| 15 Apr 2024
Live Nation Entertainment revenues go up amidst increased net loss

MUMBAI: Live entertainment company- Live Nation Entertainment, Inc. has reported three per cent lower revenues in Q3 2014 compared to same quarter in 2013. However, the company reported a growth of six per cent for twelve months ended 31 December, 2014 compared to same period last year. 

The revenue of the company mainly comes from concerts, ticketing, artist management, sponsorship and advertisings, and other divisions. Of these categories, concert revenues witnessed a decrease of 11 per cent in Q4 2014 amounting to a total of US$ 966.8 million as compared to Q3 2014 which was US $ 1,083.7 million. However, in the 12 month period of 2014, the company reported growth of five per cent in the concert revenue category. In sponsorship and advertising revenue, the company witnessed a growth of five per cent in 12 months of 2014 as compared to last 12 months of 2013.

The company reported that its operating income was US $186.9 million in Q4 2014 as compared to US $51 million in Q4 2013. The operating income witnessed a major difference in concerts in the same period of time. Operating income was impacted by the goodwill impairment. In 2014, the adjusted operating income and cash flow for the company grew by 10 per cent and 9 per cent, respectively.

According to the company, it managed to conduct 15,948 events in North America and 6,853 events internationally in 2014, which is estimated to be about 22,801 events. 

Compared to 2013, the previous year witnessed a slight fall in numbers of events, but is still higher than 2012.

Meanwhile, the net loss attributable to common stockholders of Live Nation stands at US $ 186.5 million and which is more than 90 per cent higher compared to 2013, which was US $ 82 million. However, in the 12 month period of 2014, the net loss attributable to common stockholders of Live Nation was reported to be US $ 90.8 million and in 2013 was US $ 43.4 million.

The company stated that its artist management business witnessed 16 per cent growth in Q4 2014 compared to Q4 2013. However, in the 12 month period of 2014, the company witnessed a growth of 10 per cent, as compared to the same period of 2013. The company was able to attract artistes like U2, Madonna, Lady Gaga, Miley Cyrus, Britney Spears, Nicki Minaj, Lil Wayne and Alicia Keys.  As part of the tour for the above mentioned artistes, Live Nation was able to conduct over 700 shows in 2014.

Last year, the company expanded internationally with acquisitions and partnerships. Live Nation entered countries like Philippines, Thailand, Taiwan and Indonesia. The company also strengthened its hold in North America by acquiring Austin City Limits and Lollapalooza festivals and brands.

The press note by the entertainment company stated that Live Nation is confident that the “business model, and its scale, provides ongoing growth potential.  There remain continued opportunities to consolidate the global concerts business, and we will use that scale to drive fan monetisation, advertising and ticketing.”