HIPGNOSIS' LATEST NUMBERS ARE REMERCKABLE
Merck Mercuriadis’ Hipgnosis Songs reported gross revenue of $91.7m in the six-month period that ended 9/30, up 7.5% over 2021.
The company reported a total net asset value return of about 1% over that six-month period. It's had a total NAV return of 60% in the four years since it launched.
Net revenue grew 5.8% over 2021 to $78.4m in the period. The value of Hipgnosis’ catalog of more than 65k songs stands at $2.67b. Streaming revenue was up 15%, and sync up 32%.
In announcing the results, Mercuriadis noted that annual audio streams in the U.S. have topped 1t for the first time, paid streaming subscriptions continue to grow globally and Apple Music has increased its price in major markets. On top of that, the past year saw a full return to live music. All the indicators, he underscored, demonstrate the strength of the Hipgnosis portfolio.
"These are all exciting indicators for the further growth that we will experience as income flows through the collection process into Hipgnosis," Mercuriadis said.
Hipgnosis Song Trust Chair Andrew Sutch pointed out that the company will soon see increased financial returns from social media, gaming and lifestyle channels.
"This market growth, coupled with the investment adviser's song-management capabilities and our portfolio of high-quality, iconic and culturally important songs, gives the board confidence that the company is capable of delivering superior shareholder returns over the medium term," he said.
