EMI - the music company behind Kylie Minogue and Coldplay - saw its shares plunge nearly 12% after it issued its second profit warning this year.
Blaming weak CD and DVD sales in the US, it said it now expects profits to be 15 per cent lower than a year ago.
The world's third-biggest music company said it expected revenue at EMI music to show a decline of about 15% in the year to March 31 compared with the previous year.
The company, which has The Beatles, and Coldplay on its books, warned on January 12 that full-year revenues at EMI Music could decline, year on year, by approximately 6 - 10%.
EMI said the revised profit expectations are as a result of the continued and accelerating deterioration in market conditions in North America.
In late afternoon trade, the share price in EMI showed a drop of 11.27% to 212.50 pence on the London Stock Exchange.
Following last month's profit-warning, EMI made boardroom changes and announced cost cuts.
