By Dean Seal

Warner Music Group plans to cut jobs and reimagine its organizational design as part of a restructuring plan aimed at lowering costs by $300 million a year.

The entertainment and record-label conglomerate said Tuesday the headcount reductions should cut about $170 million in costs, along with another $30 million in overhead expenses.

Warner expects the moves to lead to another $100 million in cuts from lower overheads unrelated to its workforce size.

The restructuring should be fully implemented by the end of 2026 and result in about $200 million in pretax, non-recurring charges, or about $150 million after tax. The totals include $170 million in non-recurring charges for severance payments and related termination costs, and about $30 million for other charges.

Most of the changes from the shakeup will be incurred in fiscal 2026, Warner Music said.

The company said its plan should free up funds to invest in music and accelerate long-term growth. Earlier on Tuesday, Warner Music and the private investment firm Bain Capital launched a joint venture aimed at buying up to $1.2 billion of music catalogs.

Write to Dean Seal at dean.seal@wsj.com

(END) Dow Jones Newswires

July 01, 2025 17:09 ET (21:09 GMT)

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