The world’s largest music company has suspended its plans to list shares on the U.S. stock market, blaming unfavorable market conditions announced Thursday.
Universal Music Group stated that current market circumstances would result in a valuation below what the company believes it’s truly worth. The music giant indicated it will reassess the situation if market conditions improve.
This move reverses a previous arrangement with billionaire Bill Ackman’s investment firm Pershing Square, which had requested the U.S. stock offering. Ackman had maintained that a New York stock exchange listing would increase UMG’s share value and trading volume.
The company posted impressive 2025 full-year earnings of 12.5 billion euros (equivalent to $14.5 billion), representing an 8.7% increase compared to the previous year when adjusted for currency fluctuations.
For the third year running, UMG’s roster of performers controlled global music charts in 2025, securing 9 out of 10 positions on the IFPI Global Artist Chart. Taylor Swift topped the list, followed by K-pop group Stray Kids and Drake, while the KPop Demon Hunters soundtrack ranked among the year’s best-selling releases.
The music company announced it had finalized new “Streaming 2.0” partnerships with both Spotify and YouTube (owned by Alphabet) during 2025. These deals advance UMG’s business model of generating higher revenues from devoted “superfans” rather than casual music listeners, focusing on merchandise and premium subscription services.
Revenue from premium streaming subscriptions increased 5.6% to reach 4.88 billion euros, surpassing the overall streaming revenue growth rate of 1.5%.
The company’s adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) climbed 5.6% to 2.81 billion euros in 2025.
However, net profits available to shareholders decreased 26.5% to 1.53 billion euros. UMG attributed this decline to changes in the value of its investments in companies such as Spotify and Tencent Music. When excluding these adjustments, the company’s modified net profit actually increased 7.0% to 1.91 billion euros.
