Vivendi reported its 2007 Q1 earnings yesterday (read PDF of Vivendi's release or Reuters' article). Driven by its pay-TV and video game segments, the French company reported a profit of €1.3 billion. The story from its music division mirrored recent earnings results from other major music groups: It wasn't good.

Universal Music Group's revenue declined 8.7% to €1.027 million (4.2% on a constant currency basis). While sales were strong in the UK, weak sales in the US, Japan and France pulled down the division. Earnings before interest, taxes and amortization fell €84 to €57. (Last year's figure included an extraordinary item, the recovery of €50 from the company's lawsuit with TVT.) UMG said the downturn was "due in part to the timing of international and domestic releases in a difficult recorded music market and unfavorable currency movements."

Here's the ol' digital silver lining: Digital revenues were up 54% and accounted for €161 of revenues. Digital now accounts for 15.7% of UMG's revenues, up from 9.9% last year.