During the years 2021 to 2023, R. Kelly's music catalog averaged nearly 315,000 album units of consumption each year in the US. Advertising sign it is estimated to have generated approximately $2.3 million annually for the singer, adding together the major recording and publishing earnings from these projects.
But the estimate of Kelly's earnings isn't that simple — that estimate doesn't include royalties he derives from his outside work for other recording artists as a producer and songwriter, nor does it include royalties from covers of songs he recorded or wrote for other artists. Sources familiar with Kelly's royalties say these additional sources of income add up to several million more annually.
And there are other factors that play into how much Kelly himself earns from his projects. In total, Advertising sign estimates that Kelly's recorded master catalog generated an average of $4.1 million annually over the three years under review, while his publishing catalog—boosted by Kelly being the sole writer on most of his songs—earned about 2, 3 million dollars per year in total for all interested parties during the period.
Sources say Kelly does not own the major recordings he made during his time as a top artist, which represents the majority of activity in his catalog. (Later-period recordings, which Kelly may own, don't fare as well in generating sales and streams.) So if she earns a 35% gross royalty rate—a common rate for superstar artists— Advertising sign he estimates that he earned around $1.425 million a year from his major recordings. Even if Kelly doesn't have his version of his most popular music, he doesn't have many co-writers, so he claims a large share of his releases. Considering that songwriters later in their careers tend to own their labels or sign new deals where they have a stake in their labels, Advertising sign estimates Kelly's royalties from his master recordings to be around $865,000. When added to the estimated master recording royalties, this comes to $2.3 million.
An attorney for Kelly was challenged Advertising sign's estimates, calling them “speculative” and would not provide further information.
Beyond Advertising signAccording to his estimates, Kelly's royalties include production fees for other artists in the Sony Music Entertainment system — for example, Aaliyah's 1994 debut album Age is nothing but a number, which was originally released on Jive but is now available through Sony's Legacy label, meaning Sony is paying him royalties for this recording as well. Sony also pays him publishing royalties on recordings it owns. (Kelly himself had signed a publishing deal through Universal Music Publishing Group.) But it's unclear how much additional revenue is generated for him annually.
In terms of publishing revenue generated from Kelly's artist roster, Advertising sign's ballpark estimate is supported by financial data provided to the Eastern Division of the Illinois Federal Court regarding the restitution required in this court case.
According to court documents, Kelly (who under a traditional publishing deal would receive 50% of the revenue generated by the publishing catalog) was paid $442,0000 on August 28, 2022 for the first half of the year. and, as of Dec. 31, UMPG retained another $384,000, for a combined annual total of $826,000. That brings total publishing revenue for the full year to $1.65 million, which is below Advertising signThe total estimate of the publication is 2.3 million dollars. However, the UMPG statement excludes performance royalties paid directly to him by performance rights organizations.
In a few years, his publishing rights could increase thanks to US copyright law, which allows, after 35 years, authors to reclaim ownership of creative works published after 1978. As Kelly's first song appeared in 1992, this means that in 2027, songs released that year would be eligible for copyright termination and reinstatement for the US portion of his publishing catalog if he or his representatives follow the regulations affecting termination. However, a search of the US Copyright Office's public database turns up no “termination notice” records from Kelly. While the law allows notices to be filed up to 10 years before the 35-year period ends, Kelly has until 2025 to file for the songs published in 1992 for the termination to take effect by 2027.
It would be difficult for Kelly to sell his own catalog, considering his convictions in New York and Chicago that saw him spend decades in prison and have scared off many music property investors. But using a blended multiple of 16 times Advertising signBased on his estimated average annual income of $2.3 million, this estimated worth is around $37 million.
But Kelly likely has a valuable revenue stream from his work as a songwriter and producer for other artists, which could very well fetch a nice valuation if it ever comes to market.
Additional reporting by Bill Donahue.
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