melanie Fontana

Aaron Dessner

FinneasMichael Uzowuru

Hit-Boy

Benny Blanco

Omer Fedi

Jack Antonoff

We Invest in the Songwriters and Markets of the Future

Global K-PopCamp

We help
songwriters
createiconic songs
throughcuratedWriters’ Camps“Inside UMPG’s Unlikely K-Pop
Hit Factory”

UMPG Nashville x
Mexico Writers’Camp

Bridging the gap between Americancountry music and regional Mexicanmusic

UMPG China x
She Is The Music

Promoting equality, inclusivity, andopportunity for women in musicin ChinaUMPG Creates Value for Our Songwriters and Partners

Deep industry
relationships

Best-in-classservices

Innovative techand data

Creative partnerships
throughout the global
music community

Premier creative, sync
and administration
teams around the world

Cutting-edge technology
and services

Direct partnerships withsocial media, brands
and DSPs

Enforcement ofintellectual
property rights

Transparent, real-time
earnings, royalty andcopyright data

EXPANDING OUR IP

Tony Award-Winner

Emmy Award-Winner

Emmy Award-Nominated
Emmy Award-NominatedWe Generate High Top and Bottom-Line Growth
UMPG
Growth Drivers
Diversified portfolio of verticals, rights
types and geographies

Commercial
Music

Film & TV
Studios

Production
Music

Subscription,
Streaming, Public
Performance, Synch,
LyricsPublic Performanceand SVOD

Advertising, Film andTV clients

Operating
Leverage andEconomies of
Scale

UMPG historical performance (€M)
Revenue (€M)
1,799

1,956

CAGR
21%

Adj. EBITDA (€M)

1,335

2021

470
410
307

2022

Note: Historical financials and growth CAGRs are as reported
Source: UMG

2023
Adj. EBITDA
margin

2021

2022

2023

23%

23%

24%

CAGR
24%

REPUBLIC Corps
Monte Lipman Founder & Chairman, REPUBLIC
Avery Lipman Founder & Vice Chairman, REPUBLIC
Jim Roppo President & Chief Operating Officer, REPUBLIC Corps

Interscope Capitol
Labels GroupJohn Janick Chairman & Chief Executive Officer
Steve Berman Vice Chairman
Michelle An President & Head of Creative Strategy

Central Europe
Recorded Music
Frank Briegmann Chairman & Chief Executive Officer

UMG Is a
Leader inCentral Europe
With Strong
Local
Repertoire andInterconnected
Teams

85%

#1

35%

Spotify Top 100
represented bymajors over thelast 3 years

Leading position
across Central
EuropeEUROPEAN!

Local repertoire
revenue sharefor UMG
Central Europe

Note: Leading position based on physical, digital and sync revenue for 2023
Source: UMG, Spotify

An Integrated Team of Local Market Experts, Collaborating
to Support the Top Artists Across Central Europe
Our roster spans 33 countries in Central Europe
SwedenGermany

HeleneFischer

LucianoShirinDavid

ABBA

Benjamin Veronica
Ingrosso Maggio

Regional Synergies
Operational• D2C regional center of excellence (techhub, support)

Poland• Joint supply chain• Best practices shared across regional
Finance and Data Analytics

Netherlands
Sobel

MedalkiCreative• Digital and marketing best practices sharedacross region

Italy
Hannah FRENNA
Zoe
Mae
Tauran• A&R hub for Central Europe

Lazza

ANNA

Sfera
EbbastaExcel at Catering to Diverse Local Demand
Locally-Oriented Markets

International-First Markets

Case Study: Germany

Case Study: Switzerland

Top 100 artists on
Spotify (2023)#1
Leading Position

Top 100 artists on
Spotify (2023)

Leading Position• Held all Top 10 album chart spots incalendar week 46 in 2023

• #1 Album of the Year:
Rolling Stones – Hackney Diamonds• Shirin David most #1 hits (7x) as afemale artist, Ski Aggu with 4
consecutive #1 singles• Five #1 releases in either single /album charts (2024)• 37% share of Spotify Top 100• Luciano #1 DE artist 2 consecutive
years
Local

#1

International

Note: Five #1 releases in Switzerland single / album charts include Eminem, Billie Eilish, Taylor Swift, Bon Jovi and Mark Knopfler
Source: Spotify, UMG, GfK Entertainment

Local

International

Combining Deep Local Knowledge and Leading Local
Repertoire With Scale to Build Local and Global Superstars
Billie Eilish (USA)Global Artists#1#1 album in 15+ Central European markets
Superfan event and revival of “Billie spot” in Berlin
Live radio on air album premiere

Local Artists#1#1

Sfera Ebbasta (Italy)

Select Dance Artists

214x Platinum

Felix Jaehn (Germany)

123x Gold#1 single in 55 countries#1 streamed artist on
Spotify Italy

Meduza (Italy)#1 streamed album ever in
Wk1 Italy

EURO ’24 anthem

Topic (Germany)
117x Platinum in 23 countries

Local Audience
Source: IFPI, Spotify, UMG

Global Audience

Case Study: Germany Billie Eilish “Spot” and Fan Event
Lead to Always-On Activation

Billie Eilish at her spot – a “temple” forsuperfans built in 2019
Event promoted on nationwide TV andradio with >60M reach

Source: UMG

Exclusive fan event via D2C
campaign in Berlin

50M+ impressions throughinvited creators
Flagship interview and Q&A withleading TV and podcast hostEnhancing the Artist-Superfan Relationship
Through Innovation
ABBA is one of UMG’s
most legendary artists

Our partnership extends
well beyond music

Voyage is a
first-of-its-kind project~400M albums sold worldwide

25+ year partnership spanning recorded
music and publishing

Unique virtual concert format in acustom-built arena

New ventures such as Mamma Mia!
The Party, ABBA The Museum and
ABBA Voyage

Paired with first studio album releasein 40 years

1B+ lifetime digital streams in the
UK alone

Source: UMG

Continuing to Drive Growth Through Superfan Products
and Experiences
Voyage helped fuel a 500%+ increase in streams over 5 years
Avg. Daily Spotify Streams
6M

Comeback
RumorsComeback Voyage Show Call ABBA
Announcement Opening
Campaign

5M

64%
of listeners below age 34, 55% of overall
growth coming from this age group+1,189%4M

growth in ABBA’s followers across mainsocial media platforms

3M
2M

+566%

1M
0M
2018

2019

2020

2021

2022

Note: (*) Global ABBA generated revenues in the period ’21-’23, excludes increases from digital or physical revenue
Source: UMG

2023

growth in superfan revenue throughenhanced touchpoints for fans*Building an Owned Audience to Expand Our Business
Lean-forward consumption
through owned audiences

CRM activities to engage
with superfans

D2C activities strengthenbusiness model

Owned playlist brands and social media
presence generate owned audiences

Brand and artist campaigns key toidentify and engage with superfans

Superfan monetization with~50% YoY customer growthNote: KPIs as of FY 2023
Source: UMG

Well-Positioned to Continue Driving Growth in the Region

Local high-performer
Overall #1 with a strong and growing local frontline

Culturally diverse
Thriving on working with a diverse artist and fan baseInnovative
Diversifying through new formats and owned audiences

High-Potential
Markets
Adam Granite EVP, Market Development

High-Potential Markets Represent a Significant Opportunityfor UMG
High-potential markets represent~85% of the global population

The music industry in thesemarkets is growing quickly

China and India have had
differentially higher growthHigh-potential markets
share of global population (2023)

High-potential markets
recorded music revenue ($M, ’19-’23)

Global ranking of markets bydigital and streaming revenue

APAC (E)
MENA (E)N America
Euro (E)
APAC (HP)

CAGR
~25%

vs. overall recorded
music market ~11%

2019

2023

#5

#2

#16

#12

Euro (HP)
MENA (HP)

4,076

LatAm

1,692
SS Africa
High-potential

South Asia

Established

2019

2023

Note: High-potential APAC includes China, Indonesia, Philippines, Vietnam, Thailand, Malaysia, and Other East Asia & Pacific. High-potential Europe includes Poland, Romania, Hungary, Bulgaria, and Other Europe. High-potential MENA includes Turkey andOther MENA
Source: IFPI, World Bank, UMG

High-Potential
Markets
Timothy Xu Chairman & Chief Executive Officer, Greater China

China: Significant Runway for Further Penetration and
ARPU Growth
ARPU has been increasing throughproduct innovation

China is the largest paid subscriber
market, with significant headroom

China subscription
ARPU

China 2023
13% penetration

UMG
strikeslicensingdeal with
Tencent

UMG
takes partin content
paywall
strategy

Tencent
launches
SVIP tier

UMG and
Tencent
renewal;
Dolby
Atmos in
SVIP tierSuperfanmonetization~€5 price of Tencent
Super VIP tier(vs. ~€1 standard tier)#1
Globally

180M paid subscribers
1.4B population

Opportunity to further increase
ARPU via pricing tiers

2016

Note: S-curve is illustrative. ARPU timeline illustrates MiDiA monthly subscriber trade ARPU
Source: MIDiA, Tencent, World Bank, Music Business Worldwide, UMG

2018

2020

2022

2024

High-Potential
Markets
Devraj Sanyal Chairman & Chief Executive Officer, India & South Asia

India: Large Market with Immense Growth Potential
Market potential

#1

1.4B

by population

total population

#2

>1T

by volumeannual streams

#1

464B

by YOY growth

net new streams

#12

$300M

by revenue

streaming revenue

Meaningful ad-supported
growthLonger-term subscription
opportunity$200M+

India 2023
1% penetration

revenue from ad-supported
audio in 2023

2.5X

ad-supported audio user growthsince 20174X

ad-supported audio ARPU since 2017

Note: Statistics as of 2023. ARPU figures represent annual gross ARPU. S-curve is illustrative. Subscriber penetration rates may vary across sources due to inclusion of trials and non-music apps
Source: IFPI, UMG, World Bank, MIDiA, Luminate

21M paid subscribers
1.4B population

Repeatable,
Successful
Model to Scale
Quickly inHigh-Potential
Markets

Local
A&R teams

Build best-in-class local
A&R team to develop local
repertoire into global successDistribution
through
Virgin Music

Capture value from thelarge independent sector
through label services

M&A

Gain scale in attractive
markets throughacquisitions (e.g., labels)

UMG In-Market A&R Teams Have Local Expertise to Sign
and Develop Talent
Greater China

India

SEA

Middle East & Africa

Eason Chan

Anuv Jain

Zack Tabudlo

Rema• Hong Kong

• Singapore• Taiwan• Vietnam• Beijing• Thailand• Shanghai• Indonesia• Shenzhen• Malaysia• Philippines

Mavin Records

Expanding Presence in High-Potential Markets With
Attractive Financials
High growth and attractive margins~15-35%

Example markets:

Indonesia

Revenue CAGR (’21-’23)
in high-potential markets
ThailandAttractive margins, largely in-linewith established markets

VietnamSince 2015 – 8x Revenue Growth, 25x EBIT Growth, 50%+ ofLocal Top 50 Chart

50% market share increase since 2018 via local A&R and
M&A (RS Catalog) – on track to become a leader

First local release in 2020 – currently represent 24% of
Spotify Top 200

Note: Historical financials and growth CAGRs are as reported. Country market share data includes physical and digital recorded music revenue
Source: UMG, Local Songs Chart, Spotify

Music Is a
GlobalBusiness

K-Pop+90.4B
Globalization of music is
expanding the TAM for UMG

total on-demand global streams
from the top 100 K-Pop artists

Latin

Turning Local
Artists Into
GlobalSuperstars

Indie artists and labels view UMG
as the best possible partner toachieve global cultural impact
and stardom

+

19.4B

on-demand audio streams
from Latin artists in the US

Afrobeats+53%

Our scale and expertise allow us
to partner with more labels andimmediately drive growth andattractive financial returns

2-year growth in US frontline
Afrobeats streams

India

+32%
growth of Desi repertoire in the US(largest diaspora in the world)
Note: Data from 2023. Afrobeats data from August 2024
Source: Luminate, Spotify, UMG

Deploy Model and Playbook Across an Increasing Numberof High-Potential Markets
Key High-Potential Investments and Partnerships

Organic A&R

Aggressively
invest in
high-potential
marketsover the next
3-5 years

Source: UMG

Distribution

TF Entertainment(China)M&A

JVR Music(China)METUB Network(Vietnam)

P.T. Musica(Indonesia)

Spicy Disc
(Thailand)

UR Philippines(Philippines)

Zee(India)Represent(India)Oriental Star Music(South Asia)

TM Ventures(India)Chabaka Music(MENA)

RS Music Group(Thailand)

Mavin Records(Nigeria)

Virgin MusicNat Pastor Co-Chief Executive Officer
JT Myers Co-Chief Executive Officer

HYBE
TXT

Clairo Records
ClairoDirty Hit Records
Beabadoobee

Total Pleasure
St. Vincent

Sofi Tukker LLC
Sofi Tukker

Socios Music
Carin Leon

SM Entertainment
AESPA

Disparate / Virgin Music
Zaho de Sagazan

Sumerian Records
Bad Omens

Our Mission: Support
Creative Entrepreneurs to
Achieve Global Success

SALXCO UAM
Elyanna

GR6 Music
MC PH

Wicked Game / Primary Wave
Chris Isaak

JYP Entertainment
Stray Kids

Hundred Days Records
Mark Ambor

EGA
D-Block Europe

APG
Odetari

Music VIP Entertainment
Grupo Firme

Play DMF
Rito Riba

What Is “Independent”?

Entrepreneurial
labels…

…and thecompanies that
support themIndependents and Majors Are Complementary Segments
That Have Both Participated in Dramatic Industry Growth
Global recorded music revenues (’21-’23)
MajorsIndependents

CAGR ~7%

CAGR ~11%2021
Source: MIDiA

2023

2021

2023

Virgin Music Is a Leading Provider of Independent
Services, Enabling UMG to Participate in Growing Sector
Fully Independent
LabelsIndependent
Services• Identify, sign and develop artists• Premium services (e.g., marketing,financing, promotion, international, royalty
reporting)• Digitally distributing own rosters directly,
often with 3rd party physical distribution• Digital and physical distribution for
independent partners• Small scale / niche focus

Example Labels

Companies

Aggregators / Digital
Distributors• Digital distribution

Independent Services Is the Largest Segment of
the Global Independent Sector…
Share of global streaming revenue (1H24)

Virgin Music’s
core markets

MajorsIndependent services

Note: Majors are UMG, Sony, Warner (excluding The Orchard, Virgin, ADA, etc.)
Source: UMG

Fully independent labels

Aggregators / digital distributors

…And Has Higher Representation in High-Potential
Markets

Established markets
streaming revenue (1H24)

High-potential markets
streaming revenue (1H24)

Virgin Music’s
core markets
Virgin Music’s
core markets

MajorsIndependent services

Note: Majors are UMG, Sony, Warner (excluding The Orchard, Virgin, ADA, etc.)
Source: UMG

Fully independent labels

Aggregators / digital distributors

Virgin Music Brings Valuable Capabilities and Economies
of Scale to Independents – Beyond Just Distribution
Basic Distribution

Value-Add Services

DigitalDistribution

Sales &
Commercial
MarketingMarketing
Strategy

Financing

PhysicalDistribution

CatalogMarketing

TV & Film
Synchronizationand Licensing

Digital Marketing &Audience
Development

Content &Release Operations

Promotion& Publicity

International
SupportData & Insights
at Scale

RightsAdministration

eCommerce

Project
Management

Claiming& Content Protection

Virgin Music Generates Attractive, Low-Risk Returns by
Providing Services to Established Independent Labels
Typical Virgin Music deal
structures

Majority of both traditional frontline and independent services deals
generate attractive risk-adjusted returns

Distribution of artist / label deal returns(illustrative)% revenue% of deals

Fixed-term
Independent
services

Recoupable advanceTraditional frontline

Value-add services fees

Internal rate of returnSource: UMG

Why Independents Choose Virgin Music

Standalone global
infrastructure

Allows independent sector to benefit from scale and resources ofworld’s largest music company

Run by music
entrepreneurs

Better understanding of the needs of the independent sector

We are not a label

We are a world-class services organization designed to “wrap around”
entrepreneurs’ existing structures to deliver their goals

Strategic Importance to UMG

Profitably
participate in$10B TAM

Capital-light way toaccelerate growthin high-potential
markets with alarge independent
sector

Pipeline toentrepreneurial
talentVirgin Music
ProvidesBest-in-Class
Services toCreative
Entrepreneurs

Mavin Records

Context

Activity• Well-regarded label in criticalhigh-potential market,
Nigeria• Financed and collaborated on a global Rema
campaign, starting with hit single “Calm Down”• Partnered with Virgin Musicon Mavin’s high-potential
artist, Rema

• Created a new global superstar, supported by Virgin
Music around the world• Worked with Interscope on “Calm Down” remix
featuring Selena Gomez

Results• Biggest Afrobeats song of all time• >12B audio and video streams• Highly profitable outcome for Rema,
Mavin and Virgin Music• Established Mavin relationship, which led
to UMG investment

Financial Outlook
Boyd Muir EVP, President of Operations & Chief Financial Officer

UMG Has Achieved Strong Revenue Growth
Revenue (€M, ’21-’23)
Drivers of Revenue~14% CAGR

10,340

11,108• Industry-leading frontline business and theworld’s largest music catalog

8,504• Acceleration of superfan businesses• Expanded growth of our ecosystem
partners

2021

2022

Note: Historical financials and growth CAGRs are as reported
Source: UMG

2023• Continued growth of our publishingbusinessIndustry-Leading Frontline Business Fuels the Industry’s
Best and Most Iconic Catalog
UMG recorded music digital andphysical revenue (2023)

Recorded Music
Frontline

38%>3.2 Million

62%
Catalog~15%

UMG global catalog revenue
CAGR (’21-’23)
Note: Historical financials and growth CAGRs are as reported
Source: UMG

Recordings

Strong Streaming Growth Anchors Revenue andEarnings Growth

Paid Subscription Streaming

Growth balanced
across bothsubscriber volume
and better
monetization

Source: UMG

Ad-Supported
Streaming~€4.3B

PhysicalMerch~€1.4B

License &Other

Downloads & Other

UMG revenue (2023)

PublishingAd-supported revenues
fortified by social &video complement
subscription

Increasingly Diverse Set of Growing Revenue Streams
UMG revenue (2023)~€1.4B
Source: UMG

Ad-supported
Streaming~€0.7B

PhysicalMerch~€1.2B

License &Other

Downloads & Other

Paid Subscription Streaming

Superfan business

Publishing~€2.0BSuperfans Driving a Physical Music Collectibles Business…
Growth primarily driven by premium vinyl
UMG physical revenue (€M, ’21-’23)• Development of innovative
physical products andpremium vinyl catered tocollectors and superfans~11% CAGR
1,380
1,121

1,207

~30-35%
Physical gross margins
2021
CD

Growth drivers

2023

2022
Vinyl

DVD

Note: Historical financials and growth CAGRs are as reported
Source: UMG

Other• Resurgence in vinyl popularity
and analog music listening(e.g., record players) among
younger fans
• Growth in popularity of CD /DVD collectibles in Japan• Expansion in vinyl production
capacity

… and Fueling a Premium Merchandise Business
Growth driven by touring and D2C

Growth drivers

UMG merchandise revenue (€M, ’21-’23)• Innovative new products
driving demand for premium,customized merchandise~39% CAGR

706
618~10-25%363

Merchandise grossmargins by channel
2021
Touring

2022
D2C

2023
RetailNote: Historical financials and growth CAGRs are as reported
Source: UMG

Other• Increased opportunity forbrand collaborations• Enhanced design andproduction capabilities to offer
a diverse range of SKUs

Building a Scaled D2C Capability
Sustained strong growth in D2C sales
UMG D2C revenue (€M, ’21-’23)~33% CAGR

548

Growth drivers

Growth from loyal customers andhigh-spend owned audiences~54%• Growing global footprint of
D2C stores

D2C customers are repeat purchasers*

310

360

~42%
YoY growth in owned audiences

2021
Merchandise

2022
Vinyl / CD

2023
Other

~1.5x

• Scaling supply chain
infrastructure to meet
consumer demand• Sophisticated customer data
platform to enhance marketing
and acquisition capabilities

Increased D2C spend from owned
audiences vs. other customers**

Note: (*) Excluding UK, IE, DE and JP. (**) US customers only. Historical financials and growth CAGRs are at moving FX. Owned audiences are fans who have consented to receive marketing messages; other customers have not consented to receive marketingmessages
Source: UMG

Growing “License & Other” Revenues
License & other covers a broad range of innovative products
UMG license & other revenue(€M, ’21-’23)

Global reachPokémon 25th
Anniversary~14% CAGR
1,174

1,072

Coke Studio
Magic momentswith artists

2022
Synch
Sponsorships& endorsements

Other

Note: Historical financials and growth CAGRs are as reported
Source: UMG• Continued influence ofmusicians, creating a wide
spectrum of opportunities(e.g., audio-visual, live events)• Best-in-class artist brandbuilding capabilities

2023
Broadcast• Music continues to drive
engagement across a broad
ecosystem of partners

6.5B impressions

896

2021

Growth drivers

STAX:
Soulsville U.S.A.
Emmy-nominateddocumentary• Long history of establishedlicensing partner relationships

UMG Has Achieved Strong Adjusted EBITDA Growth
Adjusted EBITDA (€M, ’21-’23)
Drivers of Adjusted EBITDA~15% CAGR
2,369
2,135

• Operating leverage from increasing scale:

1,788– Corporate overhead– Business unit operations– Sales and marketing• Organizational redesign efficiencies

2021
Note: Historical financials and growth CAGRs are as reported
Source: UMG

2022

2023

Generating Significant Free Cash Flow
Free cash flow before investment activities (€M, ’21-’23)

1,606

1,704

1,029

Adj. EBITDA
conversion
Note: Historical financials are as reported
Source: UMG

2021

2022

2023

57.6%

75.2%

71.9%

Driving Long-Term Returns for Investors
Organic investmentin the business

Strategic M&A

Return capital to shareholders

Artist and songwritersignings & development

High-potential markets€2.6B

Continued investment in high-quality roster

M&A of local labels and catalogs

Dividends paid toshareholders (’21-’24)

Geographic expansion
Build local teams and expertise

Scale D2C
Enhance capabilities and scale of
UMG-owned superfan channels

Source: UMG

Label and artist services
Opportunistic expansion within
independent services sector

Rights acquisitions
Invest in high-quality publishing and recorded
music assets primarily through investment
vehicles (e.g., Chord)

Share repurchases
Opportunity for excess cash deployment
after meeting other key priorities

Continued High Growth in Revenue and Adjusted EBITDA
Mid-term CAGR
through 2028

Total revenue growth
Subscription revenue growth

Adj. EBITDA growth
Free cash flow before
investment conversion rate

7%+
8-10%
10%+
60-70%

Note: All CAGRs in constant currency; slide has been updated to replace “ARPU Growth” by “Improved Monetization” for clarification purposes
Source: UMG• Scaling superfan business• Penetrating high-potential markets• Reinvestment in the business• Continued subscriber growth• Improved monetization from price increases andcustomer segmentation• Fully implementing strategic organizational redesign(~€250M in run-rate savings)• Continued improvements in operating leverage• Continued investment in both new andestablished artists• Meaningful free cash flow allows for attractive,
operational, non-transformative M&A investment

Summary of Investment Highlights
Driving innovation and expanding TAM with long runway for high growthPowering the next
era of recurringstreaming growth(Streaming 2.0)

Unlocking superfanmonetization
through innovative
new products andexperiences

Fueling an
expandingecosystem of music
driven businesses

Attractive
opportunities for
expansion – highpotential markets,
independent label
services

Leading labels and music publishing business – expanding iconic catalog
Strong free cash flow with improving operating leverage
World-class management team

Closing
Sir Lucian Grainge CBE Chairman & Chief Executive Officer

Fact #1

Fact #2

Fact #3

Streaming isa quantum leap forward
in music access and monetization
Superfandom will
accelerate music industry
economics

Music isUniversal