The singer himself has confirmed that he is no longer working with RCA, an imprint of Sony Music.
He became the first ever winner of the ITV show to sign with a different label to Simon Cowell’s SyCo, but sadly it hasn’t worked out.
It’s not all bad news, though; as he’s reportedly now in talks with another international label – and he’s bagged an off-West End theatre role.
“I’m not with Sony any more, as of four days ago,” he told The Sun.
“I’m in talks with Sony Madrid. In the UK I’ve done my thing.
“The reaction to my songs has been crazy, they’ve had 60million streams. It’s great but I’m excited to do another album.”
He added: “You don’t even really need a label to sell. Fair enough, they plan everything for you, but I can still move forward… onwards and upwards.”
He now turns his attention to Madagascar The Musical at London’s New Wimbledon Theatre.
Terry was the second Nicole Scherzinger-mentored act to win the talent show, after James Arthur in 2012.
But his album Trouble became the first ever X Factor champion’s debut to miss the Top 10, peaking instead at No29.
Its singles – Sucker For You and Try – peaked at No59 and outside the Top 100 respectively.
But he had more luck featuring on Enrique Iglesias’ Subeme La Radio, which peaked at No10.
No acts from the 2016 season of The X Factor have had mainstream chart success, with 5 After Midnight dropped after reaching No51 with their song Up In Here, despite a high-profile performance on Britain’s Got Talent.
Saara Aalto, meanwhile, has kept a healthy profile by representing Finland at the Eurovision Song Contest and becoming a judge on her homeland’s version of the talent show.
But her album Wild Wild Wonderland – released on Warner Music Finland – failed to crack the UK charts, although it made No2 on the Finnish listings.