At its 2024 Annual General Meeting (AGM) held on 5 December, SAMRO announced a significant 15.4% increase in Total Company Licence Revenue, from R593.7 million in 2023 to R683.8 million in 2024. This growth is attributed to diversified licensing that has unlocked new revenue streams, which includes Amazon, Disney+, Kia Motors and Peermont, reinforcing SAMRO’s commitment to maximising value for its members.
The increased revenue has resulted in record-breaking royalty distributions, with a total of R429.2 million distributed, marking a significant 63.8% increase from the previous year. Royalties available for distribution have increased by 12.6%, amounting to R622.2 million, while new business contributed R35.9 million in total revenue, marking a 32.5% increase year on year. Digital revenue, a key growth area, has surged by 56.3% since 2023, indicating a marked shift in consumer behaviour, with more music being consumed through digital platforms.
SAMRO’s commitment to financial efficiency has resulted in the lowest Cost-to-Income ratio in a decade, dropping to 22.9% in 2024—a 2.1% decrease from the previous year and continuing a steady downward trend towards the organisation’s 20% target. By streamlining and optimising processes, SAMRO has been able to maximise royalty distributions while reducing overhead expenses. As a result, a greater portion of revenue is directed back to music creators, leading to higher royalty payouts and greater support for members.
"This accomplishment underscores our unwavering commitment to optimising cost- effectiveness and implementing prudent financial strategies. Seven years ago, the Cost- to-Income ratio stood at 40% and reducing it to 22.9% demonstrates our unwavering commitment to ensuring that more royalties go directly to members,” says SAMRO CEO, Annabell Lebethe.
This strong financial performance and commitment to efficiency lay the foundation for SAMRO’s ambitious future growth strategy. “We have revised our strategic targets, increasing our revenue goal from R1 billion to R1.2 billion by 2028. We aim to distribute R1 billion in royalties to our members by that period, and achieving this requires continued strategic investment in technology and process efficiencies to enhance revenue collection, streamline royalty distributions and expand our licensing footprint to unlock new revenue streams,” explains Lebethe.
“While these financial milestones are worth celebrating, we remain steadfast in our commitment to increasing value for members and reinforcing our role as a key advocate for music creators,” concludes Lebethe.
For more information on SAMRO’s financial performance and strategic initiatives, visit
www.samro.org.za.
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