Reservoir Media posts $41.5M in publishing and label revenue for the June quarter

Reservoir Media reported $41.5 million in revenue for the three months ended June 30, 2026, its fiscal Q1 2027, up 12% year over year, driven by a 6% rise in music publishing revenue and a 35% jump in recorded music revenue. Adjusted EBITDA grew 13% to $15.7 million, while operating income slipped 1% to $5.4 million and OIBDA rose 7% to $13.7 million.

The publishing segment brought in $26.5 million, with digital revenue up 7% to $15.4 million and performance revenue up 17% to $5.6 million. Synchronization revenue within publishing fell 3% to $4.0 million and mechanical revenue dropped 7% to $600,000.

The smaller recorded music division grew faster, up 35% to $14.1 million, with digital revenue climbing 23% on catalog acquisitions and streaming growth, and physical revenue up 54% to $1.7 million. CFO Jim Heindlmeyer said a jump in recorded music synchronization revenue, which rose to $1.4 million from $300,000, came from "a couple of large syncs that we closed during the quarter."

The results came alongside a run of new deals: a publishing agreement covering rapper T.I.'s entire catalog and future works, the acquisition of Latin catalogs Nacional Records and its publishing arm Canciones Nacionales, a new joint venture with Latin publisher TU Publishing, and a deal bringing UK executive Ollie Hodge's label Some Action under Reservoir's recorded music operations. CEO Golnar Khosrowshahi tied the Latin push to regional growth, citing IFPI data showing Latin America revenues grew 17.1% in 2025, the region's 16th straight year of growth.

Reservoir also expanded its songwriter roster during the quarter, signing producer Adam Kapit to publishing and adding alt-pop and rock artist Jarrett Doherty as the first signing through a new joint venture with Tinman, the publishing company founded by Reservoir writer Sam Tinnesz. Khosrowshahi said the company remains focused on "diversifying our business while ensuring we identify partners that share our long-term vision," pointing to the hip-hop catalog work with T.I. alongside the Latin music expansion.

Reservoir reiterated full-year guidance of $186 million to $191 million in revenue and $75 million to $79 million in adjusted EBITDA. Its results also arrive with a Special Committee of the company's board still weighing two rival take-private proposals disclosed in March: $10.00 to $11.00 per share from activist investor Irenic Capital Management, and $10.50 per share from existing shareholders Wesbild and Richmond Hill Investments. The committee has engaged Morgan Stanley & Co. as financial adviser and Wachtell, Lipton, Rosen & Katz as legal counsel, though Khosrowshahi said the company had no additional updates to share.