PPL announced its 2014 financial results at its Annual General Meeting (AGM) on 3 June at King’s Place, London. The results show that income reached an all-time high of £187.1 million, a 6% uplift on 2013, with year-on-year growth delivered across all UK and International income streams, highlighting PPL’s commitment to deliver the best service possible to its members. Distributable revenues were also up 6% on the previous year to a record £161.2 million. The AGM was hosted by Chairman Fran Nevrkla OBE and featured renowned novelist Phillip Pullman as the keynote speaker.
Revenue from the public performance of recorded music across the UK increased by 10% to £76.7 million, continuing the pattern of strong growth in this area over a number of years. PPL grew Public Performance revenues by increasing licensing activity across a range of key sectors, whilst raising awareness of the value of music, and also continuing improvements to internal systems and processes.
International collections increased by 6% to £36.4 million in 2014. This was achieved despite a decline in the value of key currencies such as the euro and yen; from a currency neutral perspective PPL grew International collections by 12%. In 2014, PPL continued to invest in expanding its global reach, with nine additional agreements signed with international CMOs during 2014, taking the total to 75. In addition PPL continued to play a leading role in driving initiatives with CMOs in other territories to streamline IT systems and further improve the exchange and management of data.
Broadcast and Online revenue grew by 1% in 2014 to £74 million. This was largely achieved through a return to growth in commercial radio revenues. In the commercial television sector, where long-term licensing agreements are in place with all of the major broadcasters, revenue was flat year-on-year following some exceptional payments in 2013 that were not repeated in 2014.
Peter Leathem, PPL CEO said: “2014 has been a very good year for PPL members. We collected more revenue across all areas of our business in the UK and internationally and also paid out more of that revenue faster, to more members than ever before.
"We’re not resting on our laurels though, and will continue to invest in our systems and technologies to maximise revenues on behalf of our members. At the same time we are also rapidly progressing our joint working with PRS for Music in the UK and a whole range of CMOs overseas as we continue to seek more efficient and effective ways of working.“
Additionally, 2015’s AGM saw the approval of change the structure of the PPL Board following a proposal which was unanimously supported by the Board. The total number of performer directors will increase from five to six (sitting alongside eight record company directors, two executive directors from PPL’s management, and one non-industry director). The election of the new Elected Performer Director will take place at PPL’s Annual Performer Meeting in 2016.
Also at the event, Chairman Fran Nevrkla announced that he will be retiring at the end of 2015, following 15 years with the company. Fran started at PPL in 2000, initially as Chairman and CEO, before assuming the Chairman role outright in 2012.
Peter Leathem, who has been CEO since 2012, added: “Fran has presided over the most radical transformation of PPL in its 81 year history and also its most successful period as a company, overseeing 15 years of significant revenue growth. As a former professional violinist and record company executive he has worked tirelessly and with complete determination to do the best job possible for all of PPL’s record company and performer members. He has created the modern day PPL that myself and my team will aim to continue to drive forward. I would like to say a massive thank you to Fran from everyone at PPL for all that has been achieved and to wish him all the very best for his retirement.