Reservoir Media Raises FY 2025 Revenue Guidance to $158M Following 19% Q3 Revenue Increase

Reservoir Media reported a robust 19% increase in revenue for its fiscal third quarter ended December 31, 2024, reaching $42.3 million, driven by organic growth and strategic catalog acquisitions. The company also raised its fiscal year guidance, with adjusted EBITDA climbing 26% to $17.3 million. CEO Golnar Khosrowshahi highlighted the impact of rising subscription fees at streaming services and a recovery of underpaid royalties on their financial performance. Additionally, Reservoir's net income turned positive at $5.3 million, a significant improvement from a net loss a year prior. The company has been active in acquiring notable music catalogs, including works by Lebohang Morake and Lastrada Entertainment, which contribute to its expanding portfolio. Despite these gains, Reservoir Media's stock has underperformed compared to broader market indices this year, raising questions about its future trajectory.