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RSVR

Reservoir Media, Inc.

RSVR

Reservoir Media, Inc. • NASDAQ
$7.62 ▲ 2.14% (+0.16)
Market Cap $499.76 M
52w High $9.83
52w Low $6.56
Dividend Yield 0%
P/E 50.8
Volume 62.85K
Outstanding Shares 65.59M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q2-2025 $45.435M ▲ $5.037M ▼ $2.258M ▲ 4.969% ▲ $0.03 ▲ $10.372M ▼
Q1-2025 $37.164M ▼ $11.211M ▲ $-555.659K ▼ -1.495% ▼ $-0.009 ▼ $12.695M ▼
Q4-2024 $41.418M ▼ $9.978M ▼ $2.667M ▼ 6.44% ▼ $0.041 ▼ $16.179M ▼
Q3-2024 $42.304M ▲ $10.964M ▲ $5.244M ▲ 12.396% ▲ $0.08 ▲ $19.789M ▲
Q2-2024 $40.667M $9.284M $185.015K 0.455% $0.003 $11.39M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q2-2025 $27.939M ▲ $903.536M ▲ $531.419M ▲ $370.937M ▲
Q1-2025 $14.857M ▼ $856.976M ▼ $486.868M ▼ $368.875M ▲
Q4-2024 $21.386M ▲ $865.127M ▲ $498.927M ▲ $364.878M ▲
Q3-2024 $17.76M ▼ $832.366M ▲ $471.583M ▲ $359.515M ▲
Q2-2024 $21.068M $778.232M $418.966M $357.915M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q2-2025 $2.258M ▲ $19.291M ▲ $-40.359M ▼ $34M ▲ $13.082M ▲ $19.165M ▲
Q1-2025 $-643.725K ▼ $6.014M ▼ $-9.659M ▲ $-2.509M ▼ $-6.529M ▼ $-1.958M ▲
Q4-2024 $2.721M ▼ $12.175M ▲ $-24.789M ▲ $16.002M ▼ $3.626M ▲ $-14.132M ▲
Q3-2024 $5.312M ▲ $11.233M ▼ $-61.229M ▼ $46.854M ▲ $-3.308M ▼ $-48.423M ▼
Q2-2024 $151.989K $13.316M $-8.803M $76.647K $4.709M $4.613M

Revenue by Products

Product Q3-2024Q4-2024Q1-2025Q2-2025
Other Segments
Other Segments
 $0 ▲$0 ▲$0 ▲$0 ▲

Five-Year Company Overview

Income Statement

Income Statement Reservoir’s income statement shows a young company scaling up steadily. Revenue and gross profit have risen each year, which suggests its growing catalog is being monetized more effectively over time. Operating profit has improved from only modest levels to a healthier gap between revenue and operating costs, pointing to better efficiency as the business grows. Net income has hovered around breakeven, only recently turning clearly positive, so profitability is still early-stage and not yet deeply established. Overall, this looks like a growth-focused media business that is gradually moving from “building the platform” toward more consistent earnings, but still with some earnings volatility risk.

Balance Sheet

Balance Sheet The balance sheet reflects a catalog-acquisition model: assets have expanded significantly as the company has bought more music rights. Debt has also increased, indicating Reservoir is using leverage to fund this growth, which boosts expansion potential but raises financial risk if conditions weaken. Equity has grown alongside assets, suggesting investors and retained earnings are helping support the balance sheet, not just borrowing. Cash on hand is relatively small compared with both assets and debt, which means the company likely depends on steady cash generation and access to credit rather than holding large cash reserves. Overall, it is a balance sheet built for growth through acquisitions, with meaningful but not extreme leverage that needs to be managed carefully.

Cash Flow

Cash Flow Cash flow highlights the trade-off Reservoir is making: operations generate cash, but heavy investment in catalogs and related assets keeps free cash flow negative. Operating cash flow has been trending upward, showing that the underlying business is becoming more cash-productive as the catalog grows. However, consistent outflows for catalog purchases and other long-term investments mean the company is, in practice, cash-consuming rather than cash-generating on a net basis. This pattern is typical for an acquisitive rights owner but implies reliance on financing and ongoing access to capital markets or lenders to sustain its growth strategy. If acquisition spending slowed, free cash flow could improve, but that might also temper growth.

Competitive Edge

Competitive Edge Reservoir has carved out a strong niche as a modern, independent music rights company with a wide and culturally rich catalog. Its mix of classic, evergreen works and newer hits helps smooth out changes in musical trends and creates diversified royalty streams. Strategic acquisitions like Tommy Boy Records, Chrysalis, and Shapiro Bernstein add both scale and prestige, while a disciplined, experienced management team appears adept at finding and enhancing valuable catalogs. The company differentiates itself with a bespoke, artist-centric approach, strong synchronization capabilities, and meaningful expansion into high-growth regions such as the Middle East, North Africa, and India. Competition remains intense from major labels, other large publishers, and financial buyers, and success depends on continued smart deal-making and effective monetization of acquired rights.

Innovation and R&D

Innovation and R&D Although Reservoir is not a pure technology firm, it uses data and digital tools in a sophisticated way to increase the value of its catalogs. Its “value enhancement” strategy focuses on active marketing, sync licensing, digital rights management, and legal clean-up to grow earnings from acquired assets rather than just collecting royalties passively. Partnerships tied to streaming, user-generated content, and developer platforms—such as YouTube’s Content ID and Adaptr—help capture revenue from newer digital formats and apps. The company is also experimenting with immersive experiences and IP-led shows, as seen with its investment in Lightroom and planned projects around iconic artists like Miles Davis. This innovation approach is more commercial and strategic than laboratory-style R&D, but it positions Reservoir to benefit from evolving ways fans experience music.

Summary

Reservoir Media looks like a scaling, acquisition-driven music company that is transitioning from building a portfolio to more fully monetizing it. The income statement shows steady revenue growth and improving operating performance, but only recently consistent bottom-line profits, indicating the story is still early in its maturation phase. The balance sheet and cash flows highlight a deliberate choice to use debt and significant investment spending to assemble a large catalog, accepting negative free cash flow as the cost of growth. Its competitive edge comes from a deep, diverse catalog, strong sync and marketing capabilities, and early, intentional moves into emerging markets and new experience formats. Key uncertainties center on execution of acquisitions, integration and monetization of rights, leverage management, and the broader economics of streaming and music licensing, all of which will shape how effectively this strategy converts into durable, growing cash earnings over time.

NEWS

November 4, 2025 · 7:00 AM UTC

Reservoir Media Announces Second Quarter Fiscal 2026 Results

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October 21, 2025 · 7:00 AM UTC

Reservoir Media to Release Second Quarter Fiscal Year 2026 Results on November 4, 2025

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September 9, 2025 · 8:00 AM UTC

Reservoir Acquires Catalog of Music and Cultural Icon Miles Davis

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