I NVES TOR PR ESENTATI ON June 2025 Disclaimer Forward Looking Statements This presentation contains "forward-looking statements" for purposes of the safe harbor provisions under the U.S. Private securities litigation reform act of 1995, as amended. These forward-looking statements are generally identified by words such as "anticipate," "believe," continue," "could," "estimate," "expect," "intend," "may," "might," "seem," "seek," "future," "outlook," "model," "target," "goal," "plan," "possible," "potential ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (MARK ONE) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended March 31, 2025 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number: 001-39795 RESERVOIR MEDIA, INC. (Exact name of registrant as specified in its charter) Delaware 83-3584204 (I.R.S. Employ ...

Reservoir Media, Inc. (NASDAQ:RSVR) Q4 2025 Earnings Conference Call May 28, 2025 10:00 AM ET Company Participants Jackie Marcus - Investor Relations, Alpha IR Group Golnar Khosrowshahi - Founder and Chief Executive Officer Jim Heindlmeyer - Chief Financial Officer Conference Call Participants Richard Baldry - ROTH Capital Partners Griffin Boss - B. Riley Securities Operator Greetings and welcome to Reservoir Media's Fourth Quarter Fiscal Year 2025 Earnings Conference Call. At this time, all participants ar ...

Reservoir Media (RSVR) Q4 2025 Earnings Call May 28, 2025 10:00 AM ET Company Participants Jackie Marcus - Senior Managing DirectorGolnar Khosrowshahi - Founder, CEO & DirectorJim Heindlmeyer - CFO Conference Call Participants Richard Baldry - MD & Senior Research AnalystGriffin Boss - Equity Research Analyst Operator Greetings, and welcome to Reservoir Media's Fourth Quarter Fiscal Year twenty twenty five Earnings Conference Call. At this time, all participants are on a listen only mode. A question and ans ...

Financial Data and Key Metrics Changes - Reservoir Media reported a 10% year-over-year increase in revenue for fiscal year 2025, reaching $158.7 million, exceeding guidance [18] - Adjusted EBITDA for the fiscal year increased by 18% to $65.7 million, driven by higher gross margins and improved operating leverage [19] - Net income for fiscal year 2025 was $7.7 million, compared to $0.8 million in the previous year, resulting in diluted earnings per share of $0.12 [20] Business Line Data and Key Metrics Changes - The Music Publishing segment generated revenue of $27.9 million in Q4 2025, a 6% increase year-over-year, with synchronization revenue up 51% [21] - The Recorded Music segment saw revenue of $12 million in Q4 2025, a 7% increase, with digital revenue rising 19% [22] - For the full year, Music Publishing revenue rose 12%, while Recorded Music revenues increased by 4% [23][24] Market Data and Key Metrics Changes - The company is focusing on emerging markets, particularly India and the Middle East, where significant growth opportunities exist due to rising internet connectivity and listenership [11][12] - India is projected to grow at a 13% CAGR through 2027, presenting a substantial opportunity for expanding the company's international roster [13] Company Strategy and Development Direction - The company aims to build scale through portfolio-accretive mergers and acquisitions and long-term value-additive signings [27] - Reservoir Media is committed to organic growth and has the necessary rights and infrastructure to market its portfolio aggressively [10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the music industry's resilience against macroeconomic headwinds, highlighting strong demand for their catalog [27] - The company anticipates continued strong results in fiscal year 2026, with revenue guidance set between $164 million and $169 million [26] Other Important Information - The company closed the fiscal year with total liquidity of $79.6 million and total debt of $388.1 million [25] - Reservoir Media's strategic capital deployment included over $15 million towards acquisitions and advances [6] Q&A Session Summary Question: Are you seeing markedly better ROIs in international geographies? - Management noted better opportunities and higher ROIs in emerging markets like India and the Middle East due to less competition [30] Question: How do you look at revenue seasonality in 2026? - Management expects a return to a more regular cadence, with the second and fourth quarters likely being slightly higher than the first and third [31] Question: Can you talk about your hedging strategy regarding interest rates? - The company is currently hedged at $150 million and is evaluating the need for additional hedges due to recent volatility [32] Question: How much capital are you targeting to deploy in 2026? - Management indicated that capital deployment will be opportunistic, depending on available deal flow [33] Question: Can you clarify the $150 million figure mentioned for capital deployment? - The $150 million figure refers to the total for the year, not just the fourth quarter [40] Question: How does the growth rate in India compare to other regions? - The growth rate in India is significant due to its large population and potential for converting users to paying subscribers, unlike more saturated markets like the US [42] Question: What is the expected organic growth rate for the current catalog? - Management indicated that while they have had hits, they do not project another hit in fiscal year 2026, leading to a more conservative guidance [48]

Reservoir Media, Inc. (RSVR) came out with quarterly earnings of $0.04 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $0.04 per share a year ago. These figures are adjusted for non-recurring items. A quarter ago, it was expected that this company would post earnings of $0.03 per share when it actually produced earnings of $0.08, delivering a surprise of 166.67%. Over the last four quarters, the company has surpassed consensus EPS estimates just once. Reservoir Media, whic ...

Financial Performance - Total revenue for fiscal year 2025 was $158.7 million, representing a 10% increase compared to $144.9 million in fiscal year 2024[9] - Music Publishing revenue increased by 12% year-over-year to $107.4 million, while Recorded Music revenue grew by 4% to $44.3 million[9] - Operating income for fiscal year 2025 was $35.1 million, a 43% increase from $24.6 million in fiscal year 2024[11] - OIBDA for fiscal year 2025 rose 24% to $61.4 million, compared to $49.6 million in the previous year[11] - Net income for fiscal year 2025 was $7.7 million, or $0.12 per diluted share, compared to $0.8 million, or $0.01 per share, in fiscal year 2024[12] - For the fiscal year ended March 31, 2025, Reservoir reported revenues of $158.7M, a 10% increase from $144.9M in the previous year[29] - Operating income for the fiscal year 2025 was $35.1M, reflecting a significant 43% increase compared to $24.6M in fiscal year 2024[29] - Net income attributable to Reservoir Media, Inc. for fiscal year 2025 was $7.7M, up from $644.9K in fiscal year 2024[29] - OIBDA for the fiscal year ended March 31, 2025, was $61,360,000, up from $49,562,000 in 2024, reflecting a year-over-year increase of 23.8%[41] - Net income for the fiscal year ended March 31, 2025, was $7,731,000, significantly higher than $837,000 in 2024, indicating a substantial increase of 832.5%[46] Cash Flow and Liquidity - Cash provided by operating activities increased to $45.3 million, up $9.1 million from the previous fiscal year[19] - As of March 31, 2025, total available liquidity was $79.6 million, compared to $132.3 million as of March 31, 2024[20] - Cash and cash equivalents increased to $21.4M as of March 31, 2025, up from $18.1M in the prior year[30] Future Projections - The company expects mid-single-digit growth for both top and bottom lines in fiscal year 2026[1] - Reservoir expects fiscal year 2026 revenue to be in the range of $164M - $169M, representing a 5% growth at the mid-point[21] - Adjusted EBITDA for fiscal year 2026 is projected to be between $68M - $72M, indicating a 6% growth at the mid-point[21] Assets and Liabilities - Total assets as of March 31, 2025, were $865.1M, an increase from $783.5M as of March 31, 2024[30] - Current assets increased to $79.3M as of March 31, 2025, compared to $70.9M in the previous year[30] - Total liabilities rose to $498.9M as of March 31, 2025, from $429.0M a year earlier[32] Operational Highlights - The company signed multiple publishing deals, including with Snoop Dogg and Death Row Records, and acquired several publishing catalogs[4] - The launch of the new subsidiary, PopIndia, aims to enhance the company's international presence, particularly in the Middle East and North Africa[6] Non-GAAP Measures - Reservoir's management emphasizes the importance of non-GAAP financial measures for evaluating operations and performance[34] - The company emphasizes that OIBDA and Adjusted EBITDA are non-GAAP measures that provide insights into operational performance, but they should not be viewed as substitutes for GAAP measures[38] Interest and Expenses - The company reported an interest expense of $21,883,000 for the fiscal year ended March 31, 2025, compared to $21,088,000 in 2024, indicating a rise of 3.8%[46] - The amortization and depreciation expense for the fiscal year ended March 31, 2025, was $26,299,000, up from $24,986,000 in 2024, representing an increase of 5.2%[41] Segment Performance - The recorded music segment's OIBDA for the fiscal year ended March 31, 2025, was $22,749,000, up from $19,141,000 in 2024, which is an increase of 13.6%[44] - The music publishing segment's OIBDA for the fiscal year ended March 31, 2025, was $37,345,000, compared to $28,884,000 in 2024, reflecting a growth of 29.3%[42]

Core Viewpoint - Reservoir Media, Inc. (RSVR) has received an upgrade to a Zacks Rank 2 (Buy) due to an upward trend in earnings estimates, indicating a positive outlook for the company's stock price [1][3]. Earnings Estimates and Stock Price Movement - The Zacks rating system is based on the consensus measure of EPS estimates from sell-side analysts, which reflects the changing earnings picture of a company [1][2]. - Changes in earnings estimates are strongly correlated with near-term stock price movements, influenced by institutional investors who adjust their valuations based on these estimates [4][6]. Company Performance Indicators - For the fiscal year ending March 2025, Reservoir Media is expected to earn $0.11 per share, representing a significant increase of 1000% from the previous year's reported number [8]. - Over the past three months, the Zacks Consensus Estimate for Reservoir Media has increased by 57.1%, indicating a positive trend in earnings expectations [8]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 (Strong Buy) stocks historically generating an average annual return of +25% since 1988 [7]. - The upgrade of Reservoir Media to a Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, suggesting potential for market-beating returns in the near term [10].

Core Viewpoint - Reservoir Media, Inc. (RSVR) shows significant upside potential with a mean price target of $13.50, indicating a 66.1% increase from the current price of $8.13 [1] Price Target Analysis - The average price target consists of three estimates ranging from $12.50 to $15, with a standard deviation of $1.32, suggesting a consensus among analysts [2] - The lowest estimate indicates a 53.8% increase, while the highest suggests an 84.5% upside [2] - A low standard deviation indicates strong agreement among analysts regarding the stock's price movement [7] Earnings Estimates and Analyst Sentiment - Analysts have shown increasing optimism about RSVR's earnings prospects, as evidenced by a positive trend in earnings estimate revisions [9] - Over the last 30 days, the Zacks Consensus Estimate for the current year has increased by 57.1%, with two estimates moving higher and no negative revisions [10] - RSVR holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimates [11] Caution on Price Targets - While price targets are a common tool for investors, they can often mislead and should not be the sole basis for investment decisions [5][8] - Analysts may set overly optimistic price targets due to business incentives, which can inflate expectations [6]

Financial Data and Key Metrics Changes - Total revenue for the third quarter was $42.3 million, representing a 19% improvement year-over-year, driven by a 16% increase in music publishing revenue and a 20% increase in recorded music revenue [8][21] - Adjusted EBITDA was $17.3 million, reflecting a 26% improvement from the same quarter last year [8][23] - Net income for the quarter was approximately $5.3 million, compared to a net loss of $2.9 million in the same quarter of fiscal 2024 [24] Business Line Data and Key Metrics Changes - Music Publishing revenue increased 16% year-over-year to $26.9 million, primarily due to revenue growth from the existing catalog and a 20% increase in digital revenue [26][27] - Recorded music revenue rose by 20% year-over-year to $12 million, driven by a royalty recovery related to underreported usage and price increases at multiple music streaming services [27][28] Market Data and Key Metrics Changes - Reservoir took the sixth largest market share of top radio airplay and the eighth largest share of the Billboard Hot 100 [17] - Catalog streams in the United States continue to eclipse current music, representing over 73% of all on-demand audio streams [15] Company Strategy and Development Direction - The company is focused on growing and diversifying its portfolio of music and roster of creators through off-market deals [9][10] - Reservoir has deployed over $70 million across catalog acquisitions and expects to remain active in the market [10][11] - The company aims to build scale and grow its business through thoughtful capital deployment [64] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, citing a robust pipeline of off-market deals and the potential for ongoing revenue growth from royalty recoveries [37][61] - The company raised its full-year revenue guidance range from $150 million to $153 million to $155 million to $158 million, indicating an expected growth of 8% versus fiscal 2024 [30] Other Important Information - The company celebrated six wins at the 2025 Grammy Awards, highlighting the success of its affiliated talent [18] - Total liquidity as of December 31, 2024, was $92 million, consisting of $17.8 million in cash and $74.2 million available under its revolver [29] Q&A Session Summary Question: Were there any one-time items included in the outsized administrative expenses? - Management noted that the increase in operating expenses was primarily due to compensation for artist managers, which correlates with higher revenue [35] Question: Any updates on the pipeline for catalog acquisitions? - Management confirmed that the pipeline remains robust with a focus on off-market deals [37] Question: Insights on the Spotify Universal deal and its implications for Reservoir? - Management expressed optimism about the deal's terms and its potential industry-wide implications, though they did not have specific insights related to Reservoir [39] Question: Can you discuss the guidance implying a sequential decline in the usually strong quarter? - Management acknowledged that while there are one-time impacts, they build in conservatism in their guidance [46] Question: What drives the neighboring rights revenue issues? - Management explained that neighboring rights revenue can be impacted by the timing of hits and periodic retroactive cleanups, leading to variability [49] Question: How much of the debt is hedged and for how long? - Management stated that approximately $150 million of their debt is hedged, which extends through the current maturity of their facility in December 2027 [51] Question: Any changes to the deal pipeline given macroeconomic conditions? - Management indicated that there are no significant changes to the deal pipeline, which remains strong with high-quality assets [54]