Universal Music Group NV's (OTC:UMGNF) shares dropped 23% on Thursday following the announcement of disappointing results in its streaming and subscription segments.

Subscription Revenue Growth Slows Down Significantly

In the second quarter, UMG's subscription revenue growth slowed to 6.9% year-over-year, excluding foreign exchange (FX) effects, a notable drop from the 12.5% growth in the first quarter. This fell short of Bloomberg's consensus estimate of 11% growth.

The streaming revenue also saw a significant decline, falling 3.9% ex-FX, a stark contrast to the 10.3% growth recorded in Q1, Yahoo Finance reported.

UMG attributed this downturn to a "deceleration in growth at...