Round Hill Music Spent $ 342 Million on 38 Catalogs, Profits Report Says
The Round Hill Music Royalty Fund invested $ 342 million in musical intellectual property, including “a 29.1% investment in RH Carlin Holdings”, between early August 2020 and late June 2021. The corresponding portfolio included north of 118 ,000 compositions and 750 main recordings (excluding The O’Jays’ 532-track recorded catalog), and royalty revenue totaled $ 16,288,444 during the stretch.
These and other notable numbers were revealed in the new Round Hill Music Royalty Fund earnings report, which as mentioned covers the period from August 2020 (when the entity was incorporated, having arrived at the London Stock Exchange last November) and June 30, 2021.
It should be noted at the outset that “approximately 75% of the compositions are over 20 years old” and approximately 75% of the fund’s income during the period came from “securities released more than 20 years ago”.
Regarding Round Hill’s precise financial position as of June 30, total current assets were $ 23,944,194. (The company and competing UK investment fund Hipgnosis use the US dollar as its primary currency.) Financial assets at fair value through profit or loss.
Round Hill’s total liabilities, for its part, stood at $ 37,946,664 throughout the roughly 11-month window, and the song fund reported royalty income of $ 16,288,444, as mentioned initially. The total aggregate loss of the fund reached $ 2,191,714 during the period.
The Round Hill Fund ranked “catalog depreciation” as its largest expense ($ 8,824,140) during the reporting period, followed by “investment management fees” ($ 1,788,531) and “fees. legal and professional ”($ 990,146), respectively. However, the fund has brought in Round Hill Music proper to act as an “investment manager” – meaning that the entire $ 1.79 million tranche will go to the business “in cash”, with “$ 864,592 outstanding” as of June 30.
The Round Hill Music ensemble (apparently “the sixth largest music publisher in the United States”) is also expected to receive “performance pay”, which stood at $ 304,232 at the end of the period (with the total amount overdue) and is “generally payable primarily in Shares subject to an 18-month lock-up agreement.
Finally, concerning the windfall that Round Hill itself will receive from the song fund, the publisher’s administrative work entitles him to “10% of all the net income he receives on behalf of the Group” – or 850 $ 717, including $ 497,707 outstanding as of June 30. And separately, a third Round Hill Music Royalty Fund was formed on September 22.
Perhaps the most interesting point to take away from the results report is the Round Hill Fund’s allocation of the sync license payments that the segment generated.
For example, “Expedia’s latest commercials featuring actress Rashida Jones” include a cover of “All By Myself” by Eric Carmen, and the placement reported costs to the reporting entity of $ 265,000. (“All By Myself” also won $ 30,000 from a placement in the final season of the US version of Shameless, according to the document.) And Jimmy John licensed The Hollies’ “Long Cool Woman in a Black Dress” for a Super Bowl commercial, paying $ 100,000, according to the text.
“’Aymo’, as recorded by Gramatik, was originally featured in a Porsche commercial that first aired during Super Bowl LIV, but has just been renewed for a second year at US $ 72,500,” continues the text. Turtles’ ‘Happy Together’ used in Toyota Hybrid ad outside UK for £ 250,000 [$338,630 at the present exchange rate]. “
Other synchronization investments (and their respective fees) described by the Round Hill Fund include:
- $ 164,000 – Honne’s cover of “What a Wonderful World” (written by George David Weiss and Bob Thiele) in “A Digital Campaign for the Luxury Brand of Hyundai Genesis”
- $ 62,500 – A cover of Howie Day’s “Collide” (co-written by Kevin Griffin) in a General Motors Periscope video featuring the “company’s new focus on safety and emissions.”
- “> US $ 44,000” – A modified version of “Before He Cheats” (written by Chris Tompkins and Josh Kear) in a State Farm radio commercial
- $ 75,000 – “Hold On To Me” by Valérie Broussard in a trailer for Kevin Hart Paternity – as well as $ 14,700 for Broussard’s “Shadow Self” (recorded by LSDREAM) in an NFL post-season promo
- $ 70,000 – Weezer’s cover of “Happy Together” (written by Garry Bonner and Alan Gordon) in a trailer for the upcoming Ron went wrong
- $ 50,000 – Gil Scot Heron’s “The Revolution Will Not Be Televised” in Trailer for Questlove’s by The Roots Drummer Summer of the soul
- $ 40,000 – Buggles’ “Video Killed the Radio Star” (written by Trevor Horn, Geoff Downes and Bruce Woolley) in trailer for Apple TV + Physical
- $ 20,000 – “Cherry Pie” by Warrant (written by Jani Lane) on CBS episode Young Sheldon
- $ 25,000 – “Paradise by the Dashboard Light” by Meat Loaf (written by Jim Steinman) in upcoming Netflix movie Housemaid
- $ 20,000 – “I would do anything for love (but I won’t)” by Meat Loaf – also written by Steinman – in a Netflix episode Q-Force
- $ 19,400 – “Best Day of My Life” by American Writers in ABC’s Commercial Call your mother
- $ 37,500 – “Good Lovin ‘” (written by Rudy Clark and Arthur Resnick) in a promo for the original Hulu Lisey’s story