Here are 1-2 brief analogies for Reservoir Media:

• A smaller, independent Universal Music Group (UMG).
• The independent equivalent of a major music publisher and record label, like Sony Music Group (SME).

• Music Publishing: Manages and monetizes the copyrights for musical compositions (lyrics and melody) by licensing them for performance, synchronization, and mechanical reproduction.
• Recorded Music: Manages and monetizes the copyrights for master sound recordings by licensing them for streaming, sales, and other commercial uses.

Major Customers of Reservoir Media (RSVR)

Reservoir Media (RSVR) primarily sells its music publishing and recorded music rights and associated services to other companies, rather than directly to individuals. Due to the diversified nature of the music rights business, Reservoir Media typically generates revenue from a vast number of licenses across various platforms and uses. Therefore, there isn't usually a single "major customer" that accounts for a substantial percentage of their total revenue (e.g., above 10% for SEC disclosure purposes) in the same way a manufacturing company might have a few large buyers. Instead, their major customers fall into distinct categories of businesses that license and exploit their musical catalog.

The principal categories of companies that serve as major customers or revenue sources for Reservoir Media include:

• Digital Service Providers (DSPs): These are companies that license Reservoir Media's catalog to make music available for streaming, downloads, and other digital uses to their global subscriber and user bases. These platforms generate significant royalties for Reservoir Media.
  • Spotify Technology S.A. (NYSE: SPOT)
  • Apple Inc. (NASDAQ: AAPL) (via Apple Music and iTunes)
  • Amazon.com, Inc. (NASDAQ: AMZN) (via Amazon Music)
  • Alphabet Inc. (NASDAQ: GOOGL) (via YouTube and Google Play Music)
• Film, Television, Advertising, and Video Game Production Companies: These entities license music from Reservoir Media for synchronization in their various media productions, including movies, TV shows, commercials, and video games.
  • Netflix, Inc. (NASDAQ: NFLX) (representing streaming content providers and production houses)
  • The Walt Disney Company (NYSE: DIS) (representing major film and television studios)
  • WPP plc (NYSE: WPP) (representing major advertising agencies)
  • Electronic Arts Inc. (NASDAQ: EA) (representing major video game publishers)
• Performing Rights Organizations (PROs) and Mechanical Rights Organizations (MROs): While these are intermediaries, Reservoir Media directly licenses to and receives significant royalty payments from these organizations. PROs and MROs collect royalties from a vast array of global users (e.g., radio stations, TV broadcasters, live venues, digital services) and then distribute these royalties to rights holders like Reservoir Media.
  • ASCAP (American Society of Composers, Authors and Publishers) - *Private Company*
  • BMI (Broadcast Music, Inc.) - *Private Company*
  • PRS for Music (UK) - *Private Company*
  • Harry Fox Agency (US Mechanical Rights Organization) - *Private Company*

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Golnar Khosrowshahi, Chief Executive Officer

Golnar Khosrowshahi founded Reservoir Media in 2007 and has led its growth into the first female-founded and led publicly traded independent music company in the U.S.. Prior to Reservoir, she gained experience in experiential marketing, design, and music licensing, and held roles as Global Brand Manager at Havas Advertising and with Philips Electronics and MCI Telecommunications. Khosrowshahi is a classically trained pianist. She has served on the boards of the New York Philharmonic and the National Music Publishers' Association, and previously chaired Silkroad. In 2021, Reservoir Holdings, which she founded, was acquired by Roth CH Acquisition II Co., a special purpose acquisition company (SPAC), for $407.69 million, leading to Reservoir Media becoming a publicly traded entity.

Jim Heindlmeyer, Chief Financial Officer

Jim Heindlmeyer has served as Chief Financial Officer of Reservoir Media since April 2021, having previously been the Executive Vice President of Operations from January 2020 to March 2021. He has over two decades of finance and management consulting experience in the entertainment industry. From July 2013 to October 2017, he was President and Chief Operating Officer of Yonder Music, an online music service, where he spearheaded its launch across multiple countries. Heindlmeyer also held executive finance positions at Beyond Oblivion and served as VP of Finance at TVT Records for over ten years. His career began as an auditor at KPMG US. Notably, he also served as the Chief Financial Officer for Roth CH Acquisition II Co., the SPAC that facilitated Reservoir Media's public listing.

Rell Lafargue, President & Chief Operating Officer

Rell Lafargue joined Reservoir Media at its inception and has been instrumental in building the company's infrastructure and expanding its global footprint. With over 25 years in the music industry, Lafargue previously served as Vice President at TVT Records and TVT Music Publishing. In that role, he helped revamp TVT Records' royalty system. At Reservoir, he has overseen significant acquisitions and integrations of music catalogs and record labels, including TVT Music Publishing, Chrysalis Records, and Tommy Boy Music. He is actively involved in the music industry, serving on boards such as the International Confederation of Music Publishers, the Mechanical Licensing Collective, and Music Publishers Canada.

The key risks to Reservoir Media's (RSVR) business include its significant reliance on debt for acquisitions, the potential loss of catalog rights, and projected tightening profit margins with slower revenue growth.

• High Debt Levels and Acquisition Strategy: Reservoir Media's growth strategy is heavily dependent on acquiring music catalogs, a process largely financed by debt. This has resulted in a high net debt-to-equity ratio and concerns about the company's ability to cover its interest payments and overall debt with operating cash flow. The volatility of interest rates further exacerbates this risk by directly impacting the cost of financing new acquisitions and managing existing debt.
• Potential Loss of Catalog Due to Recapture Rights: Under the U.S. Copyright Act, songwriters and recording artists possess rights to recapture ownership of their musical compositions or recordings after a statutory period. This legal provision represents a significant risk, as a loss of catalog rights could adversely affect Reservoir Media's business operations, cash flows, and overall financial health.
• Tightening Profit Margins and Slow Revenue Growth: Analysts anticipate a decline in Reservoir Media's profit margins over the coming years. This is attributed to increasing cost pressures, including inflation and rising administrative expenses such as higher compensation and technology costs. Additionally, the company's expansion into new areas like immersive entertainment carries execution and integration risks that could further impact profitability. Revenue growth is also forecast to be slower than the broader U.S. market rate, indicating potential challenges in top-line expansion.

The clear emerging threat for Reservoir Media is the rapid advancement and adoption of artificial intelligence in music generation and composition. As AI tools become increasingly sophisticated, capable of creating high-quality, customizable, and royalty-free or low-cost music across various genres, there is a risk of diminishing demand for licensing existing human-composed and performed music catalogs. This could particularly impact the value of sync rights for background music, advertising jingles, and library music, segments that contribute to Reservoir Media's revenue streams. If users and content creators increasingly turn to AI-generated music as a cheaper and more efficient alternative, it could devalue Reservoir Media's extensive catalog of music publishing and master recording rights over time.

Reservoir Media (symbol: RSVR) operates primarily in two main addressable markets: music publishing and recorded music.

• Music Publishing: The global music publishing market was valued at approximately USD 6.8 billion in 2023 and is projected to reach USD 13.7 billion by 2032, growing at a CAGR of 7.8% from 2024 to 2032. Another estimate valued the global music publishing market at USD 6.7 billion in 2023, poised to grow to USD 12.53 billion by 2032. In 2024, the global music publishing market size was estimated at USD 7.43 billion. North America holds a significant share of the global music publishing market, valued at USD 2.6 billion in 2024, and is expected to reach USD 4.5 billion by 2035.

• Recorded Music: The global recorded music market reached an estimated total market value of USD 36.2 billion in 2024. Other reports indicate global recorded music revenues were USD 29.6 billion in 2024, growing by 4.8% year-over-year. The global recorded music market is projected to expand at a compound annual growth rate (CAGR) of 20.6% from 2025 to 2033, with a valuation of USD 25.06 billion in 2025. North America holds the largest share of global recorded music revenues, accounting for 40.3% in 2024. The North America music market size was USD 12.5 billion in 2024 and is projected to reach USD 22.05 billion by 2031. The U.S. recorded music industry reached an all-time high of USD 15.9 billion in 2022, primarily driven by digital formats.

Expected Drivers of Future Revenue Growth for Reservoir Media (RSVR)

Over the next 2-3 years, Reservoir Media (RSVR) is expected to drive revenue growth through several key strategies:

1. Strategic Catalog Acquisitions: Reservoir Media consistently emphasizes an aggressive acquisition strategy, deploying significant capital to expand its music publishing and recorded music catalogs. This includes notable recent acquisitions such as the iconic Miles Davis catalog. These acquisitions enhance the company's market presence and are a primary driver for increasing recurring royalty streams.
2. Growth in Digital Revenue (Streaming and Synchronization): The company is capitalizing on the increasing importance of digital music consumption. Digital revenue, particularly from streaming services and synchronization licenses (licensing music for ads, films, and games), continues to be a strong growth area. Recent earnings reports highlight double-digit increases in both music publishing and recorded music, driven by digital and synchronization revenue.
3. International Expansion, particularly in Emerging Markets: Reservoir Media is actively expanding its global footprint, with a strategic focus on high-growth emerging markets. The company has launched initiatives like PopIndia to target markets in the Middle East and Asia, where streaming adoption is rapidly increasing, and has recently made acquisitions in the MENA region.
4. Value Enhancement of Existing and Acquired Catalogs: Reservoir Media employs an "asset value enhancement program" to actively manage and monetize its intellectual property. This involves leveraging data-driven royalty management and global distribution networks to unlock latent value from both existing and newly acquired catalogs, thereby enhancing their long-term revenue potential without significantly increasing administrative expenses.
5. New Artist Publishing Deals and Partnerships: The company continues to forge new publishing agreements and partnerships with a diverse range of artists, including both legacy and mainstream talents such as Snoop Dogg and k.d. lang. These deals expand Reservoir Media's intellectual property value and revenue base across various digital platforms.

Share Issuance

• Reservoir Media became a publicly traded company in July 2021 through a business combination with Roth CH Acquisition Co. II, involving a Private Investment in Public Equity (PIPE) of $150 million.
• The company's outstanding shares increased significantly, described as more than 50% over five years.
• Share-based compensation expense, a form of share issuance, totaled approximately $1.1 million for the three months ended June 30, 2025, and $1.3 million for the three months ended June 30, 2024.

Inbound Investments

• As part of its listing on Nasdaq in July 2021, Reservoir Media completed a common stock PIPE (Private Investment in Public Equity) totaling $150 million from third-party investors.

Outbound Investments

• As of March 31, 2025, Reservoir Media deployed and committed approximately $640 million in capital over the previous five years through acquisitions, frontline deals, and other initiatives.
• Significant catalog acquisitions include the legendary independent hip-hop and electronic record label Tommy Boy Music in 2021, the catalog of film-score composer Henry Jackman in March 2022, and the Miles Davis publishing catalog and recorded music in September 2025.
• The company also made strategic investments to expand its roster and global presence, such as acquiring catalogs from Iraqi company HFM Production and Kuwaiti singer-songwriter Essa Almarzoug in October 2025, and a multifaceted deal with Fool's Gold Records in June 2025.

Capital Expenditures

• Capital expenditures were approximately $21.31 million in 2020, $70.59 million in 2021, $96.51 million in 2022, $188.15 million in 2023, $137.14 million in 2024, and $170.47 million in 2025.
• The primary focus of these expenditures is on continued catalog acquisitions.