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.

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the COVID-19 impact on Buma’s funds available for distribution and the incidental high costs for the replacement of the outdated IT system.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.

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.

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.

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.

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%.

The management costs increased by 4.3% compared to 2019, to € 4.6 million, mainly as a result of allocated costs for the IT system replacement programme started in 2020 and because of the increase in variable costs for outsourcing the processing of Online music use, which increased in line with the growth in this market segment.

Stemra’s management costs in 2020 consisted of personnel costs (€ 2.1 million), general costs (€ 2.4 million) and accommodation costs (€ 0.1 million).

The management costs increased by € 0.9 million to € 22.7 million compared to 2019. Of this, € 0.5 million related to the IT system replacement programme started in 2020. Cost control measures, including a recruitment freeze, ensured that Buma’s management costs remained € 1.3 million under the budget for 2020. As in 2019, an allocation key of 83/17 (Buma/Stemra) was used.

Buma’s management costs in 2020 consisted of personnel costs (€ 10.1 million), general costs (€ 10.0 million), depreciation costs (€ 1.8 million) and accommodation costs (€ 0.8 million).

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.

Under this item, the management costs are linked to the distribution. The standard is 15%. This standard is met in Budget 2020.

Under this item, the management costs are linked to the copyright royalties. The standard is 15%. This standard is met in Budget 2020.

The CPI movement in 2020 was 1.3%. This standard was not met in 2020. This was due on the one hand to the strong increase in collected copyright royalties for Online music use and the related increase in costs for outsourcing of the processing. On the other hand, the costs of maintaining the outdated IT system and the IT transition that has been started have increased.

The management costs at Stemra have decreased by 21.5% compared to 2015, from € 5.9 million to € 4.6 million. The joint costs of the Buma/Stemra work organisation increased by 0.7% in the same period. The cumulative increase in the consumer price index since 2015 is 7.5%. Over the series of several years, Stemra and the joint Buma/Stemra work organisation met the standard that management costs should not increase more than the consumer price index.

Under this item, the management costs are related to the distribution. The standard is 15%. This standard was met in 2020.

Under this item, the management costs are related to the royalties. The standard is 15%. This standard was met in 2020.

The CPI movement in 2020 was 1.3%. This standard was not met in 2020. This was due on the one hand to the strong increase in collected copyright royalties for Online music use and the related increase in costs for outsourcing of the processing. On the other hand, the costs of maintaining the outdated IT system and the IT transition that has been started have increased.

The management costs at Buma have risen by 6.9% compared to 2015, from € 21.2 million to € 22.7 million. The cumulative increase in the consumer price index since 2015 is 7.5%. Over the series of several years, Buma met the standard that management costs should not increase more than the consumer price index.

Under this item, the management costs are related to the distribution. The standard is 15%. This standard was met in 2020.

Under this item, the management costs are related to the royalties. The standard is 15%. This standard was met in 2020.

Total income from contributions and administration fees withheld from distribution decreased by 3.0% in 2020 despite higher distributions. The reason for this is that in 2020, a relatively large amount was distributed in sections where a low percentage is withheld (Audiovisual Commercials and Abroad). Distributions in the RTV section, on which the highest percentage is withheld, actually decreased compared to 2019.

The financial income and expenses in 2020 mainly concerned the net investment result (€ 8.7 million). In 2020, a return of 4.9% was achieved on the investment portfolio. In particular, investments in equities (+13%) and emerging markets (+8%) achieved good returns. It was a turbulent year, however, in which the value of our investments fell sharply following the outbreak of the Covid-19 pandemic in March. A normative result was used to partially cover management costs; the additional investment result was added to the appropriated reserve through the appropriation of the result.

Income in 2020 increased by 3.6%, mainly because a higher deduction of administration fees was needed to cover the management costs.

Because we increasingly license the international Online music use of the repertoire registered with us directly to large Digital Service Providers, the non-Online markets in particular increasingly have an influence on the royalties from the market segment Abroad (collection via sister organisations). Collection from abroad showed an increase in 2020 (€ 0.4 million). That was better than expected; for 2020 we had taken into account a carve-out effect of the Online royalties.

The revenues Stemra receives from the Private Copying Foundation (Stichting Thuiskopie) have fluctuated in recent years, particularly as a result of supplementary payments received under the out-of-court settlement of the dispute with the Dutch State. The decrease in 2020 was mainly due to the 20% reservation that the Private Copying Foundation retained because of the main distribution that has yet to be determined.

Online has been an important growth segment for a number of years. The increase in royalties in 2020 exceeded expectations. Online music use increased strongly, both in terms of streaming and video on demand. Stemra concluded new licence agreements with several large parties, which contributed to further growth. Additional royalties were also collected for usage in previous years. In 2020, 32% of Stemra’s total rights collection came from Online (2019: 23%) and the growth in this category compensated for the decline in the traditional Stemra markets.

The royalties from Productions In Own Management (PIEB) rose in 2020 due to a large one-off gain of € 1.8 million from an audiovisual commercial during the Super Bowl (American football) in the United States.

The royalties from BIEM contracts for mechanical music carriers, a traditional Stemra market segment, dropped even further in 2020 due to the contracting market for mechanical rights, particularly for CDs.

Because we increasingly license the international Online music use of the repertoire registered with us directly to large Digital Service Providers, the non-Online markets in particular increasingly have an influence on the royalties from the market segment Abroad (collection via sister organisations). The decrease in 2020 was less than expected; we had taken into account a larger carve-out effect of the Online royalties.

Online has been an important growth segment for a number of years. The increase in royalties in 2020 exceeded expectations. Online music use increased strongly, both in terms of streaming and video on demand. Buma concluded new licence agreements with several large parties, which contributed to further growth. Additional royalties were also collected for usage in previous years.

The royalties from public use in Restaurants and bars decreased by 40% in 2020 due to the compensation for the periods when this sector was forced to close.

The income from public use in Workspaces, shops and stores decreased by 4% in 2020 due to the compensation for the periods when sales areas were forced to close.

In 2020, the royalties from the Live performances market fell by 54% as Covid-19 caused the cancellation of virtually all performances and events from March onwards. The number of licensed performances and events fell by 65% from over 101,500 in 2019 to over 36,000 in 2020.

The income from the Radio & TV market has been under pressure for several years now. The decline in watching TV linearly affects the size of the market for TV commercials. The outbreak of the Covid-19 pandemic caused advertising revenues to fall sharply. For TV, this recovered to more normal levels in the course of 2020, the recovery was more limited for Radio.