U2 label sales hit by HMV shutdown
The closure of HMV's 'bricks and mortar' stores last year in Ireland helped plunge the Irish arm of music giant Universal Music into the red.
Universal Music Ireland counts U2, Taylor Swift, Rihanna and Hozier as some of its stand-out acts but sales by those superstars were not enough to prevent the company recording a pre-tax loss of €643,304 in 2016.
This followed the firm recording a pre-tax profit of €1.6m in 2015 - a negative swing of €2.25m.
The closure of the HMV stores here also contributed to revenues at the company declining by 17pc from €13.2m to €10.9m.
The biggest impact to the drop in revenues was the plunging sales of CDs where they more than halved going from €6.2m to €3m.
The business did manage to offset some of the drop in CD sales by increasing its revenues from royalties and licence fees from €6.6m to €7.88m.
The directors' report stated that "revenue decreased in 2016 compared to prior year mainly as a result of a major customer ceasing to trade in the Republic of Ireland".
The directors state that the company maintained its leading market share in the Irish music market in 2016.
The firm paid a dividend of €1.2m last year and the directors stated that it is their intention to recommend payment of a dividend in due course.
Numbers employed increased from 17 to 18 with staff costs declining from €1.5m to €1.33m.
Remuneration for the firm's two directors, Mark Crossingham and Nick Younger, decreased to €494,006.