ASCAP has posted a 5.3% increase in revenue to $985 million from the $935 million that the company reported in 2010. Moreover, the organization's operating expense ratio declined by two percentage points to 11.9%. That means the performance rights organization's expenses declined to $117.2 million from $130 million in the prior year, yet ASCAP was able to maintain the same levels of service and advocacy for its members.
"ASCAP has been able to deliver strong financial results for our members through licensing innovations, operational efficiencies and growth in foreign revenues," ASCAP CEO John LoFrumento said in a statement.
Collections from overseas totaled $347 million, up $50 million from the prior year, according to ASCAP.
"We will continue to meet the challenges of this economy and evolving music marketplace through innovation and by offering the best model for licensing the most in-demand repertory of music in the world," LoFrumento said. "In this unsettled time, our goal is to ensure a stable future for our members."
While revenues increased, royalties distributed to songwriters were down to $825 million in 2011, as compared to the $845 million paid out in the prior year that's due to the timing of when payouts are made, according to the organization.
In moving to keep revenue flow strong, the organization said it has licensed its music to thousands of new and established media services, including Netflix, Hulu and Spotify, which all signed blanket license agreements in 2011.
During the year, ASCAP says it streamlined operations by consolidating several departments.
ASCAP executive VP Randy Grimmett took on the added leadership of a "multi-functional membership department," overseeing creative services, business affairs, estates and claims, and marketing and communications. Vincent Candilor was promoted to executive VP from senior VP and giving leadership in all licensing-related areas. And London-based Roger Greenway was promoted to executive VP from senior VP, with all international operations reporting in to him.