SOCAN Confirms 2023 Financials Including Record High Royalty Distributions

SOCAN confirmed at its annual general meeting (AGM) in Montréal final 2023 financial results, including half a billion dollars ($523 million) in collections and record-high royalty distributions ($442 million) to songwriters, composers, and music publishers in Canada and around the world.

Jennifer Brown, CEO of SOCAN and a recent honouree as Billboard Canada’s Top-10 Power Players, commented:

“We are delighted with our record performance in 2023, but we recognize that our record-breaking revenues and distributions do not fully represent the challenges faced by Canadian music creators and publishers. Many SOCAN members have seen declining returns and insufficient promotion in the digital landscape, and there is the potential impact of generative artificial intelligence replacing the valuable work of music creators. That is why we are redoubling our efforts to deliver the technological advancements, government advocacy, and dedicated service that SOCAN members need to thrive in today’s evolving music ecosystem.”

In 2023, SOCAN focused on its ongoing transformation to support its members, which involved reprioritizing its projects and operational initiatives. These initiatives included establishing a partnership with Spanish Point Technologies, a leading technology solutions provider. This partnership is slated to revolutionize the collection and distribution of royalties in Canada.

Highlights of SOCAN’s 2023 results:

• $523 million total collections – an 8% increase over 2022.
• 9% year-over-year increase in total international royalty collections ($119.9-million).
• 8% year-over-year increase in revenue collected in Canada.
• 13% year-over-year increase in revenue from digital sources.
• $442 million total distributions – a 22% increase over 2022.
• Concert distributions increased from $6 million to over $17 million.
• Reproductions Rights royalty distributions increased to $9.9 million.
• Expense-to-revenue ratio was maintained at 12%.

SOCAN’s advocacy efforts in 2023 identified core AI principles that put human creativity at the forefront. The organization actively promotes these principles within domestic and international regulatory frameworks, advocating for them directly with the government.

In addition, SOCAN launched important initiatives to offer a tailored experience for existing members and the 5000 new members added in 2023. This involved expanding the team dedicated to member service in Québec and developing an ambassador program to support regional and audiovisual member segments, both in Canada and around the world, from within their respective communities. These strategic shifts are geared towards better serving SOCAN’s more than 190,000 members and aligning with its member-centric vision.

At the annual general meeting, SOCAN congratulated the newly elected 2024 board of directors, made up of songwriters, composers, and music publishers. The directors were elected for different terms, supporting SOCAN’s transition to a staggered election process to maintain continuity on the board while improving the transfer of information and experience.

Next year, the organization will move to an annual board election cycle, where six director positions will be up for election each year. For an overview of SOCAN’s 2023 activities and financials, please visit them here.