SAMRO distributed a record-high amount of R429 million to its members, reflecting a 63.8% increase from the previous year.
Image: File
Samro has reached unprecedented financial growth, achieving the highest revenue ever and the lowest Cost-to-Income (CTI) ratio in ten years.
This financial success positively benefits members by facilitating increased royalty distributions and fair compensation. The ongoing emphasis on financial sustainability and operational efficiency highlights the organization’s dedication to maximizing member earnings while bolstering long-term stability.
During its 2024 Annual General Meeting (AGM) on December 5, SAMRO reported a notable 15.2% rise in Total Company Licence Revenue, increasing from R593.7 million in 2023 to R683.8 million in 2024.
This expansion is fueled by a diversified licensing that has opened up new revenue avenues and strengthened SAMRO's mission to optimize value for its members.
Furthermore, new business generated R35.9 million in total revenue, marking a 32.5% year-on-year growth, while digital revenue—a crucial growth sector—rose by 56.3%, indicating a significant change in music consumption trends.
In the 2023/2024 financial year, Samro distributed a record-high amount of R429 million to its members, reflecting a 63.8% increase from the previous year.
The rise in revenue led to a 12.5% increase in distribution expenses (royalties available for distribution in 2025).
Samro’s focus on financial efficiency has resulted in the lowest Cost-to-Income ratio in a decade, decreasing to 22.9% in 2024—a 2.1% reduction from the prior year—continuing a consistent downward trajectory toward the organization’s target of 20%.
Samro CEO Annabell Lebethe shared that the organization has adjusted its strategic goals, raising the revenue target from R1 billion to R1.2 billion by 2028. Picture: Supplied
Image: Supplied
By refining and optimizing processes, Samro has maximized royalty distributions while lowering overhead costs. Consequently, a larger share of revenue is returned to music creators, leading to larger royalty payments and ensuring improved financial stability for members.
“This achievement highlights our unwavering commitment to enhancing cost-effectiveness and employing sound financial strategies. Seven years ago, the CTI ratio was at 40%, and our ability to lower it to 22.9% reflects our strong resolve to ensure more royalties are delivered directly to members,” stated Samro CEO Annabell Lebethe.
This impressive financial performance and commitment to efficiency set the stage for Samro’s ambitious growth strategy moving forward. “We have adjusted our strategic goals, raising our revenue target from R1 billion to R1.2 billion by 2028.
"We intend to allocate R1 billion in royalties to our members by that time, and achieving this will require ongoing strategic investments in technology and process improvements to boost revenue collection, simplify royalty distributions, and expand our licensing reach to uncover new revenue opportunities,” elaborated Lebethe.
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