Music company Reservoir Media published its financial results yesterday for the final quarter of 2021 (its fiscal Q3), revealing revenues of $27.1m. That’s up by 26% year-on-year, although the company explained that this was due to acquisitions, and that its organic growth was 15%.
The dynamics of the company’s business are shifting too. Reservoir’s music publishing revenues grew by 4% to $18.4m last quarter, but its recorded music revenues jumped by 147% to $8.1m. So, in the last year, recordings have grown from 15.3% of Reservoir’s business to just under 30%. The company recorded a net profit of $2.4m for the quarter.
In its earnings call, CEO Golnar Khosrowshahi talked about Reservoir’s plans to continue competing in the busy catalogue acquisitions market. “We are on track to deploy over $200 million this fiscal year into unique, global and diversified M&A deals,” Khosrowshahi told analysts. “And we have a $3 billion pipeline of potential deals that we are actively exploring… We are executing on our strategy through a steady cadence of acquisitions, coupled with an intense focus on execution.”