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Last Updated: Monday, 17 October 2005, 07:00 GMT 08:00 UK
EMI on track for strong profits
Coldplay's Chris Martin
Strong sales of Coldplay's album have given EMI a lift
The world's third largest record company EMI has said it expects strong sales and cost cuts to boost profits.

The firm said it expects overall pre-tax profits to rise 9% in the six months to 30 September.

Revenues at its music division are set to rise by 4.5%, while those from its music publishing arm will grow 5.5%.

Successful releases from artists such as Paul McCartney and KT Tunstall helped boost revenues despite a "weaker than expected recorded music market".

EMI added that the strong sales combined with its restructuring drive would help offset higher marketing costs which have been triggered by a heavy release schedule.

It added it was on track to deliver full year results in line with expectations.

The news from the trading update was in direct contrast to the firm's full year profits in May, which fell 13% to 141.9m ($259.5m) after albums from Coldplay and the Gorillaz - two key revenue drivers - were delayed.

Digital sales at the group - which in May accounted for 2.5% of its revenues - were also continuing to "enjoy very strong growth year-on-year".

EMI will release its interim results on 16 November.


SEE ALSO:
EMI boss flies flag for UK music
09 Sep 05 |  Entertainment
Album delays hit profits at EMI
24 May 05 |  Business
EMI shares hit by profit warning
07 Feb 05 |  Business
EMI's download music sales soar
19 Nov 04 |  Business
Artist cuts drive EMI into a loss
24 May 04 |  Business
EMI cuts artists and 1,500 jobs
31 Mar 04 |  Business


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