ASCAP’s revenue grew by just million in 2021 and failed to meet BMI’s annual collections
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ASCAP’s revenue grew by just $8 million in 2021 and failed to meet BMI’s annual collections

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US music licensing company ASCAP has raised $1.335 billion in calendar year 2021, an increase of just $8 million (+0.6%) from revenue in the previous year.

That annual increase in collections was the smallest in monetary terms for ASCAP since way back in 2013.

The reason for such moderate annual growth? Covid-19 lockdowns are taking a serious bite out of the PRO’s international income in certain key areas.

ASCAP’s Domestic (US) Collections Increased $42 million year on year, on $1.01 billion†

However, when it came to collections of royalties outside the US in 2021 – as paid for by foreign carriers – it was a very different story.

ASCAP’s international revenues amounted to $323.5 million in 2021, down $34.5 million at the equivalent figure the PRO reported for 2020 ($358 million).

The CEO of the PRO, Elizabeth Matthews, writes in ASCAP’s annual report that the annual decline in performance royalties is primarily attributed to “business closures and lack of vaccinations” in certain non-U.S. territories.

As a result of these difficulties, ASCAP’s total global collections in calendar 2021 ($1.335 Billion) failed to meet the last reported annual sales of its closest rival, BMI.

BMI’s last confirmed annual collection figure was: $1.361 billion in the 12 months to the end of June 2021, although this figure was lowered by BMI’s decision to switch to ASC 606 reporting.

(If BMI had continued to report as in previous years, the collection number would have been from FY 2021) $1,409 billion† see below.)

ASCAP’s $8 million increase in total collections in 2021 was nearly seven times smaller than the year-over-year increase the organization saw in both 2020 (+$53 million) and 2019 (also +$53 million).

infographic BMI income

ASCAP had better news for its writers and publishers customers when it came to its payouts (“distributions”) over the course of 2021.

According to ASCAP’s latest annual report, it paid in total $1,254 billion in 2021, up $41 million YoY.

That marked a jump in the annual growth that ASCAP customers saw in the money they received: ASCAP posted an annual payout growth of $29 million in the year 2020.

(It’s no doubt obvious to MBW readers, but just in case: The reason ASCAP’s YoY collection growth has slowed in 2021 while annual payout growth has accelerated is because of the lag between the money being collected by the organization — and the International Affiliates — and the date this money ends up in the bank accounts of songwriters and publishers.)

BMI’s payout figure for FY2021 was bigger again – at $1.335 Billion – then ASCAPs in calendar 2021 ($1.254 billion†

According to Elizabeth Matthews, ASCAP’s domestic (US) payouts in 2021 were $912.6 million, up $22 million from the previous year.

The organization’s payouts to members from international collections were $341 million in 2021, an increase of $19 million year-over-year.

In its annual report, ASCAP confirmed that its total membership of publishers, songwriters and composers ended at “over 850,000” by the end of 2021.

With that total annual payout of $1,254 billion in the year, that means the average average payout to an ASCAP member over the 12 months of 2021 was about $1,475, or about $123 per month.

(It goes without saying that a minority of ASCAP members, including hit songwriters and major music publishers, would have made much, much more than that average figure for the year.)

“The ASCAP team is committed to building a better music future for our songwriter, composer and music publishers.”

Elizabeth Matthews, ASCAP

ASCAP closed 2020 with approximately 800,000 customers, meaning approximately 50,000 more in 2021.

BMI reported that in FY2021 (until the end of June last year, remember), its affiliate membership grew 11% to 1.2 million, with nearly 120,000 new songwriters, composers and publishers joining the organization.

Elizabeth Matthews, addressing songwriters in the latest ASCAP annual report, said: “The ASCAP team is committed to building a better music future for our songwriter, composer and music publishers. I am so grateful for the incredible work the team will do in 2021. 24 hours a day to achieve that goal.

“I promise you that we will continue to take every step necessary to ensure that you can keep making the world’s best music.”Music company worldwide