Download jaarverslag in PDF
More information and frequently asked questions
Submit your question
We are happy to supplement our FAQ with your question. Submit your question and receive a notification when we have included your question in our FAQ!
Movement in provision for temporary differences in cost absorption 2022 Stemra
The movements in this provision in 2022 concerned a distribution of €9.3 million and the positive net cost absorption for 2022: €0.7 million. The distribution of €9.3 million related to the difference between the position of the provision as at 31 December 2021 (€14.3 million) and the upper limit of the provision (€5.0 million). On 25 May 2022, the General Members’ Meeting approved the payment of this amount.
The funding surplus was mainly due to the fact that the withheld administration fees were €1.0 million higher than budgeted due to the higher royalties. Management costs were €0.3 million lower than budgeted, the other and financial income together amounted to €0.4 million higher than budgeted. Because the budget for 2022 had assumed a funding shortfall of €1.0 million, the total funding surplus amounts to €0.7 million.
Movement in provision for temporary differences in cost absorption 2022 Buma
The movement in this provision in 2022 concerned the negative net cost absorption for 2022: €24.6 million. This was largely due to the negative investment result, which was €29.0 million lower than budgeted. On the other hand, due to higher royalties, the withheld administration fees were €3.6 million higher than budgeted. Management costs were €1.5 million lower than budgeted. Because the budget for 2022 had already assumed a funding shortfall of €0.8 million, the total funding shortfall amounts to €24.6 million.
Financial income and expenses Stemra
€ -0,4 m
2021
€ -0,2 m
2022
Since the interest on liquid assets was negative in 2022 up to and including September, the financial income and expenses were €0.2 million negative on balance.
Management costs trend (budget 2023)
2,0%
Actual 2021
18,4%
Budget 2022
20,1%
Budget 2023
This standard focuses on the trend of the management costs level. The standard stipulates that the costs should not increase any more than the consumer index price of the year to which the annual report relates. The budgeted cost increase in 2023 is 20.1%. The actual CPI increase for 2023 will be known in early 2024.
The budgeted cost increase in 2023 is calculated in relation to the actual costs in 2022, which are lower than budgeted. The higher management costs in 2023 are caused by improvement and change initiatives, including the replacement of the IT system. Because the start was hampered by Covid-19 and tightness in the labour market, the expected growth in costs to make this possible has also remained limited in previous years. Improvements are expected in the 2023 budget.
Management costs vs distribution (budget 2023)
12,5%
Actual 2021
15,8%
Budget 2022
18,2%
Budget 2023
Under this item, the management costs are related to the distribution. In the 2023 budget, this results in an expense ratio of 18.2% for Buma/Stemra. This is higher than in previous years, which is caused by the higher budgeted management costs in 2023 due to further professionalisation of the organisation. This is expected to lead to higher collection flows from 2024. This will then also have the effect of further increasing the distribution in the future, as a result of which the cost percentage in relation to the distribution is expected to decrease from 2025. Buma/Stemra applies the cost standard with regard to collection and not the cost standard with regard to distribution, because the latter offers the option of controlling.
Management costs vs copyright royalties (budget 2023)
13,6%
Actual 2021
14,8%
Budget 2022
14,6%
Budget 2023
Under this item, management costs are related to the royalties. In the 2023 budget, this jointly results in an expense ratio of 14.6% for Buma/Stemra. Despite the rising management costs, this is lower than in the budget for 2022 (14.8%), which is caused by the higher royalties in 2023. The further professionalisation of the organisation is expected to lead to higher collection flows from 2024. This will also have the effect of further decreasing the cost percentage in relation to the royalties.
Movement in provision for temporary differences in cost coverage 2021 Stemra
The provision for temporary differences in cost coverage includes the €6.6 million appropriated reserve available at the end of 2020 plus the credit balance cost coverage over 2021 of €7.7 million.
This balance cost coverage includes a one-off gain of €7.1 million as a result of the amended Distribution Rules regarding the withholding of administrative fees. The administrative expenses were also lower than budgeted.
Movement in provision for temporary differences in cost coverage 2021 Buma
The provision for temporary differences in cost coverage includes the €33.8 million appropriated reserve available at the end of 2020 plus the credit balance cost coverage over 2021 of €10.7 million.
This balance cost coverage contains a €4.1 million difference between the realised investment result (€6.9 million) and the normative investment result used to partly cover the administrative expenses (€2.8 million). In addition, a one-off gain of €5.4 million was realised as a result of the amended Distribution Rules regarding the withholding of administrative fees, and the administrative expenses were lower than budgeted.
Management costs vs copyright royalties (budget 2022)
€ 13,4 m
Actual 2020
€ 13,5 m
€ 19,9 m
€ 16,1 m
Budget 2021
€ 14,8 m
Budget 2022
Under this item, the management costs are related to the copyright royalties. The standard is 15%.
In the 2022 budget Buma/Stemra jointly will meet this standard with a 14.8% cost ratio. On the basis of the provisional cost allocation, Stemra is expected to arrive at a cost ratio of 15.9%.
A decline is expected once the incidental high costs of replacing the obsolete IT system normalise and the results of the strategy implementation become visible.
Management costs vs distribution (budget 2022)
12,9%
Actual 2020
16,2%
Budget 2021
15,8%
Budget 2022
Under this item, the management costs are related to the distribution. The standard is 15%.
In the 2022 budget Buma/Stemra jointly does not meet this standard with a 15.8% cost ratio. This is mainly due to the COVID-19 impact on Buma’s funds available for distribution and the incidental high costs for the replacement of the outdated IT system. Once these effects normalise and the results of the implementation of the strategy become visible, this cost ratio is expected to decrease. Stemra is, however, expected to satisfy this standard in 2022.
Management costs trend (budget 2022)
4,3%
Actual 2020
13,8%
Budget 2021
6,0%
Budget 2022
The standard focuses on the trend of the management cost level. The standard stipulates that the costs should not increase any more than the consumer index price of the year to which the annual report relates.
The budgeted cost increase in 2022 will turn out higher than the change in the consumer price index for the year. This is due to the catching up on improvement and change initiatives postponed from previous years, including the replacement of the IT system. The actual change in the consumer price index for 2022 will not be known until early 2023.
Changes in the appropriated reserve Stemra 2020
The deficit from ordinary activities for 2020 was taken from the appropriated reserve. The extraordinary expense for the payment into the Music Industry Emergency Fund was taken from the continuity reserve. This appropriation of the result is included in the financial statements.
Provision for temporary differences in cost absorption Buma
The difference between the realized investment result (€ 8.7 million) and the normative investment result with which the management costs are partly covered (€ 2.0 million), ie € 6.7 million, is added to the appropriated reserve. This result appropriation is processed in the annual accounts.
Management costs vs distribution (budget 2021)
12,2%
Actual 2019
12,9%
Actual 2020 (provisionally)
16,2%
Budget 2021
Under this item, the management costs are related to the distribution. The standard is 15%.
In the 2021 budget, this standard is not satisfied. This is primarily because of Buma’s decreasing distribution in 2021, arising from the lower collection. Stemra is expected to satisfy this standard, however; distribution there is expected to increase, especially due to the catching up on private copy funds from previous years.
Management costs trend (budget 2021)
-10,2%
Actual 2019
4,3%
Actual 2020 (provisionally)
13,8%
Budget 2021
The standard focuses on the trend of the management costs level. The standard stipulates that the costs should not increase any more than the consumer index price of the year to which the annual report relates.
The budgeted cost increase in 2021 will turn out higher than the change in the consumer price index for the year. This is due to the catching up on improvement and change initiatives postponed from previous years, including the replacement of the IT system. The actual change in the consumer price index for 2021 will not be known until early 2022.
Over the series of several years, since the introduction of the standard, the development of the management costs has remained within the development in the consumer price index.
Management costs vs copyright royalties (budget 2021)
11,9%
Actual 2019
13,5%
Actual 2020 (provisionally)
16,1%
19,9%
16,1%
Budget 2021
Under this item, the management costs are related to the copyright royalties. The standard is 15%.
In the 2021 budget, this standard is not satisfied, mainly because of the decrease in collection of royalties as a result of the coronavirus measures. The budgeted management costs are also increasing, especially in connection with the necessary replacement of the outdated IT system. Without the impact of the coronavirus, the expense ratio would have remained below the standard of 15.0%.
Publication
Head office
Saturnusstraat 46-62
2132 hb hoofddorp
T: 023 – 799 79 99
E: info@bumastemra.nl
bumastemra.nl
Editorial board
vereniging buma
Realisation
Merkelijkheid
Management costs Stemra
€ 4,2 m
2017
€ 3,3 m
2018
€ 4,5 m
2019
€ 4,6 m
2020
€ 4,7 m
2021
€ 5,3 m
2022
Stemra’s management costs increased by €0.6 million to €5.3 million in 2022. This is €0.3 million lower than the budget for 2022. The allocation key of 83/17 (BumaStemra) has remained unchanged compared to previous years.
Stemra’s management costs rose mainly because the charged-on personnel costs of Buma increased in order to further implement the strategy. Growth in (external) FTEs forms part of this implementation. There was also an increase in costs due to the programme to replace the IT system (Pyramid) and higher outsourcing costs. Variable costs for outsourcing the processing of online music use rose in line with growth in this market segment.
Stemra’s management costs in 2022 consisted of personnel costs (€2.4 million), general costs (€2.7 million) and accommodation costs (€0.2 million).
Management costs Buma
€ 26,5 m
2017
€ 26,0 m
2018
€ 21,8 m
2019
€ 22,7 m
2020
€ 23,2 m
2021
€ 25,9 m
2022
Buma’s management costs increased by €2.8 million in 2022 to €25.9 million. This was €1.5 million lower than the budget for 2022. The allocation key of 83/17 (BumaStemra) has remained unchanged compared to previous years. Personnel costs allocated to Buma increased by €1.5 million and other general costs fell by €1.4 million. Accommodation costs were virtually the same and amortisation and depreciation decreased by almost €0.2 million.
Buma’s management costs in 2022 consisted of personnel costs (€11.9 million), general costs (€11.8 million), depreciation costs (€1.5 million) and accommodation costs (€0.7 million).
Changes in the appropriated reserve Stemra 2019
The surplus of the operating statement for 2019 is added to the appropriated reserve. This appropriation of the result is included in the financial statements.
Changes in the appropriated reserve Buma
The difference between the realised investment result (€ 8.7 million) and the normative investment result that is used to partially cover the management costs (€ 2.0 million), i.e. €6.7 million, was added to the appropriated reserve. This appropriation of the result is included in the financial statements.
Changes in the appropriated reserve Buma 2019
The difference between the realised investment result (€ 15.9 million) and the normative investment result that partially covers the management costs (€ 2.2 million), i.e. € 13.7 million, is added to the appropriated reserve. This appropriation of the result is included in the financial statements.
Management costs trend
-4,6%
Actual 2018
-3,8%
Budget 2019
3,5%
Budget 2020
The standard focuses on the trend of the management costs level. The standard stipulates that the costs should not increase any more than the consumer index price of the year which the annual report relates to.
Potentially, the 2020 cost increase due to initiatives for improvement and change will be higher than the CPI change in that year. This cannot be determined – and if necessary explained – until the actual CPI change is known at the beginning of 2021.
Management costs vs distribution
€ 14,2 m
Actual 2018
€ 13,2 m
Budget 2019
€ 13,0 m
Budget 2020
Under this item, the management costs are linked to the distribution. The standard is 15%. This standard is met in Budget 2020.
Management costs vs copyright royalties
13,7%
Actual 2018
13,2%
Budget 2019
13,0%
Budget 2020
Under this item, the management costs are related to the royalties. The standard is 15%. This standard was satisfied in 2022.
Management costs trend Stemra
41,0%
2017
-21,3%
2018
35,6%
2019
4,3%
2020
2,0%
2021
11,9%
2022
The CPI movement in 2022 was 10.0%. The cost development at Stemra exceeded this percentage; this standard was therefore not satisfied in 2022. This is explained by the fact that Stemra invested in realisation of the strategy in 2022, which had been postponed in previous years due to COVID-19.
Management costs vs Distribution Stemra
16,2%
2017
13,1%
2018
15,5%
2019
14,9%
2020
8,9%
2021
8,0%
2022
Under this item, the management costs are related to the distribution. The standard is 15%. This standard was satisfied in 2022.
Management costs vs copyright royalties Stemra
11,5%
2017
10,2%
2018
13,8%
2019
12,9%
2020
11,8%
2021
11,9%
2022
Under this item, the management costs are related to the royalties. The standard is 15%. This standard was satisfied in 2022.
Management costs trend Buma
5,3%
2017
-1,9%
2018
-16,0%
2019
4,3%
2020
2,0%
2021
11,9%
2022
The CPI movement in 2022 was 10.0%. The cost development at Buma exceeded this percentage; this standard was therefore not satisfied in 2022. This is explained by the fact that Buma invested in realisation of the strategy in 2022, which had been postponed in previous years due to COVID-19.
Management costs vs Distribution Buma
15,9%
2017
14,5%
2018
11,8%
2019
12,5%
2020
13,8%
2021
12,6%
2022
Under this item, the management costs are related to the distribution. The standard is 15%. This standard was satisfied in 2022.
Management costs vs copyright royalties Buma
15,3%
2017
14,3%
2018
11,6%
2019
13,6%
2020
14,1%
2021
11,8%
2022
Under this item, the management costs are related to the royalties. The standard is 15%. This standard was satisfied in 2022.
Income Stemra
€ 3,7 m
2017
€ 4,4 m
2018
€ 5,0 m
2019
€ 4,8 m
2020
€ 12,8 m
2021
€ 6,2 m
2022
Income rose by €6.8 million in 2022. This was due to a one-off gain (€7.1 million) in 2021 resulting from the transition from realising the cost withholding at the distribution moment to realising it at the collection moment.
Financial income and expenses Buma
10,4
2017
-7,9
2018
15,4
2019
8,7
2020
6,6
2021
-27,1
2022
The financial income and expenses in 2022 mainly concerned the net investment result (-€26.7 million). Both the return on equity investments (-19.1%) and the return on fixed-income securities (-13.8%) were negative. The negative investment result for 2022 was in line with the overall development of the investment markets, which experienced a bad year due to, among other things, the war in Ukraine and the rise in interest rates.
The negative investment result was absorbed by the provision for temporary differences in cost absorption.
Income Buma
€ 22,9 m
2017
€ 23,6 m
2018
€ 20,0 m
2019
€ 20,8 m
2020
€ 27,3 m
2021
€ 28,4 m
2022
Income rose by €1.1 million in 2022. This was due to higher administration fees on collection (+€6.4 million) due to higher royalties revenue in 2022. The increase in the total income at Buma was lower because in 2021, a one-off gain (€7.1 million) was recognised resulting from the transition from realising the cost withholding at the distribution moment to realising it at the collection moment.
Distributed to CMO’s abroad Stemra
€ 2,1 m
2017
€ 2,7 m
2018
€ 3,4 m
2019
€ 2,6 m
2020
€ 5,7 m
2021
€ 7,0 m
2022
Distributed to rights owners Stemra
€ 20,8 m
2017
€ 22,4 m
2018
€ 25,4 m
2019
€ 28,5 m
2020
€ 42,9 m
2021
€ 54,3 m
2022
Addition to Fund for Social and Cultural Purposes
€ 9,9 m
2017
€ 10,5 m
2018
€ 10,9 m
2019
€ 8,6 m
2020
€ 7,9 m
2021
€ 10,6 m
2022
Distributed to CMO’s abroad Buma
€ 53,5 m
2017
€ 57,9 m
2018
€ 55,0 m
2019
€ 57,5 m
2020
€ 52,1 m
2021
€ 58,9 m
2022
Distributed to rights owners Buma
€ 84,3 m
2017
€ 87,3 m
2018
€ 95,3 m
2019
€ 95,5 m
2020
€ 87,5 m
2021
€ 108,4 m
2022
Abroad Stemra
€ 3,8 m
2017
€ 5,7 m
2018
€ 3,8 m
2019
€ 4,1 m
2020
€ 4,0 m
2021
€ 4,1 m
2022
As in 2021, royalties from abroad in 2022 remained almost the same as in the previous year.
Home copy / Lending right / Graphic
€ 10,3 m
2017
€ 5,3 m
2018
€ 5,8 m
2019
€ 4,4 m
2020
€ 4,1 m
2021
€ 4,2 m
2022
In the Private Copy / Public Lending Rights category, €0.1 million more was collected in 2022 compared to last year.
Online Stemra
€ 5,3 m
2017
€ 5,3 m
2018
€ 7,5 m
2019
€ 11,7 m
2020
€ 13,8 m
2021
€ 16,5 m
2022
The growth in royalties from online music use also continued in 2022. As in previous years, Online had the largest share in Stemra’s collection in 2022 (37%), while in 2009, it still had the smallest share (3%). In 2022 Stemra’s collection from online music use increased by €2.8 million, or 20.0%.
Radio & TV Stemra
€ 7,0 m
2016
€ 5,8 m
2017
€ 6,6 m
2018
€ 6,1 m
2019
€ 6,4 m
2020
Compared to 2021, royalties from the Radio & TV category increased by €0.5 million. This is mainly as a result of the growing income from commercial TV channels, which generates a larger share in royalty income for Stemra.
PIEB
€ 4,9 m
2017
€ 3,9 m
2018
€ 4,0 m
2019
€ 5,3 m
2020
€ 6,1 m
2021
€ 5,8 m
2022
The decline in royalties from Productions In Own Management (PIEB) and Special Licensing was in line with the declining trend of recent years.
BIEM
€ 6,1 m
2017
€ 5,6 m
2018
€ 4,9 m
2019
€ 4,2 m
2020
€ 5,5 m
2021
€ 6,7 m
2022
The royalties from BIEM contracts for mechanical sound carriers, a traditional Stemra market segment, increased by €1.2 million compared to 2021. This was mainly thanks to improved market conditions for vinyl.
Abroad Buma
€ 14,7 m
2017
€ 16,5 m
2018
€ 16,4 m
2019
€ 15,2 m
2020
€ 13,6 m
2021
€ 18,9 m
2022
Royalties from abroad increased by €5.3 million in 2022 compared to 2021. The recovery that was visible in various market segments at Buma can also be seen at the sister societies.
Online Buma
€ 13,6 m
2017
€ 13,7 m
2018
€ 19,0 m
2019
€ 29,9 m
2020
€ 36,0 m
2021
€ 42,8 m
2022
Royalties in the Online market segment increased further to €42.8 million in 2022. That is an increase of 19% compared to 2021 and more than double the level of 2019, both for Video on Demand and streaming and downloads. Due to the recovery in other market segments (especially Live Performances), the share of Online in the total collection of Buma fell from 22% in 2021 to 20% in 2022.
Restaurants and bars
€ 14,3 m
2017
€ 14,9 m
2018
€ 15,2 m
2019
€ 9,1 m
2020
€ 7,8 m
2021
€ 13,4 m
2022
The Restaurants and Bars market segment was hit hardest by the COVID-19 measures and in 2022 saw an increase in royalties by €5.6 million to €13.4 million. This is still €1.8 million less than in 2019. The expectation is that royalties in 2023 will exceed the level of 2019.
Workspaces, shops and stores
30,9
2017
30,4
2018
30,7
2019
29,4
2020
28,0
2021
33,2
2022
As with Live Performances, the category of Workspaces, shops and stores also showed a recovery in 2022. Compared to 2021, royalties for this income category increased by €5.2 million to €33.2 million. This is €2.5 million more than in 2019.
Live performances
€ 30,7 m
2017
€ 34,1 m
2018
€ 35,2 m
2019
€ 16,0 m
2020
€ 6,4 m
2021
€ 35,7 m
2022
In 2022, the events market showed a faster recovery than expected. Income from the Live Performances market segment amounted to €35.7 million in 2022. This is a small increase (+€0.5 million) compared to 2019 (the last year without COVID-19 impact) and a large increase compared to last year (+€29.3 million), when the events market was still suffering from a large number of cancelled and postponed performances and events. The number of licensed performances and events increased from 17,600 in 2021 to 55,000 in 2022. The share of this market in Buma’s total collection increased from 4% in 2021 to 16% in 2022.
Radio & TV Buma
€ 68,2 m
2017
€ 71,4 m
2018
€ 71,2 m
2019
€ 67,9 m
2020
€ 72,7 m
2021
€ 74,7 m
2022
The Radio, TV and Providers market segment grew from €2.0 million to €74.7 million. This market had already recovered from the COVID-19 impact in 2021 and, at 34% in 2022, will remain the market segment with the largest share in Buma’s total collection.