EX-99.1 2 tm2326007d1_ex99-1.htm EXHIBIT 99.1

Exhibit 99.1

 

of expe r i ence at m a j or m us i c co m pan i es Overview • Leading, diversified music publishing and recorded music business • Highly accomplished, respected and award - winning platform • Led by an experienced mgmt. team of music professionals with decades INVESTOR FACT SHEET N ASDAQ: RSVR | Q1’FY24 70% Music Publishing TTM Revenue Breakout* 30% Recorded Music & Other *For the period ended 6.30.23 First female - founded and led publicly traded independent music company in the U.S Since its founding in 2007 , Reservoir has grown to represent over 150 , 000 copyrights and 36 , 000 master recordings with titles dating as far back as 1900 , and hundreds of # 1 releases worldwide . RESERVOIR SNAPSHOT Q1 Financial Performance New York, NY Headquarters ~$350M Market Capitalization 65M Shares Outstanding March 31 st Fiscal Year End 202 1 202 2 202 3 202 1 202 2 202 3 202 1 202 2 202 3 202 1 202 2 2023 Investor contact: Alpha IR Group - Jackie Marcus or Alec Steinberg - RSVR@alpha - ir.com INVESTMENT HIGHLIGHTS $66 $77 $84 $14 $31 $38 - Publishing - Recorded Music & Other Revenue ($MM) $47 $64 $74 $32 $41 $46 Free Cash Flow ($MM) FISCAL YEAR FINANCIAL SUMMARY Gross Profit ($MM) Adj. EBITDA ($MM) $35 $40 $54 • Leading independent music company with proven platform • Competitive advantages & value enhancement capabilities • Proven M&A platform • Evergreen catalog & contemporary hits • Growing industry, supported by powerful secular tailwinds • Strong growth & operating leverage model ORGANIC REVENUE GROWTH Industry Organic Revenue CAGR Fiscal 2018 - 2023 (1) Wall Street Research Q 1 ’ F Y 2 4 Q 1 ’ F Y 2 3 Revenue $31 . 8M $24 . 3M O pe r a t in g Income $3 . 1M $1 . 3M Adj. EBITDA $10 . 1M $7 . 4M Growing industry supported by powerful secular tailwinds Reservoir Organic Revenue CAGR Fiscal 2018 - 2023 7% (1) Consistently outperforms the industry 13%

 

 

232 NEW DEALS CON S I D E R E D IN FY2023 97 OFFERS MADE 42 % 1 60 DEALS INTO EXCLUSIVITY 26% 1 55 DEALS CLOSED 24% 1 250+ M&A targets in current pipeline as of 6/30/23 totaling $2.0B+ $742M Capital deployed since inception 2 PIPELINE & DEAL FLOW 91% of gross profit and cost synergies should fall to Adj. EBITDA 3 12% Unlevered IRR since 2007 4 1 Based on total offers made, deals into exclusivity, and deals closed as a percentage of new deals considered in FY2022, respectively 2. As of 6 - 30 - 23 3. For the period FY18 - FY23 4. IRR represents a net return on invested capital since inception (2007) by the majority shareholder marking the investment to market upon close of SPAC merger RECENT NOTABLE DEALS Greg Kihn Willy Will Yanez Growth of paid streaming subscribers • Paid subs CAGR: 49% (2010 - 20) vs. 11% (2020 - 30) Expansion of emerging music monetization platforms • TikTok, Triller, Supernatural, Roblox Increased government intervention • Curb piracy and improved monetization rates for content owners Recovery in process across impacted royalty streams • Gym/bars/restaurants, synch, music releases, live music RECORDED MUSIC MUSIC PUBLISHING • 150K+ copyrights • 97% catalog retention for over 10 years • No musical composition accounts for more than 3% of revenue • 36K+ sound recording copyrights • 100% ownership of each master recording typically • No master recording accounts for more than 6% of Net Label Share 1 INVESTOR FACT SHEET N ASDAQ: RSVR | Q1’FY24 SECULAR GROWTH DRIVERS • Digital CAGR: 13% (2010 - 20) vs. 12% (2020 - 30) 4 1 Rise of digital & access to streaming 2 5 3 • EM to contribute 43% of streaming revenue by 2030 6 Growth of streaming in emerging markets vs. mid - double digits today The Spinners Rob Ragosta 1 Based on 80% of LTM Net Label Share (NLS) as of 12 - 31 - 22 excluding “Gangsta’s Paradise”