Broadcast Music Inc. (BMI), a non-profit-making U.S. music performing rights organization, announced that it will distribute more than $732 million in royalties for its 2006-2007 fiscal year to the songwriters, composers and copyright owners it represents, an eight-percent increase over the prior fiscal year. BMI attributed the rise in revenues to its robust music catalog, the successful licensing of music across a diverse range of media, and revenue growth in foreign markets.
BMI also posted record-setting revenues of more than $839 million, up seven percent from the prior year. Reportedly, this milestone represents the highest annual revenues and royalty distributions ever reported by a performing rights society. BMI also announced that overhead dropped to 12.7 percent, the lowest in the company's history.
BMI states that the increased usage of its diverse repertoire throughout many broadcast mediums has, over the past several years, recast the traditional revenue structure from one dominated by conventional over-the-air broadcasting to a new picture in which cable networks, satellite audio and video services, and digital media contribute increasingly significant revenue streams. Revenue streams from cable, satellite audio and video services grew $11 million, and BMI licensed almost 500 new digital media properties. It also reached long-term agreements with several major Web services.
Revenue from eating-and-drinking establishments, hospitality, retail and service establishments also increased substantially, reaching more than $93 million. BMI's foreign revenue benefited from increased market-share and favorable exchange rates, growing to more than $227 million.
"The dynamic growth and continued popularity of the BMI catalog have made these outstanding financial results possible at a time of unprecedented change in the media and entertainment business," says BMI's president and CEO, Del Bryant. "Our success is a reflection of developing win-win business solutions for both our affiliated songwriters and our customers, enabling us to respond to significant changes in our business environment that are part of the continued transition from the analog world to the digital."
BMI's fiscal year runs from July 1 to June 30. BMI's financial information excludes Landmark Digital Services, LLC, a wholly owned subsidiary.
For more information, visit www.bmi.com.