Live Nation Entertainment, Inc. Sold 105 Million Tickets Last Quarter — The Motley Fool


Ticket vendor and dwell occasions arranger Live Nation Entertainment (NYSE:LYV) reported third-quarter outcomes on Thursday. Top-line gross sales jumped 12% larger and web income rose 23%, as the corporate elevated each the variety of managed occasions and common ticket costs. Here’s a more in-depth take a look at Live Nation’s quarter.

Live Nation’s third-quarter outcomes: The uncooked numbers


Q3 2017

Q3 2016

Year-Over-Year Change


$three.56 billion

$three.17 billion


Net Income Attributable to LYV Shareholders

$136 million

$111 million


GAAP Earnings per share (diluted)




Data supply: Live Nation.

What occurred with Live Nation this quarter?

  • Ticketmaster bought 50.2 million fee-bearing tickets and 65.three million fee-free stubs within the second quarter, up from 45.9 million and 68.1 million, respectively, within the year-ago interval.
  • The variety of North American live shows coated by the corporate’s providers rose by 7%, from four,950 to five,275.
  • The worldwide section managed 1,483 live shows, a 23% year-over-year improve from 1,207 occasions within the third quarter of 2016.

Based on these outcomes, administration reiterated that the Ticketmaster section ought to ship progress within the excessive single-digit vary for the complete 12 months, each when it comes to revenues and within the adjusted working revenue. Sponsorship gross sales and working revenue progress is monitoring within the low teenagers. The live shows division is headed towards “record results,” that includes 20% larger ticket gross sales.

A simple event ticket, resting on the neck of a Fender Stratocaster guitar.

Image supply: Getty Images.

What administration needed to say

On a convention name with badysts, Live Nation’s government crew supplied precious backstage insights in regards to the gasoline for the corporate’s progress fires.

Music festivals have change into an necessary progress driver. As the corporate connects manufacturers with shoppers by competition sponsorship, revenues in that enterprise are up 20% 12 months over 12 months. In normal, Live Nation has attracted greater than 50 million-dollar branding campaigns and this group of huge spenders now accounts for 80% of the corporate’s promoting revenues.

The worldwide success story was additionally constructed round a handful of celebrity shoppers, mentioned COO Joe Berchtold in keeping with a transcript courtesy of Seeking Alpha:

Our worldwide markets have been significantly robust this 12 months, including 5.5 million followers whereas the U.S. has grown by three.5 million. Arenas and stadiums have pushed a lot of this progress globally, including 7 million followers whereas festivals and theaters and golf equipment additionally contributed to those will increase.

Underlying its progress is an increasing group of artists touring with us, lots of whom at the moment are touring throughout a number of markets or globally, together with six artists who’ve every carried out in entrance of over 1 million followers up to now this 12 months: U2, Coldplay, Guns N’ Roses, Depeche Mode, Bruno Mars and Metallica, all of whom we labored with globally.

Looking forward

Live Nation’s administration thinks of the live performance enterprise as a flywheel, borrowed from the dictionary of Good to Great creator Jim Collins. It’s not simple to speed up that hefty operation, however the momentum that builds while you do obtain important progress turns into a self-reinforcing progress engine. Live Nation can then construct extra enterprise alternatives on and round that vibrant core, paving the best way towards years of sustainable progress.

That’s the idea. Right now, Live Nation is plugging in new concepts to the concert-based flywheel, akin to all-digital ticketing techniques designed to present companions and advert consumers a extra full image of every particular person ticket purchaser. Fortunes have been made on related enterprise platforms, so Live Nation is borrowing concepts from some highly effective position fashions. Now let’s examine how focused promoting works out within the ticket-buying sector.

Anders Bylund has no place in any of the shares talked about. The Motley Fool recommends Live Nation Entertainment. The Motley Fool has a disclosure coverage.

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