\n Service, training, information and technology. These are the pillars of the new UBC, which continues to strive for the objective of valuing each member’s particularities and potential. \n
\n People are more important than tools and our technological immersion respects this truth. Data learning helps us to better read each member and their repertoires’ increasingly feverish itineraries in a globalized, pulverized world existing on multiple platforms, in passwords, codes and identifiers. \n
\n The culture at UBC is to embrace change proactively, as part of a network eager for more information, more contact, more interaction. More and more, diversity has become our most apt expression. We are present across Brazil and around the world, through our bilateral and unilateral contracts, represented by our repertoire and creators.\n
\n 2018 was an intense year. We renewed important contracts, further consolidating our digital future by incorporating new agreements and fine-tuning others. Consequently, our membership increased. The agreement with all the cinema chains (excluding Cinemark) was another vital collective victory, with instant economic impact for the 2018 financial year.\n
\n Many challenges lie ahead. Collective management is a key protagonist of the new musical ecosystem and in order to optimize this reality, we must transform, reinvent and incorporate new practices and governance. We want more, and we want the best for our members, our local and global partners.\n
Marcelo Castello Branco
\nUBC ended 2018 with a total of 29,000 members, presenting a 14% rise in membership.
\nThe registration of pieces of work and phonograms rose a significant 116%, with 870,000 pieces of work registered (58% growth), 763,000 phonograms registered (270% growth) and 8,000 cue-sheets (85% growth) registered over the course of the year.
\nThe number of staff members and interns dropped 5% in relation to 2017, and an equitable gender distribution with 50% women and men on staff was registered.
\nA total of BRL 423,000 was invested in the assistance program, which guarantees UBC’s longest standing employees a minimum wage, health insurance and other basic needs.
\nThe ECAD (Central Office for Collection and Distribution), which is an organization that brings together the seven collective management associations for royalties pertaining to music, including UBC, collected a total of BRL 1.106 billion. This is a 3% decrease in relation to 2017.
\nThe UBC repertoire represents 57% of ECAD's market share based on the total amount distributed by ECAD in 2018.
\nThe total amount collected by UBC, including amounts collected via ECAD, collected overseas and pertaining to reproduction rights, equaled BRL 616.8 million.
\nThe total amount distributed by UBC in 2018 was BRL 524.3 million. 186,000 national and international members received funds, a 25% increase compared to the previous year.
\nAmounts distributed in the most recent biennium (2018, 2017) rose 61.9% compared to the previous biennium (2016, 2015). However, the 2018 distribution dropped 13.3% compared to 2017.
\nAmounts distributed to UBC members represented 57% of the total amount distributed by ECAD.
\nRoyalties pertaining to cinema are worth highlighting, as they presented the largest growth rate – a significant 504% rise compared to 2017. In 2018, they represented 7.4% of the total distribution. This growth is in large part due to the agreement signed with ABRAPLEX – the Brazilian Association of Multiplex Cinema Operator Companies. Royalties pertaining to the internet maintain their accelerated growth rate (48.6%), representing 8.3% of the total amount distributed. Highlights include the YouTube royalty distrubution and those distributed via new agreements signed with Amazon Video and Facebook. New contracts signed in 2018 with Google Play Music and Tim Music by Deezer will begin to show results in the coming years.
\nRoyalties pertaining to broadcasting and radio broadcasting (Free-to-air TV, Pay TV and radio) represented 53.7% of total distribution.
\nASSETS | \n2018 | \n2017 | \n
---|---|---|
Current assets | \n174,965 | \n189,482 | \n
Cash and \n cash equivalents | \n 171,523 | \n187,011 | \n
Advances on \n authors’ rights | \n 2,847 | \n2,033 | \n
Advances for \n suppliers | \n 7 | \n19 | \n
Recoverable \n taxes | \n 196 | \n3 | \n
Prepaid \n expenses | \n 278 | \n275 | \n
Other \n credits | \n 114 | \n141 | \n
Non current assets | \n24,227 | \n25,346 | \n
Long-term \n assets | \n 56 | \n23 | \n
Deposits or bonds | \n56 | \n23 | \n
Fixed assets | \n23,626 | \n24,806 | \n
Intangible | \n545 | \n517 | \n
Total assets | \n199,192 | \n214,828 | \n
LIABILITIES | \n2018 | \n2017 | \n
---|---|---|
Current assets | \n131,709 | \n151,146 | \n
Social security and tax \n obligations to be collected | \n 1,732 | \n4,777 | \n
Accounts \n payable | \n 142 | \n133 | \n
Provision for \n vacation/Other | \n 2,581 | \n1,836 | \n
Payable \n authors’ rights | \n 4,321 | \n20,692 | \n
Collected royalties \n for distribution | \n 122,933 | \n123,708 | \n
National | \n33,222 | \n34,322 | \n
Foreign | \n89,711 | \n89,386 | \n
Non current assets | \n14,141 | \n14,191 | \n
Provision for \n legal fees | \n 921 | \n971 | \n
Provision for \n caseload expenses\n | \n - | \n- | \n
Provision for Infraction \n Notice – CIDE (Contribution for Intervention in the Economic Domain – Federal Tax) | \n 13,220 | \n13,220 | \n
Net equity | \n53,342 | \n49,491 | \n
Accumulated \n Surplus | \n 53,342 | \n49,491 | \n
Total liabilities | \n199,192 | \n214,828 | \n
\n | 01/jan/18 31/dez/18 | \n 01/jan/17 31/dez/17 | \n
---|---|---|
Operating revenues | \n30,838 | \n34,703 | \n
Administration Fee | \n30,036 | \n34,610 | \n
Foreign | \n627 | \n493 | \n
National | \n29,409 | \n34,117 | \n
Other Revenue | \n802 | \n93 | \n
Operating expenses | \n(33,276) | \n(34,505) | \n
Personnel | \n(19,208) | \n(18,255) | \n
Administrative | \n(9,320) | \n(11,475) | \n
Minimum Salary \n and Social Security | \n (440) | \n(428) | \n
Depreciation | \n(1,524) | \n(1,146) | \n
Tax | \n(2,784) | \n(3,201) | \n
Operating surplus/deficit before financial outcome | \n(2,438) | \n198 | \n
Financial outcome | \n9,569 | \n10,778 | \n
Financial Income | \n9,801 | \n10,932 | \n
Financial Expense | \n(232) | \n(154) | \n
Surplus before social contribution and income tax | \n7,131 | \n10,976 | \n
Social contribution and income tax | \n(3,280) | \n(4,743) | \n
Surplus balance sheet | \n3,851 | \n6,233 | \n
\n | 01/jan/18 31/dez/18 | \n 01/jan/17 31/dez/17 | \n
---|---|---|
Balance at the beginning of the financial year | \n49,491 | \n43,258 | \n
Surplus/deficit balance sheet | \n3,851 | \n6,233 | \n
Balance at the end of the financial year | \n53,342 | \n49,491 | \n
Cash flow of operating activities | \n01/jan/18 31/dez/18 | \n 01/jan/17 31/dez/17 | \n
---|---|---|
Surplus/deficit balance sheet | \n3,851 | \n6,233 | \n
Adjustments for: | \n\n | \n |
Depreciation and Amortisation | \n1,524 | \n1,146 | \n
Retirements of fixed assets | \n26 | \n82 | \n
Creation of Provisions | \n695 | \n717 | \n
Increase in Account for Advances | \n(802) | \n(468) | \n
Increase (Reduction) in Recoverable Taxes | \n(193) | \n1,747 | \n
Increase in Other Assets | \n(9) | \n(43) | \n
(Increase) Reduction in Accounts Payable | \n9 | \n(162) | \n
Reduction (Increase) in Fiscal and Social Obligations | \n(3,045) | \n3,751 | \n
Reduction (Increase) in Royalties to Pay | \n(16,371) | \n19,900 | \n
Reduction (Increase) in Collected Royalties to Distribute | \n(775) | \n57,113 | \n
Net Cash deriving from (applied to) Operating Activities | \n(15.090) | \n90,016 | \n
Cash flow on investment activity | \n\n | \n |
Acquisition of Assets | \n(338) | \n(6,640) | \n
Investment in Intangible Assets | \n(60) | \n(78) | \n
Net cash used in Investing Activities | \n(398) | \n(6,718) | \n
Increase in cash and cash equivalents | \n(15,488) | \n83,298 | \n
Cash and Cash Equivalents at the beginning of the financial year | \n187,011 | \n103,713 | \n
Cash and Cash Equivalents at the end of the financial year | \n171,523 | \n187,011 | \n
Cash variation and cash equivalents | \n(15,488) | \n83,298 | \n