Earnings: Digital Music Group's Losses Increase; Revs Up

Digital Music Group (Nasdaq: DMGI), the online music distributor currently in the process of being merged with The Orchard, has reported its Q2 earnings, and its losses increased to $1.1 million, up from $0.6 million in the year-ago quarter. Revenues were $3.15 million, up from $0.84 million in Q206. This included costs related to the company’s merger with The Orchard of $328K.
Some interesting stats from the distributor: Total paid downloads (with albums presented as single track equivalents) for Q2 were 4,092,000, up from Q206 figure of 3,343,300. The average monthly download rate for Q207 was 5.5 times, compared to download rates of 14.8, 9.5, 7.5 and 6.4 times for the Q1 to Q4 of 2006, respectively, and 6.9 times for Q107. Apple iTunes Store accounted for approximately 56 percent of the company’s revenue for Q207 (down from 88 percent in Q206). Mobile revenues increased from 8 percent of its pro forma revenue in Q206 to 13 percent in Q207. Earnings release

Comments have been disabled for this post