Reservoir Media, Inc. 10-Q

Item 1. Financial Statements. RESERVOIR MEDIA, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF INCOME (In U.S. dollars, except share data) (Unaudited) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended December 31, Nine Months Ended December 31, ​ ​ ​ ​ 2025 ​ ​ ​ 2024 ​ ​ ​ 2025 ​ ​ ​ 2024 Revenues ​ $ 45,567,879 ​ $ 42,303,716 ​ $ 128,167,223 ​ $ 117,287,952 Costs and expenses: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Cost of revenue ​ ​ 16,197,952 ​ ​ 15,068,042 ​ ​ 45,922,872 ​ ​ 43,180,529 Amortization and depreciation ​ ​ 7,789,274 ​ ​ 6,713,621 ​ ​ 22,659,874 ​ ​ 19,528,397 Administration expenses ​ 11,253,191 ​ 10,964,096 ​ 33,123,780 ​ 29,937,510 Total costs and expenses ​ 35,240,417 ​ 32,745,759 ​ 101,706,526 ​ 92,646,436 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Operating income ​ 10,327,462 ​ 9,557,957 ​ 26,460,697 ​ 24,641,516 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Interest expense ​ ( 6,584,013 ) ​ ( 5,776,861 ) ​ ( 19,621,628 ) ​ ( 15,796,667 ) (Loss) gain on foreign exchange ​ ( 88,508 ) ​ ( 76,431 ) ​ 619,896 ​ ( 172,242 ) (Loss) gain on fair value of swaps ​ ​ ( 270,380 ) ​ ​ 3,084,761 ​ ​ ( 1,583,543 ) ​ ​ ( 2,532,441 ) Other (expense) income, net ​ ( 103,113 ) ​ 509,263 ​ ( 357,596 ) ​ 410,774 Income before income taxes ​ 3,281,448 ​ 7,298,689 ​ 5,517,826 ​ 6,550,940 Income tax expense ​ 1,078,418 ​ 1,987,150 ​ 1,754,665 ​ 1,540,589 Net income ​ ​ 2,203,030 ​ ​ 5,311,539 ​ ​ 3,763,161 ​ ​ 5,010,351 Net (income) loss attributable to noncontrolling interests ​ ​ ( 7,045 ) ​ ​ ( 67,448 ) ​ ​ 135,006 ​ ​ 72,100 Net income attributable to Reservoir Media, Inc. ​ $ 2,195,985 ​ $ 5,244,091 ​ $ 3,898,167 ​ $ 5,082,451 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Earnings per common share (Note 13): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Basic ​ $ 0.03 ​ $ 0.08 ​ $ 0.06 ​ $ 0.08 Diluted ​ $ 0.03 ​ $ 0.08 ​ $ 0.06 ​ $ 0.08 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted average common shares outstanding (Note 13): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Basic ​ ​ 65,600,855 ​ ​ 65,240,858 ​ ​ 65,512,938 ​ ​ 65,133,225 Diluted ​ ​ 66,331,466 ​ ​ 66,106,474 ​ ​ 66,217,667 ​ ​ 65,906,440 ​ See accompanying notes to the condensed consolidated financial statements. ​ 1 Table of Contents RESERVOIR MEDIA, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (In U.S. dollars) (Unaudited) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended December 31, ​ Nine Months Ended December 31, ​ ​ ​ ​ 2025 ​ ​ ​ 2024 ​ ​ ​ 2025 ​ ​ ​ 2024 Net income ​ $ 2,203,030 ​ $ 5,311,539 ​ $ 3,763,161 ​ $ 5,010,351 Other comprehensive (loss) income: ​ ​ ​ ​ ​ ​ ​ ​ Translation adjustments ​ ( 40,402 ) ​ ( 4,379,846 ) ​ 2,904,515 ​ ( 589,589 ) Total comprehensive income ​ 2,162,628 ​ 931,693 ​ 6,667,676 ​ 4,420,762 Comprehensive (income) loss attributable to noncontrolling interests ​ ( 7,045 ) ​ ( 67,448 ) ​ 135,006 ​ 72,100 Total comprehensive income attributable to Reservoir Media, Inc. ​ $ 2,155,583 ​ $ 864,245 ​ $ 6,802,682 ​ $ 4,492,862 ​ See accompanying notes to the condensed consolidated financial statements. ​ 2 Table of Contents RESERVOIR MEDIA, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (In U.S. dollars, except share data) (Unaudited) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ March 31, ​ ​ ​ ​ 2025 ​ ​ ​ 2025 Assets ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Current assets ​ ​ ​ ​ Cash and cash equivalents ​ $ 20,591,354 ​ $ 21,386,140 Accounts receivable ​ 37,055,363 ​ 37,848,611 Current portion of royalty advances ​ 15,328,098 ​ 15,182,463 Other current assets ​ ​ 4,865,554 ​ ​ 4,867,081 Total current assets ​ ​ 77,840,369 ​ ​ 79,284,295 ​ ​ ​ ​ ​ ​ ​ Intangible assets, net ​ 797,168,961 ​ 719,673,219 Equity method and other investments ​ 2,578,144 ​ 1,100,000 Royalty advances, net of current portion and reserves ​ ​ 54,144,766 ​ ​ 55,508,155 Property and equipment, net ​ ​ 530,554 ​ 406,784 Operating lease right of use assets, net ​ ​ 7,259,255 ​ ​ 5,949,418 Fair value of swap assets ​ ​ 642,406 ​ ​ 1,828,303 Other assets ​ ​ 1,740,980 ​ ​ 1,376,836 Total assets ​ $ 941,905,435 ​ $ 865,127,010 ​ ​ ​ ​ ​ Liabilities ​ ​ ​ ​ Current liabilities ​ ​ ​ ​ ​ ​ Accounts payable and accrued liabilities ​ $ 5,853,767 ​ $ 5,394,755 Royalties payable ​ ​ 47,896,461 ​ ​ 47,210,727 Accrued payroll ​ 1,599,390 ​ 2,588,758 Deferred revenue ​ ​ 4,063,269 ​ ​ 1,885,462 Other current liabilities ​ 6,204,969 ​ 7,954,208 Income taxes payable ​ ​ 11,844 ​ ​ 803,342 Total current liabilities ​ ​ 65,629,700 ​ ​ 65,837,252 ​ ​ ​ ​ ​ ​ ​ Secured line of credit ​ ​ 452,259,334 ​ ​ 388,134,754 Deferred tax liability ​ ​ 40,853,064 ​ ​ 38,228,099 Operating lease liabilities, net of current portion ​ ​ 7,194,524 ​ ​ 5,723,930 Fair value of swap liability ​ ​ 807,654 ​ ​ 410,008 Other liabilities ​ ​ 360,507 ​ ​ 593,185 Total liabilities ​ ​ 567,104,783 ​ ​ 498,927,228 ​ ​ ​ ​ ​ ​ ​ Contingencies and commitments (Note 15) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Shareholders’ Equity ​ ​ ​ ​ ​ ​ Preferred stock, $ 0.0001 par value 75,000,000 shares authorized, 0 shares issued and outstanding at December 31, 2025 and March 31, 2025 ​ ​ — ​ ​ — Common stock, $ 0.0001 par value; 750,000,000 shares authorized, 65,590,787 shares issued and outstanding at December 31, 2025; 65,239,735 shares issued and outstanding at March 31, 2025 ​ ​ 6,560 ​ ​ 6,524 Additional paid-in capital ​ ​ 346,079,764 ​ ​ 344,145,789 Retained earnings ​ ​ 27,045,737 ​ ​ 23,147,570 Accumulated other comprehensive income (loss) ​ ​ 482,408 ​ ​ ( 2,422,107 ) Total Reservoir Media, Inc. shareholders’ equity ​ ​ 373,614,469 ​ ​ 364,877,776 Noncontrolling interest ​ ​ 1,186,183 ​ ​ 1,322,006 Total shareholders’ equity ​ ​ 374,800,652 ​ ​ 366,199,782 Total liabilities and shareholders’ equity ​ $ 941,905,435 ​ $ 865,127,010 ​ See accompanying notes to the condensed consolidated financial statements. ​ ​ ​ 3 Table of Contents RESERVOIR MEDIA, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY (In U.S. dollars, except share data) (Unaudited) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Three and Nine Months Ended December 31, 2025 ​ ​ Common Stock ​ ​ ​ ​ ​ ​ Accumulated other ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Additional paid-in ​ Retained ​ comprehensive ​ Noncontrolling ​ Shareholders’ ​ ​ ​ Shares ​ ​ Amount ​ ​ capital ​ ​ earnings ​ ​ income (loss) ​ ​ interests ​ ​ equity Balance, March 31, 2025 65,239,735 ​ $ 6,524 ​ $ 344,145,789 ​ $ 23,147,570 ​ $ ( 2,422,107 ) ​ $ 1,322,006 ​ $ 366,199,782 Share-based compensation — ​ — ​ 873,978 ​ — ​ — ​ — ​ 873,978 Stock option exercises ​ 2,678 ​ ​ — ​ ​ 13,684 ​ ​ — ​ ​ — ​ ​ — ​ ​ 13,684 Vesting of restricted stock units, net of shares withheld for employee taxes ​ 248,770 ​ ​ 26 ​ ​ ( 1,382,819 ) ​ ​ — ​ ​ — ​ ​ — ​ ​ ( 1,382,793 ) Reclassification of liability-classified awards to equity-classified awards ​ — ​ ​ — ​ ​ 995,407 ​ ​ — ​ ​ — ​ ​ — ​ ​ 995,407 Net loss — ​ — ​ — ​ ( 555,659 ) ​ — ​ ( 88,066 ) ​ ( 643,725 ) Other comprehensive income ​ — ​ ​ — ​ ​ — ​ ​ — ​ ​ 4,052,168 ​ ​ — ​ ​ 4,052,168 Balance, June 30, 2025 65,491,183 ​ $ 6,550 ​ $ 344,646,039 ​ $ 22,591,911 ​ $ 1,630,061 ​ $ 1,233,940 ​ $ 370,108,501 Share-based compensation ​ — ​ ​ — ​ ​ 831,385 ​ ​ — ​ ​ — ​ ​ — ​ ​ 831,385 Vesting of restricted stock units ​ 97,040 ​ ​ 10 ​ ​ ( 10 ) ​ ​ — ​ ​ — ​ ​ — ​ ​ — Reclassification of liability-classified awards to equity-classified awards ​ — ​ ​ — ​ ​ 80,000 ​ ​ — ​ ​ — ​ ​ — ​ ​ 80,000 Net income (loss) ​ — ​ ​ — ​ ​ — ​ ​ 2,257,841 ​ ​ — ​ ​ ( 53,985 ) ​ ​ 2,203,856 Other comprehensive loss ​ — ​ ​ — ​ ​ — ​ ​ — ​ ​ ( 1,107,251 ) ​ ​ — ​ ​ ( 1,107,251 ) Balance, September 30, 2025 ​ 65,588,223 ​ $ 6,560 ​ $ 345,557,414 ​ $ 24,849,752 ​ $ 522,810 ​ $ 1,179,955 ​ $ 372,116,491 Share-based compensation ​ — ​ ​ — ​ ​ 809,183 ​ ​ — ​ ​ — ​ ​ — ​ ​ 809,183 Vesting of restricted stock units ​ 2,564 ​ ​ — ​ ​ — ​ ​ — ​ ​ — ​ ​ — ​ ​ — Acquisition of noncontrolling interests ​ — ​ ​ — ​ ​ ( 286,833 ) ​ ​ — ​ ​ — ​ ​ ( 817 ) ​ ​ ( 287,650 ) Net income ​ — ​ ​ — ​ ​ — ​ ​ 2,195,985 ​ ​ — ​ ​ 7,045 ​ ​ 2,203,030 Other comprehensive loss ​ — ​ ​ — ​ ​ — ​ ​ — ​ ​ ( 40,402 ) ​ ​ — ​ ​ ( 40,402 ) Balance, December 31, 2025 ​ 65,590,787 ​ $ 6,560 ​ $ 346,079,764 ​ $ 27,045,737 ​ $ 482,408 ​ $ 1,186,183 ​ $ 374,800,652 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the Three and Nine Months Ended December 31, 2024 ​ ​ Common Stock ​ ​ ​ ​ ​ Accumulated other ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Additional paid-in ​ Retained ​ comprehensive ​ Noncontrolling ​ Shareholders’ ​ ​ ​ Shares ​ ​ Amount ​ ​ capital ​ ​ earnings ​ ​ loss ​ ​ interests ​ ​ equity Balance, March 31, 2024 64,826,864 ​ $ 6,483 ​ $ 341,388,351 ​ $ 15,397,657 ​ $ ( 3,797,733 ) ​ $ 1,490,223 ​ $ 354,484,981 Share-based compensation — ​ ​ — ​ ​ 1,048,520 ​ ​ — ​ ​ — ​ ​ — ​ ​ 1,048,520 Stock option exercises ​ 3,550 ​ ​ — ​ ​ 18,140 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 18,140 Vesting of restricted stock units, net of shares withheld for employee taxes ​ 248,524 ​ ​ 25 ​ ​ ( 1,432,889 ) ​ ​ — ​ ​ — ​ ​ — ​ ​ ( 1,432,864 ) Reclassification of liability-classified awards to equity-classified awards ​ — ​ ​ — ​ ​ 722,500 ​ ​ — ​ ​ — ​ ​ — ​ ​ 722,500 Net loss ​ — ​ ​ — ​ ​ — ​ ​ ( 346,655 ) ​ ​ — ​ ​ ( 106,522 ) ​ ​ ( 453,177 ) Other comprehensive income — ​ — ​ — ​ — ​ 34,852 ​ — ​ 34,852 Balance, June 30, 2024 65,078,938 ​ $ 6,508 ​ $ 341,744,622 ​ $ 15,051,002 ​ $ ( 3,762,881 ) ​ $ 1,383,701 ​ $ 354,422,952 Share-based compensation ​ — ​ ​ — ​ ​ 778,556 ​ ​ — ​ ​ — ​ ​ — ​ ​ 778,556 Stock option exercises ​ 15,000 ​ ​ 2 ​ ​ 76,647 ​ ​ — ​ ​ — ​ ​ — ​ ​ 76,649 Vesting of restricted stock units ​ 122,301 ​ ​ 12 ​ ​ ( 12 ) ​ ​ — ​ ​ — ​ ​ — ​ ​ — Reclassification of liability-classified awards to equity-classified awards ​ 6,316 ​ ​ 1 ​ ​ 80,000 ​ ​ — ​ ​ — ​ ​ — ​ ​ 80,001 Net income (loss) ​ — ​ ​ — ​ ​ — ​ ​ 185,015 ​ ​ — ​ ​ ( 33,026 ) ​ ​ 151,989 Other comprehensive income ​ — ​ ​ — ​ ​ — ​ ​ — ​ ​ 3,755,405 ​ ​ — ​ ​ 3,755,405 Balance, September 30, 2024 65,222,555 ​ $ 6,523 ​ $ 342,679,813 ​ $ 15,236,017 ​ $ ( 7,476 ) ​ $ 1,350,675 ​ $ 359,265,552 Share-based compensation ​ — ​ ​ — ​ ​ 731,312 ​ ​ — ​ ​ — ​ ​ — ​ ​ 731,312 Stock option exercises ​ 800 ​ ​ — ​ ​ 4,088 ​ ​ — ​ ​ — ​ ​ — ​ ​ 4,088 Vesting of restricted stock units ​ 2,564 ​ ​ — ​ ​ — ​ ​ — ​ ​ — ​ ​ — ​ ​ — Distribution to noncontrolling interest holders ​ — ​ ​ — ​ ​ — ​ ​ — ​ ​ — ​ ​ ( 149,701 ) ​ ​ ( 149,701 ) Net income ​ — ​ ​ — ​ ​ — ​ ​ 5,244,091 ​ ​ — ​ ​ 67,448 ​ ​ 5,311,539 Other comprehensive loss ​ — ​ ​ — ​ ​ — ​ ​ — ​ ​ ( 4,379,846 ) ​ ​ — ​ ​ ( 4,379,846 ) Balance, December 31, 2024 ​ 65,225,919 ​ $ 6,523 ​ $ 343,415,213 ​ $ 20,480,108 ​ $ ( 4,387,322 ) ​ $ 1,268,422 ​ $ 360,782,944 ​ See accompanying notes to the condensed consolidated financial statements. ​ 4 Table of Contents RESERVOIR MEDIA, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (In U.S. dollars) (Unaudited) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Nine Months Ended December 31, ​ ​ ​ ​ 2025 ​ ​ ​ 2024 Cash flows from operating activities: ​ ​ ​ ​ Net income ​ $ 3,763,161 ​ $ 5,010,351 Adjustments to reconcile net income to net cash provided by operating activities: ​ ​ ​ ​ Amortization of intangible assets ​ 22,496,117 ​ 19,356,966 Depreciation of property and equipment ​ 163,757 ​ 171,431 Share-based compensation ​ 3,339,120 ​ 3,333,853 Amortization of deferred financing costs ​ ​ 1,264,839 ​ ​ 1,007,360 Loss on fair value of swaps ​ 1,583,543 ​ 2,532,441 Loss from equity method investments ​ ​ 358,644 ​ ​ 100,000 Gain on disposition of equity investment ​ ​ — ​ ​ ( 103,715 ) Deferred income taxes ​ 1,754,665 ​ 1,217,244 Changes in operating assets and liabilities: ​ ​ ​ ​ Accounts receivable ​ 793,248 ​ ( 1,445,197 ) Other current assets ​ ​ 1,527 ​ ​ 947,422 Royalty advances ​ ​ 1,506,766 ​ ​ 3,108,666 Other assets and liabilities ​ ​ 437,041 ​ ​ 129,617 Accounts payable, accrued expenses and deferred revenue ​ ​ 1,130,573 ​ ​ ( 3,355,545 ) Royalties payable ​ ​ 416,817 ​ ​ 1,435,162 Income taxes payable ​ ​ ( 780,235 ) ​ ​ ( 341,258 ) Net cash provided by operating activities ​ ​ 38,229,583 ​ ​ 33,104,798 ​ ​ ​ ​ ​ ​ ​ Cash flows from investing activities: ​ ​ ​ ​ ​ ​ Purchases of music catalogs ​ ​ ( 97,895,155 ) ​ ​ ( 70,200,677 ) Loan to third party ​ ​ — ​ ​ ( 2,517,896 ) Investments in equity affiliates ​ ​ ( 1,836,788 ) ​ ​ ( 100,000 ) Sale of equity investment ​ ​ — ​ ​ 945,071 Purchases of property and equipment ​ ​ ( 287,527 ) ​ ​ ( 56,870 ) Net cash used for investing activities ​ ​ ( 100,019,470 ) ​ ​ ( 71,930,372 ) ​ ​ ​ ​ ​ ​ ​ Cash flows from financing activities: ​ ​ ​ ​ ​ ​ Proceeds from secured line of credit ​ ​ 79,000,000 ​ ​ 50,000,000 Repayments of secured line of credit ​ ​ ( 15,000,000 ) ​ ​ ( 10,000,000 ) Proceeds from stock option exercises ​ ​ 13,684 ​ ​ 98,875 Taxes paid related to net share settlement of restricted stock units ​ ​ ( 1,382,793 ) ​ ​ ( 1,432,864 ) Deferred financing costs paid ​ ​ ( 1,140,259 ) ​ ​ — Acquisition of noncontrolling interests ​ ​ ( 287,650 ) ​ ​ — Distribution to noncontrolling interest holders ​ ​ — ​ ​ ( 149,701 ) Net cash provided by financing activities ​ ​ 61,202,982 ​ ​ 38,516,310 ​ ​ ​ ​ ​ ​ ​ Foreign exchange impact on cash ​ ​ ( 207,881 ) ​ ​ ( 62,721 ) ​ ​ ​ ​ ​ ​ ​ Decrease in cash and cash equivalents ​ ​ ( 794,786 ) ​ ​ ( 371,985 ) Cash and cash equivalents beginning of period ​ ​ 21,386,140 ​ ​ 18,132,015 Cash and cash equivalents end of period ​ $ 20,591,354 ​ $ 17,760,030 ​ See accompanying notes to the condensed consolidated financial statements. ​ ​ 5 Table of Contents RESERVOIR MEDIA, INC. AND SUBSIDIARIES NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS DECEMBER 31, 2025 (Unaudited) NOTE 1. DESCRIPTION OF BUSINESS Reservoir Media, Inc., a Delaware corporation (the “ Company ”), is an independent music company based in New York City, New York and with offices in Los Angeles, Nashville, Toronto, London, Abu Dhabi and Mumbai. Following a business combination between Roth CH Acquisition II Co. (“ ROCC ”) and Reservoir Holdings, Inc., a Delaware corporation (“ RHI ”), on July 28, 2021 (the “ Business Combination ”), the Company’s legal name became “Reservoir Media, Inc.” The common stock, $ 0.0001 par value per share, of the Company (the “ Common Stock ”) and warrants are traded on The Nasdaq Stock Market LLC (“ NASDAQ ”) under the ticker symbols “RSVR” and “RSVRW,” respectively. The Company is a holding company that conducts substantially all of its business operations through Reservoir Media Management, Inc. (“ RMM ”), and RMM’s subsidiaries. The Company’s activities are organized into two reportable segments: Music Publishing and Recorded Music. Operations of the Music Publishing segment involve the acquisition of interests in music catalogs from which royalties are earned as well as signing songwriters to exclusive agreements which give the Company an interest in the future delivery of songs. Operations of the Recorded Music segment involve the acquisition of sound recording catalogs as well as the discovery and development of recording artists and the marketing, distribution, sale and licensing of the music catalog. NOTE 2. BASIS OF PRESENTATION The accompanying condensed consolidated financial statements include the accounts of the Company, its wholly-owned subsidiaries and its majority-owned subsidiaries and have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (the “ SEC ”) for interim financial information. All intercompany transactions and balances have been eliminated in these condensed consolidated financial statements. Certain information and note disclosures typically included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“ U.S. GAAP ” or “ GAAP ”) have been condensed or omitted pursuant to such rules and regulations. Therefore, these condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes included in the Company’s audited financial statements as of and for the fiscal years ended March 31, 2025 and 2024. The condensed consolidated balance sheet of the Company as of March 31, 2025, included herein, was derived from the audited financial statements as of that date, but does not include all disclosures, including certain notes required by U.S. GAAP on an annual reporting basis. In the opinion of management, the accompanying condensed consolidated financial statements reflect all normal recurring adjustments necessary to present fairly the financial position, results of operations and cash flows for the interim periods. The results for the three and nine months ended December 31, 2025 are not necessarily indicative of the results to be expected for any subsequent quarter, the fiscal year ending March 31, 2026 or any other period. The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and the related disclosure of contingent assets and liabilities. Significant estimates are used for, but not limited to, determining useful lives of intangible assets, intangible asset recoverability and impairment and accrued revenue. Actual results could differ from these estimates. ​ NOTE 3. RECENT ACCOUNTING PRONOUNCEMENTS Accounting Standards Not Yet Adopted In November 2024, the Financial Accounting Standards Board (“ FASB ”) issued Accounting Standards Update (“ ASU ”) 2024-03, Income Statement-Reporting Comprehensive Income-Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses (“ ASU 2024-03 ”), which will require disclosure of additional information about specific expense categories in the notes to financial statements at each interim and annual reporting period. The amendments in ASU 2024-03 are effective for annual reporting periods beginning after December 15, 2026, and interim reporting periods within annual reporting periods beginning after December 15, 2027, with early adoption permitted. The Company is currently evaluating the impact that adoption of ASU 2024-03 will have on its disclosures upon adoption. 6 Table of Contents RESERVOIR MEDIA, INC. AND SUBSIDIARIES NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS DECEMBER 31, 2025 (Unaudited) In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ ASU 2023-09 ”), which expands income tax disclosures, including requiring enhanced disclosures related to the rate reconciliation and income taxes paid information. The amendments in ASU 2023-09 should be applied on a prospective basis, with retrospective application permitted. ASU 2023-09 is effective for annual periods of public business entities for fiscal years beginning after December 15, 2024 and for annual periods of entities other than public entities beginning after December 15, 2025, with early adoption permitted. The Company expects to adopt ASU 2023-09 in its consolidated financial statements for the year ended March 31, 2026. The adoption will require certain additional disclosures in the notes to the Company’s consolidated financial statements. ​ NOTE 4. REVENUE RECOGNITION For the Company’s operating and reportable segments, Music Publishing and Recorded Music, the Company accounts for a contract when it has legally enforceable rights and obligations and collectability of consideration is probable. The Company identifies the performance obligations and determines the transaction price associated with the contract. Revenue is recognized when, or as, control of the promised services or goods is transferred to the Company’s customers, and in an amount that reflects the consideration to which the Company is expected to be entitled in exchange for those services or goods. Certain of the Company’s arrangements include licenses of intellectual property with consideration in the form of sales- and usage-based royalties. Royalty revenue is recognized when the subsequent sale or usage occurs using the best estimates available of the amounts that will be received by the Company. The Company recognized revenue of $ 1,949,916 and $ 4,376,551 from performance obligations satisfied in previous periods for the nine months ended December 31, 2025 and 2024, respectively. ​ Disaggregation of Revenue The Company’s revenue consisted of the following categories during the three and nine months ended December 31, 2025 and 2024: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended December 31, ​ Nine Months Ended December 31, ​ ​ ​ ​ 2025 ​ ​ ​ 2024 ​ ​ ​ 2025 ​ ​ ​ 2024 Revenue by Type ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Digital ​ $ 17,422,844 ​ $ 16,662,287 ​ $ 47,808,353 ​ $ 46,885,237 Performance ​ 6,205,475 ​ 4,355,603 ​ 18,478,276 ​ 14,573,765 Synchronization ​ 4,566,797 ​ 4,126,568 ​ 13,321,701 ​ 12,758,080 Mechanical ​ 602,664 ​ 949,201 ​ 2,871,642 ​ 2,708,207 Other ​ 1,323,765 ​ 799,444 ​ 3,449,977 ​ 2,564,007 Total Music Publishing ​ ​ 30,121,545 ​ ​ 26,893,103 ​ ​ 85,929,949 ​ ​ 79,489,296 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Digital ​ 9,349,661 ​ 8,141,819 ​ 26,073,214 ​ 21,911,052 Physical ​ 1,860,026 ​ 1,969,738 ​ 4,277,817 ​ 4,825,757 Neighboring rights ​ 1,147,110 ​ 887,478 ​ 3,321,891 ​ 3,073,765 Synchronization ​ 515,782 ​ 965,300 ​ 2,626,156 ​ 2,476,787 Total Recorded Music ​ ​ 12,872,579 ​ ​ 11,964,335 ​ ​ 36,299,078 ​ ​ 32,287,361 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Other revenue ​ ​ 2,573,755 ​ ​ 3,446,278 ​ ​ 5,938,196 ​ ​ 5,511,295 Total revenue ​ $ 45,567,879 ​ $ 42,303,716 ​ $ 128,167,223 ​ $ 117,287,952 ​ 7 Table of Contents RESERVOIR MEDIA, INC. AND SUBSIDIARIES NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS DECEMBER 31, 2025 (Unaudited) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended December 31, ​ Nine Months Ended December 31, ​ ​ ​ ​ 2025 ​ ​ ​ 2024 ​ ​ ​ 2025 ​ ​ ​ 2024 Revenue by Geographical Location ​ ​ ​ ​ ​ ​ ​ ​ United States Music Publishing ​ $ 17,984,750 ​ $ 16,758,233 ​ $ 47,812,550 ​ $ 46,670,370 United States Recorded Music ​ 6,765,683 ​ 5,881,469 ​ 19,356,355 ​ 17,624,673 United States other revenue ​ 2,573,755 ​ 3,446,278 ​ ​ 5,938,196 ​ 5,511,295 Total United States ​ 27,324,188 ​ 26,085,980 ​ 73,107,101 ​ 69,806,338 International Music Publishing ​ 12,136,795 ​ 10,134,870 ​ 38,117,399 ​ 32,818,926 International Recorded Music ​ 6,106,896 ​ 6,082,866 ​ 16,942,723 ​ 14,662,688 Total International ​ 18,243,691 ​ 16,217,736 ​ 55,060,122 ​ 47,481,614 Total revenue ​ $ 45,567,879 ​ $ 42,303,716 ​ $ 128,167,223 ​ $ 117,287,952 ​ Only the United States represented 10 % or more of the Company’s total revenues in the three and nine months ended December 31, 2025 and 2024. Deferred Revenue The following table reflects the change in deferred revenue during the nine months ended December 31, 2025 and 2024: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Nine Months Ended December 31, ​ ​ ​ ​ 2025 ​ ​ ​ 2024 Balance at beginning of period ​ $ 1,885,462 ​ $ 1,163,953 Cash received during period ​ 8,496,975 ​ 5,390,560 Revenue recognized during period (a) ​ ( 6,319,168 ) ​ ( 4,178,596 ) Balance at end of period ​ $ 4,063,269 ​ $ 2,375,917 (a) Includes revenues of $ 1,643,875 during the nine months ended December 31, 2025 related to the balance of deferred revenue at April 1, 2025. Includes revenues of $ 1,060,929 during the nine months ended December 31, 2024 related to the balance of deferred revenue at April 1, 2024. ​ NOTE 5. ACQUISITIONS In the ordinary course of business, the Company regularly acquires publishing and recorded music catalogs, which are typically accounted for as asset acquisitions. During the nine months ended December 31, 2025 and 2024, the Company completed such acquisitions totaling $ 96,019,019 and $ 73,189,487 , respectively, inclusive of deferred acquisition payments. NOTE 6. INTANGIBLE ASSETS Intangible assets subject to amortization consist of the following as of December 31, 2025 and March 31, 2025: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ ​ ​ March 31, ​ ​ 2025 ​ 2025 Intangible assets subject to amortization: ​ ​ ​ ​ Publishing and recorded music catalogs ​ $ 976,107,499 $ 875,475,723 Artist management contracts ​ 970,597 933,733 Gross intangible assets ​ 977,078,096 ​ 876,409,456 Accumulated amortization ​ ( 179,909,135 ) ​ ( 156,736,237 ) Intangible assets, net ​ $ 797,168,961 ​ $ 719,673,219 ​ Straight-line amortization expense totaled $ 7,731,933 and $ 6,658,587 during the three months ended December 31, 2025 and 2024, respectively. Straight-line amortization expense totaled $ 22,496,117 and $ 19,356,966 during the nine months ended December 31, 2025 and 2024, respectively. Publishing and recorded music catalogs acquired during the nine months ended December 31, 2025 and 2024 were determined to have a useful life of 30 years . 8 Table of Contents RESERVOIR MEDIA, INC. AND SUBSIDIARIES NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS DECEMBER 31, 2025 (Unaudited) NOTE 7. ROYALTY ADVANCES The Company made royalty advances totaling $ 10,703,682 and $ 13,957,135 during the nine months ended December 31, 2025 and 2024, respectively, recoupable from the writer’s or artist’s share of future royalties otherwise payable, in varying amounts. Advances expected to be recouped within the next twelve months are classified as current assets, with the remainder classified as noncurrent assets, net of reserves for amounts that may not be recoverable. The following table reflects the change in royalty advances, net during the nine months ended December 31, 2025 and 2024: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Nine Months Ended December 31, ​ ​ ​ ​ 2025 ​ ​ ​ 2024 Balance at beginning of period ​ $ 70,690,618 ​ $ 69,775,565 Additions ​ 10,703,682 ​ 13,957,135 Recoupments ​ ( 12,210,448 ) ​ ( 17,065,801 ) Foreign currency translation ​ ​ 289,012 ​ ​ ( 74,363 ) Balance at end of period ​ $ 69,472,864 ​ $ 66,592,536 ​ ​ NOTE 8. SECURED LINE OF CREDIT Long-term debt consists of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ ​ ​ March 31, ​ ​ 2025 ​ 2025 Secured line of credit ​ $ 455,828,410 ​ $ 391,828,410 Debt issuance costs, net ​ ( 3,569,076 ) ​ ( 3,693,656 ) ​ ​ $ 452,259,334 ​ $ 388,134,754 ​ Credit Facilities RMM is party to a credit agreement (as amended or supplemented from time to time, the “ RMM Credit Agreement ”) governing RMM’s senior secured revolving credit facility (the “ Senior Credit Facility ”). On June 3, 2025, RMM entered into an amendment (the “ Third Amendment ”) to the RMM Credit Agreement, which amended the Senior Credit Facility to (i) increase the revolving credit commitment from $ 450,000,000 to $ 550,000,000 , (ii) adjust the consolidated net senior debt to the value of the music library ratio from 30.0 % to 37.5 % for the 0.25 % increase in the pricing grid, (iii) reset the incremental borrowing capacity under the facility’s accordion feature to $ 150,000,000 after the effectiveness of the Third Amendment, (iv) exclude non wholly-owned foreign subsidiaries from the requirement to guarantee obligations under the RMM Credit Agreement and (v) modify certain negative covenants under the RMM Credit Agreement as further set forth in the Third Amendment. In connection with the Third Amendment, the Company incurred banking, legal and consulting fees of $ 1,140,259 that were recorded as deferred financing fees, which will be amortized over the remaining term of the Senior Credit Facility. The maturity date of the loans advanced under the Senior Credit Facility is December 16, 2027. The interest rate on borrowings under the Senior Credit Facility is equal to, at the Company’s option, either (i) the sum of a base rate plus a margin of 1.00 % or (ii) the sum of a Secured Overnight Financing Rate (“ SOFR ”) rate plus a margin of 2.00 %, in each case subject to a 0.25 % increase based on a consolidated net senior debt to library value ratio. RMM is also required to pay an unused fee in respect of unused commitments under the Senior Credit Facility, if any, at a rate of 0.25 % per annum. Substantially all tangible and intangible assets of the Company, RHI, RMM and the other subsidiary guarantors are pledged as collateral to secure the obligations of RMM under the RMM Credit Agreement. 9 Table of Contents RESERVOIR MEDIA, INC. AND SUBSIDIARIES NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS DECEMBER 31, 2025 (Unaudited) The RMM Credit Agreement contains customary covenants limiting the ability of the Company, RHI, RMM and certain of its subsidiaries to, among other things, incur debt or liens, merge or consolidate with others, make investments, make cash dividends, redeem or repurchase capital stock, dispose of assets, enter into transactions with affiliates or enter into certain restrictive agreements. In addition, the Company, on a consolidated basis with its subsidiaries, must comply with financial covenants requiring the Company to maintain (i) a fixed charge coverage ratio of not less than 1.10 :1.00 for each four fiscal quarter period, and (ii) a consolidated senior debt to library value ratio of 0.45 :1.00, subject to certain adjustments. If RMM does not comply with the covenants in the RMM Credit Agreement, the lenders may, subject to customary cure rights, require the immediate payment of all amounts outstanding under the Senior Credit Facility. As described above, the Senior Credit Facility also includes an “accordion feature” that permits RMM to seek additional commitments in an amount not to exceed $ 150,000,000 . As of December 31, 2025, the Senior Credit Facility had a borrowing capacity of $ 550,000,000 , with remaining borrowing availability of $ 94,171,590 . Interest Rate Swaps At December 31, 2025, RMM had the following interest rate swaps outstanding, under which it pays a fixed rate and receives a floating interest payment from the counterparty based on SOFR: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Notional ​ ​ ​ ​ ​ ​ Amount at ​ ​ ​ ​ ​ ​ ​ ​ December 31, ​ ​ ​ Pay Fixed ​ ​ ​ ​ Effective Date ​ 2025 ​ Rate ​ Maturity September 30, 2024 ​ $ 100,000,000 ​ 2.946 % December 2027 September 30, 2024 ​ $ 50,000,000 ​ 3.961 % December 2027 September 4, 2025 ​ $ 65,000,000 ​ 3.405 % December 2027 ​ In September 2025, the Company entered into an interest rate swap in the amount of $ 65,000,000 , which is reflected in the table above. This swap had an effective date of September 4, 2025 and has a maturity date of December 16, 2027, which corresponds to the maturity date of the Senior Credit Facility. The Company pays a fixed rate of 3.405 % and receives a floating interest from the counterparty based on SOFR. On September 30, 2024, three previous interest rate swaps expired with original notional amounts of $ 8,875,000 , $ 88,098,862 and $ 53,030,237 . Through the expiration date of these previous interest rate swaps, RMM paid fixed rates of 1.53 %, 1.422 % and 0.972 %, respectively, to the counterparty and received a floating interest payment from the counterparty based on SOFR. ​ NOTE 9. INCOME TAXES Income tax expense for the three months ended December 31, 2025 and 2024 was $ 1,078,418 ( 32.9 % effective tax rate) and $ 1,987,150 ( 27.2 % effective tax rate), respectively. Income tax expense for the nine months ended December 31, 2025 and 2024 was $ 1,754,665 ( 31.8 % effective tax rate) and $ 1,540,589 ( 23.5 % effective tax rate), respectively. Income tax expense during the nine months ended December 31, 2024 reflects excess tax benefits related to share-based compensation and an incremental tax benefit of approximately $ 103,000 related to certain international intangible assets. The income tax expense during these periods also reflects the amount and mix of income from multiple tax jurisdictions. On July 4, 2025, the reconciliation bill, commonly referred to as the “One Big Beautiful Bill Act” (“ OBBBA ”), was signed into law in the U.S., introducing a broad range of tax reform provisions, including changes to interest deductibility, bonus depreciation, and various international provisions with multiple effective dates, with certain provisions effective in 2025 and others implemented through 2027. The impact of the OBBBA tax legislation did not have a material impact on the condensed consolidated financial statements during the three and nine months ended December 31, 2025, and is not expected to have a material impact in future periods. 10 Table of Contents RESERVOIR MEDIA, INC. AND SUBSIDIARIES NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS DECEMBER 31, 2025 (Unaudited) NOTE 10. SUPPLEMENTARY CASH FLOW INFORMATION Interest paid and income taxes paid for the nine months ended December 31, 2025 and 2024 were comprised of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Nine Months Ended December 31, ​ ​ ​ ​ 2025 ​ ​ ​ 2024 Interest paid ​ $ 18,352,329 ​ $ 17,000,278 Income taxes paid ​ $ 1,112,581 ​ $ 666,317 ​ Non-cash investing and financing activities for the nine months ended December 31, 2025 and 2024 were comprised of the following: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Nine Months Ended December 31, ​ ​ ​ ​ 2025 ​ ​ ​ 2024 Acquired intangible assets included in other current liabilities and other liabilities ​ $ 4,547,071 ​ $ 8,503,325 Reclassification of liability-classified awards to equity-classified awards ​ $ 1,075,407 ​ $ 802,500 Right-of-use assets received in exchange for operating lease obligations ​ $ 2,112,177 ​ $ — ​ ​ NOTE 11. WARRANTS As of December 31, 2025, the Company’s outstanding warrants included 5,750,000 publicly-traded warrants (the “ Public Warrants ”), which were issued during ROCC’s initial public offering on December 15, 2020, and 137,500 warrants sold in a private placement to ROCC’s sponsor (the “ Private Warrants ” and together with the Public Warrants, the “ Warrants ”), which were assumed by the Company in connection with the Business Combination and exchanged into warrants for shares of Common Stock. Each whole Warrant entitles the registered holder to purchase one whole share of Common Stock at a price of $ 11.50 per share, provided that the Company has an effective registration statement under the Securities Act covering the shares of Common Stock issuable upon exercise of the Warrants and a current prospectus relating to them is available and such shares are registered, qualified or exempt from registration under the securities, or blue sky, laws of the state of residence of the holder. The Warrants will expire on July 28, 2026, which is five years after the completion of the Business Combination, or earlier upon redemption or liquidation. The Company may redeem the outstanding Public Warrants in whole, but not in part, at a price of $ 0.01 per warrant upon a minimum of 30 days ’ prior written notice of redemption, if and only if the last sale price of Common Stock equals or exceeds $ 18.00 per share for any 20 -trading days within a 30 -trading day period ending three business days before the Company sends the notice of redemption to the registered holders. ​ NOTE 12. SHARE-BASED COMPENSATION Share-based compensation expense totaled $ 1,091,683 ($ 849,910 , net of taxes) and $ 1,006,468 ($ 782,505 , net of taxes) during the three months ended December 31, 2025 and 2024, respectively. Share-based compensation expense totaled $ 3,339,120 ($ 2,599,612 , net of taxes) and $ 3,333,853 ($ 2,591,992 , net of taxes) during the nine months ended December 31, 2025 and 2024, respectively. Share-based compensation expense is classified as “Administration expenses” in the accompanying condensed consolidated statements of income. During the nine months ended December 31, 2025 and 2024, the Company granted restricted stock units (“ RSUs ”) to satisfy previous obligations to issue a variable number of equity awards based on a fixed monetary amount. Prior to the issuance of these RSUs, the Company classified these awards as liabilities. Upon issuance of the RSUs, the awards became equity-classified as they no longer met the criteria to be liability-classified and as a result liabilities of $ 1,075,407 and $ 802,500 were reclassified from accounts payable and accrued liabilities to additional paid-in capital during the nine months ended December 31, 2025 and 2024, respectively. 11 Table of Contents RESERVOIR MEDIA, INC. AND SUBSIDIARIES NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS DECEMBER 31, 2025 (Unaudited) NOTE 13. EARNINGS PER SHARE The following table summarizes the basic and diluted earnings per common share calculation for the three and nine months ended December 31, 2025 and 2024: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ Nine Months Ended ​ ​ December 31, ​ December 31, ​ ​ ​ ​ 2025 ​ ​ ​ 2024 ​ ​ ​ 2025 ​ ​ ​ 2024 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Basic earnings per common share ​ ​ ​ ​ ​ ​ ​ ​ Net income attributable to Reservoir Media, Inc. ​ $ 2,195,985 ​ $ 5,244,091 ​ $ 3,898,167 ​ $ 5,082,451 Weighted average common shares outstanding - basic ​ 65,600,855 ​ 65,240,858 ​ 65,512,938 ​ 65,133,225 Earnings per common share - basic ​ $ 0.03 ​ $ 0.08 ​ $ 0.06 ​ $ 0.08 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Diluted earnings per common share ​ ​ ​ ​ ​ ​ ​ ​ Net income attributable to Reservoir Media, Inc. ​ $ 2,195,985 ​ $ 5,244,091 ​ $ 3,898,167 ​ $ 5,082,451 Weighted average common shares outstanding - basic ​ 65,600,855 ​ 65,240,858 ​ 65,512,938 ​ 65,133,225 Weighted average effect of potentially dilutive securities: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Effect of dilutive stock options and RSUs ​ 730,611 ​ 865,616 ​ 704,729 ​ 773,215 Weighted average common shares outstanding - diluted ​ ​ 66,331,466 ​ ​ 66,106,474 ​ ​ 66,217,667 ​ ​ 65,906,440 Earnings per common share - diluted ​ $ 0.03 ​ $ 0.08 ​ $ 0.06 ​ $ 0.08 ​ Because of their anti-dilutive effect, 5,891,590 shares of Common Stock equivalents, comprised of 5,887,500 warrants and 4,090 RSUs have been excluded from the diluted earnings per share calculation for the three and nine months ended December 31, 2025. Because of their anti-dilutive effect, 5,887,500 shares of Common Stock equivalents, comprised of warrants have been excluded from the diluted earnings per share calculation for the three and nine months ended December 31, 2024. ​ NOTE 14. FINANCIAL INSTRUMENTS The Company is exposed to the following risks related to its financial instruments: (a) Credit Risk Credit risk arises from the possibility that the Company’s debtors may be unable to fulfill their financial obligations. Revenues earned from publishing and distribution companies are concentrated in the music and entertainment industry. The Company monitors its exposure to credit risk on a regular basis. (b) Interest Rate Risk The Company is exposed to market risk from changes in interest rates on its Senior Credit Facility. As described in Note 8, “ Secured Line of Credit, ” the Company entered into interest rate swap agreements to partially reduce its exposure to fluctuations in interest rates on its Credit Facilities. 12 Table of Contents RESERVOIR MEDIA, INC. AND SUBSIDIARIES NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS DECEMBER 31, 2025 (Unaudited) The fair value of the outstanding interest rate swaps consisted of a $ 642,406 asset and a $ 807,654 liability as of December 31, 2025 and a $ 1,828,303 asset and a $ 410,008 liability at March 31, 2025. Fair value is determined using Level 2 inputs, which are based on quoted prices and market observable data of similar instruments. The change in the unrealized fair value of the swaps during the three and nine months ended December 31, 2025 of $ 270,380 and $ 1,583,543 , respectively, was recorded as a loss on fair value of swaps. The change in the unrealized fair value of the swaps during the three months ended December 31, 2024 of $ 3,084,761 reflects marking to market our current interest rate swap hedges and was recorded as a gain on fair value of swaps. The change in the unrealized fair value of the swaps during the nine months ended December 31, 2024 of $( 2,532,441 ) was driven primarily by the September 2024 decrease in SOFR, as well as the time value of the swaps that expired on September 30, 2024, partially offset by marking to market our current interest rate swap hedges and was recorded as a loss on fair value of swaps. (c) Foreign Exchange Risk The Company is exposed to foreign exchange risk in fluctuations of currency rates on its revenue from royalties, writers’ fees and its subsidiaries’ operations. (d) Financial Instruments Financial instruments not described elsewhere include cash, accounts receivable, accounts payable, accrued liabilities and the Company’s secured line of credit. The carrying values of these instruments as of December 31, 2025 do not differ materially from their respective fair values due to the immediate or short-term duration of these items or their bearing market-related rates of interest. An investment in equity securities was sold during the three months ended December 31, 2024, which resulted in recognition of a gain of $ 103,715 during the three and nine months ended December 31, 2024. ​ NOTE 15. CONTINGENCIES AND COMMITMENTS Litigation The Company is subject to claims and contingencies in the normal course of business. To the extent the Company cannot determine whether a loss is probable based on the uncertain outcome of the claims and contingencies or estimate the amount of any loss that may result, no provision for any contingent liabilities has been made in the condensed consolidated financial statements. The Company believes that losses resulting from these matters, if any, would not have a material adverse effect on the financial position, results of operations or cash flows of the Company. All such matters which the Company concludes are probable to result in a loss and for which management can reasonably estimate the amount of such loss have been accrued for within these condensed consolidated financial statements. ​ NOTE 16. SEGMENT REPORTING The Company’s business is organized in three operating segments, one of which does not meet the quantitative thresholds for determining reportable segments, and two reportable segments: Music Publishing and Recorded Music. The Company identified its Chief Executive Officer as its Chief Operating Decision Maker (“ CODM ”). The Company’s CODM evaluates financial performance of its segments based on operating income before depreciation and amortization (“ OIBDA ”). The CODM regularly reviews trends in OIBDA and compares OIBDA results to budgets to evaluate the profitability of the segments. During the annual budget process, the CODM also considers OIBDA to assist in the allocation of resources to the segments. The accounting policies of the Company’s business segments are consistent with the Company’s policies for the condensed consolidated financial statements. The Company does not have sales between segments. 13 Table of Contents RESERVOIR MEDIA, INC. AND SUBSIDIARIES NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS DECEMBER 31, 2025 (Unaudited) The following tables present total revenue and OIBDA by segment, significant segment expenses, which are expenses that are included in OIBDA, significant to the segment considering qualitative and quantitative factors and regularly provided or easily computed from information regularly provided to the CODM, and a reconciliation of OIBDA to income before income taxes for the three and nine months ended December 31, 2025 and 2024: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended December 31, 2025 ​ ​ Music ​ Recorded ​ ​ ​ ​ ​ ​ ​ Publishing ​ ​ ​ Music ​ ​ ​ Total Reportable segment revenue ​ $ 30,121,545 ​ $ 12,872,579 ​ $ 42,994,124 Other revenue (a) ​ ​ ​ ​ ​ ​ ​ ​ 2,573,755 Consolidated revenue ​ ​ ​ ​ ​ ​ ​ $ 45,567,879 Significant segment expenses: ​ ​ ​ ​ ​ ​ Cost of revenue ​ ​ 12,617,169 ​ 3,580,783 ​ ​ ​ Administration expenses ​ 6,462,419 ​ 2,565,140 ​ ​ Reportable segment OIBDA ​ $ 11,041,957 ​ $ 6,726,656 ​ ​ 17,768,613 Other profit (a) ​ ​ ​ ​ ​ ​ ​ ​ 348,123 Amortization and depreciation ​ ​ ​ ​ ​ ​ ​ ​ ( 7,789,274 ) Interest expense ​ ​ ​ ​ ​ ​ ​ ​ ( 6,584,013 ) Loss on foreign exchange ​ ​ ​ ​ ​ ​ ​ ​ ( 88,508 ) Loss on fair value of swaps ​ ​ ​ ​ ​ ​ ​ ​ ( 270,380 ) Other expense, net ​ ​ ​ ​ ​ ​ ​ ​ ( 103,113 ) Income before income taxes ​ ​ ​ ​ ​ ​ ​ $ 3,281,448 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended December 31, 2024 ​ ​ Music ​ ​ ​ Recorded ​ ​ ​ ​ ​ ​ ​ ​ ​ Publishing ​ Music ​ Total Reportable segment revenue ​ $ 26,893,103 ​ $ 11,964,335 ​ $ 38,857,438 Other revenue (a) ​ ​ ​ ​ ​ ​ ​ ​ 3,446,278 Consolidated revenue ​ ​ ​ ​ ​ ​ ​ $ 42,303,716 Significant segment expenses: ​ ​ ​ ​ ​ ​ ​ ​ ​ Cost of revenue ​ 11,730,732 ​ 3,337,310 ​ ​ Administration expenses ​ 6,014,390 ​ 2,229,256 ​ ​ Reportable segment OIBDA ​ $ 9,147,981 ​ $ 6,397,769 ​ ​ 15,545,750 Other profit (a) ​ ​ ​ ​ ​ ​ ​ ​ 725,828 Amortization and depreciation ​ ​ ​ ​ ​ ​ ​ ​ ( 6,713,621 ) Interest expense ​ ​ ​ ​ ​ ​ ​ ​ ( 5,776,861 ) Loss on foreign exchange ​ ​ ​ ​ ​ ​ ​ ​ ( 76,431 ) Gain on fair value of swaps ​ ​ ​ ​ ​ ​ ​ ​ 3,084,761 Other income, net ​ ​ ​ ​ ​ ​ ​ ​ 509,263 Income before income taxes ​ ​ ​ ​ ​ ​ ​ $ 7,298,689 ​ 14 Table of Contents RESERVOIR MEDIA, INC. AND SUBSIDIARIES NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS DECEMBER 31, 2025 (Unaudited) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Nine Months Ended December 31, 2025 ​ ​ Music ​ Recorded ​ ​ ​ ​ ​ ​ ​ Publishing ​ ​ ​ Music ​ ​ ​ Total Reportable segment revenue ​ $ 85,929,949 ​ $ 36,299,078 ​ $ 122,229,027 Other revenue (a) ​ ​ ​ ​ ​ ​ ​ ​ 5,938,196 Consolidated revenue ​ ​ ​ ​ ​ ​ ​ $ 128,167,223 Significant segment expenses: ​ ​ ​ ​ ​ ​ Cost of revenue ​ ​ 36,100,572 ​ 9,822,300 ​ ​ ​ Administration expenses ​ 19,906,949 ​ 8,300,175 ​ ​ Reportable segment OIBDA ​ $ 29,922,428 ​ $ 18,176,603 ​ ​ 48,099,031 Other profit (a) ​ ​ ​ ​ ​ ​ ​ ​ 1,021,540 Amortization and depreciation ​ ​ ​ ​ ​ ​ ​ ​ ( 22,659,874 ) Interest expense ​ ​ ​ ​ ​ ​ ​ ​ ( 19,621,628 ) Gain on foreign exchange ​ ​ ​ ​ ​ ​ ​ ​ 619,896 Loss on fair value of swaps ​ ​ ​ ​ ​ ​ ​ ​ ( 1,583,543 ) Other expense, net ​ ​ ​ ​ ​ ​ ​ ​ ( 357,596 ) Income before income taxes ​ ​ ​ ​ ​ ​ ​ $ 5,517,826 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Nine Months Ended December 31, 2024 ​ ​ Music ​ Recorded ​ ​ ​ ​ ​ ​ ​ Publishing ​ ​ ​ Music ​ ​ ​ Total Reportable segment revenue ​ $ 79,489,296 ​ $ 32,287,361 ​ $ 111,776,657 Other revenue (a) ​ ​ ​ ​ ​ ​ ​ ​ 5,511,295 Consolidated revenue ​ ​ ​ ​ ​ ​ ​ $ 117,287,952 Significant segment expenses: ​ ​ ​ ​ ​ ​ Cost of revenue ​ ​ 34,148,535 ​ 9,031,994 ​ ​ ​ Administration expenses ​ 18,448,702 ​ 7,001,863 ​ ​ Reportable segment OIBDA ​ $ 26,892,059 ​ $ 16,253,504 ​ ​ 43,145,563 Other profit (a) ​ ​ ​ ​ ​ ​ ​ ​ 1,024,350 Amortization and depreciation ​ ​ ​ ​ ​ ​ ​ ​ ( 19,528,397 ) Interest expense ​ ​ ​ ​ ​ ​ ​ ​ ( 15,796,667 ) Loss on foreign exchange ​ ​ ​ ​ ​ ​ ​ ​ ( 172,242 ) Loss on fair value of swaps ​ ​ ​ ​ ​ ​ ​ ​ ( 2,532,441 ) Other income, net ​ ​ ​ ​ ​ ​ ​ ​ 410,774 Income before income taxes ​ ​ ​ ​ ​ ​ ​ $ 6,550,940 (a) Other revenue and other profit relate to the Company’s artist management operating segment, which does not meet the quantitative thresholds for determining reportable segments in any period presented. ​ The Company’s CODM manages assets on a consolidated basis. Segment assets and amortization and depreciation by reportable segment are not reported to the Company’s CODM nor used to allocate resources or assess performance of the segments. Accordingly, neither total segment assets nor amortization and depreciation by reportable segment have been disclosed. ​ ​ ​ ​ 15 Table of Contents