Reservoir Media(US:RSVR)2025-02-05 13:00Financial Performance - Total revenue for Q3 FY25 was $42.3 million, a 19% increase year-over-year, with organic growth of 16%[6] - Operating income for Q3 FY25 was $9.6 million, a 47% increase from $6.5 million in Q3 FY24[7] - OIBDA for Q3 FY25 was $16.3 million, reflecting a 26% year-over-year growth[7] - Net income for Q3 FY25 was $5.3 million, compared to a net loss of $2.9 million in the prior year[8] - Adjusted EBITDA increased by 26% to $17.3 million in Q3 FY25[7] - Revenues for the three months ended December 31, 2024, increased by 19% to $42,303,716 compared to $35,476,172 in 2023, while revenues for the nine months increased by 11% to $117,287,952 from $105,710,058[32] - Operating income for the three months ended December 31, 2024, rose by 47% to $9,557,957, and for the nine months, it increased by 56% to $24,641,516 compared to the previous year[32] - Net income attributable to Reservoir Media, Inc. for the three months ended December 31, 2024, was $5,244,091, a significant recovery from a loss of $2,963,059 in 2023[32] - Adjusted EBITDA for the three months ended December 31, 2024, was $16,272,000, up from $12,865,000 in 2023, while for the nine months, it increased to $44,170,000 from $34,425,000[37] - EBITDA for the three months ended December 31, 2024, was $19,789,000, significantly higher than $7,627,000 in the same period of 2023, representing an increase of approximately 160%[44] Revenue Breakdown - Music Publishing revenue rose to $26.9 million, up 16% year-over-year, driven by a 20% increase in digital revenue[10] - Recorded Music revenue increased by 20% to $12.0 million, attributed to royalty recovery and price increases at streaming services[13] Outlook and Guidance - The company raised its fiscal 2025 revenue outlook to between $155 million and $158 million, representing an 8% growth[17] Assets and Liabilities - Total assets as of December 31, 2024, were $832,366,342, an increase from $783,534,568 as of March 31, 2024[34] - Cash and cash equivalents decreased slightly to $17,760,030 from $18,132,015 as of March 31, 2024[34] - Total liabilities increased to $471,583,398 from $429,049,587 as of March 31, 2024, primarily due to an increase in secured line of credit[34] - The total current assets increased to $73,997,365 as of December 31, 2024, from $70,908,320 as of March 31, 2024, indicating improved liquidity[34] Other Financial Metrics - The company reported a basic earnings per share of $0.08 for both the three and nine months ended December 31, 2024, compared to a loss per share of $0.05 in the same periods of 2023[32] - Interest expense for the three months ended December 31, 2024, was $5,777,000, compared to $5,372,000 in the same period of 2023, indicating an increase of about 7.5%[44] - The company recorded a loss on foreign exchange of $76,000 for the three months ended December 31, 2024, compared to no loss in the same period of 2023[44] - Non-cash share-based compensation for the nine months ended December 31, 2024, was $3,334,000, up from $2,540,000 in the prior year, reflecting an increase of about 31%[44] - The company reported a gain on the disposal of an equity investment during the three months ended December 31, 2024, contributing to overall financial performance[46] - The loss on fair value of swaps for the three months ended December 31, 2024, was $(3,085,000), compared to a gain of $4,248,000 in the same period of 2023[44] - Income tax expense for the three months ended December 31, 2024, was $1,987,000, compared to a benefit of $(1,227,000) in the same period of 2023[44] - The company experienced a one-time write-off of recoupable legal fees amounting to $2,695,000 in the nine months ended December 31, 2023[46] Strategic Developments - Acquired the publishing catalog of Lastrada Entertainment, enhancing the company's portfolio with Grammy-winning titles[5] - Expanded relationships with notable artists and producers, including a deal with composer Lebohang Morake[5]