2022 Oscars Revenue Rises, but Investment Losses Hit Film Academy Bottom Line

2022 Oscars Revenue Rises, but Investment Losses Hit Film Academy Bottom Line

This year’s Academy Awards broadcast on ABC saw its TV ratings rise considerably from 2021, and financial statements from the Academy of Motion Picture Arts & Sciences show that revenue from the event also rose year-over-year.

Revenue from the Academy Awards and “related activities” was $137.1 million in fiscal 2022 (which ended June 30), up nearly $20 million from 2021, when it had revenue of $117.7 million. The Academy’s deal with ABC and Buena Vista International (which handles international sales) is built around fixed license fees as well as sales or usage-based royalties (which would benefit from improved ratings and advertising sales), a possible source of the jump in revenue.

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2021 was an all-time low in the ratings for the Oscars, which also saw the event leave the Dolby Theatre for a stripped-down show at Union Station in Los Angeles. According to the financial statements, the Academy also amended its agreement with the Dolby Theatre last fiscal year to end the current contract after the 2028 Oscars, aligning it with the ABC broadcast agreement. The old agreement ran through 2032.

The financial statements, which were filed with the Municipal Securities Rulemaking Board on Tuesday, also revealed financial information for the Academy Museum of Motion Pictures, which opened its doors to the public a little more than a year ago.

According the statements, the Academy Museum brought in earned revenue of $23.6 million in fiscal 2022 (that number does not include fundraising or donations revenue). However, the launch of the museum also caused expenses to skyrocket, with the organization recording expenditures of $93.5 million during the year. Those expenses included some construction costs for the museum, suggesting that expenses may decline in coming years.

The Academy Museum also recorded a $12.2 million loss related to an exhibit or exhibits that it had developed but decided “would not be utilized in the museum.”

In terms of topline revenue, the Academy reported revenues and gifts of more than $287 million and an increase in net assets of more than $69 million. While revenue was up substantially from 2021 ($210 million), its increase in net assets fell (from $89 million), largely due to losses in its investments (of -$45 million), which reflected the difficult stock market this year.