Polygram Posts $280-Million Profit for ’92 : Music: European entertainment giant saw a 5% rise in sales, in part because of Billy Ray Cyrus’ ‘Achy Breaky Heart.’

European entertainment giant Polygram, which has been working hard to expand its role in Hollywood, reported on Tuesday a 13% rise in worldwide profit in 1992, thanks in part to country music phenomenon Billy Ray Cyrus and his “Achy Breaky Heart.”

Polygram posted a $280-million profit for 1992, up from $246 million in 1991, with sales rising 5% to $3.66 billion. Polygram is 80% owned by the Dutch giant Philips Electronics, with the rest publicly held.

Polygram’s results were better than analysts expected, and were particularly strong in light of soft economies in Europe, Japan and Brazil and with Polygram’s increased investments in film.

Revenue climbed 26% in North America. Cyrus’ “Some Gave All,” with the hit song “Achy Breaky Heart,” was released on Polygram’s Mercury label and to date has sold more than 7 million copies. Another big seller was Lionel Richie’s “Back to Front” greatest hits album, which sold nearly 5 million copies under Polygram’s distribution and license agreement with Motown.

Polygram officials emphasized that while Cyrus’ album was an important part of the company’s performance, other music from the company also did well, with 24 albums selling more than 1 million copies each. “Billy Ray Cyrus aside, we still had a very, very good year,” Chief Executive Alain Levy said in an interview.

Levy said film and video business contributed about $320 million to Polygram’s revenue, up 60% from a year earlier. In July, a Polygram unit invested $35 million to buy a 51% stake in Interscope Communications, whose films include “The Hand That Rocks the Cradle,” and this year will start funding certain productions from actress Jodie Foster’s Egg Pictures under a three-year deal.