LYV - Earnings call transcript Q3 2024 | Live Nation Entertainment, Inc.

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Operator

Good afternoon. My name is John, and I will be your conference operator today. At this time, I would like to welcome everyone to Live Nation's Third Quarter 2024 Earnings Call. I would now like to turn the call over to Ms. Yong. Ms. you, Thank Yong.

your begin You conference. may

Amy Yong

Good afternoon, Quarter Live Third to Earnings welcome Conference the XXXX Call. Nation's and

SEC Joining that new us to refer and actual like today refer Nation and has is are differ, will these accordance GAAP Nation's Joe our website. company's found Live XX-K, remarks. President and I'll XX-Q, X-K provided factors and statements Information brief Live under statements forward-looking anticipated business filings some could Nation's prospects, and on for that afternoon's the that Joe to cause to contain you with G, risk the certain be a of it our statements over to a section turn most this uncertainties Please the financial on can CEO, CFO, our matters. to developments impact Berchtold. We including that will related including similar remind would and results the risks to subject this results. Live included could description call full to measures earnings call. uncertainties President With Michael company's also The Nation reconciliation comparable measures for definitions and of reconciliation Financial release release. and on Rapino, the non-GAAP in Regulation Forms filings, Live In SEC most to performance, in the cautionary measures that, the recent actual risks

Joe Berchtold

quarterly conference call. you, Thank for joining our everyone,

on our Wednesday release. we into go as we'll the investor and Thursday. everybody coming have right think presentation I up And then again on knows, questions

Operator

LightShed question of the first line Brandon from Ross Partners. with [Operator Instructions] And the comes

Brandon Ross

Thanks for the questions.

is outlook but timing over about and release. tough guess how that it's that the of margin P&L? it that's forward-looking that lot I trend, that year how on And to the from QX, I help that a And Can I eventually on think us are addition very year. in the a reverse side, been the on positive perspective? gave hoping a to stadiums going big QX through you you concerts, showing? top flow could was assume indicators in growth indicators First, will the year line year. a next continue going to then look next obvious was Ticketmaster

Joe Berchtold

then Thanks, with add. and Ticketmaster Brandon. is starting QX. start Michael with This Starting I'll Joe. and can

we noted up Ticketmaster As concerts October up they're sales for XX% month, XX%. the quarter year-on-year. Xst of were

to itself we're sale. deliver on great we manifest So that expecting arena arena and and in next Ticketmaster in a XXX very QX stadium strong have going to start QX shows alone, pipeline and stadium over week

year. period in and we're, Ticketmaster So next QX. level in into unprecedented I of think, And of through continue will QX for that then a activity

events you've year's that more off get next on Ticketmaster you We Europe that in events then where expect have plays 'XX some deferred like it sale, off. the that to with the great a you recognize play stadium got you volume of get look you the as that as also of and but activity

very be more expectation strong of baseline amphitheaters strong next QX, year. strong from arenas in should is to obviously, this stadiums So growth. strong for Added next growth very and our revenue continued beyond Concerts, AOI Ticketmaster. that, having for growth, 'XX year, AOI year the or in strong like growth,

the concert mix bit but the business. to early all it's margins, exact revenue and venues AOI of growth know think probably for for both a strong I overall, those

Brandon Ross

it very investors closely. of Trump lot is you've a very a be going And you. think I'm sure that to good for Okay. thing studied

perspective, And he's the the antitrust then you think when structural Do going timing are think they favor your with do what and Just the you wanted behavioral? next to on DOJ? get a have will hear to an opportunity remedies? thoughts how associated table or approach to separately, you'll from to

Joe Berchtold

Yes.

the very transition still early it's think process. I in

say Live the agencies So problems generally ways to approach much. absolutely, traditional we're where government see we'll that they that to more And the return find hesitant have targeted But marketplace. antitrust try hopeful to too the remedies, minimize to a intervention see in we solve without administration. with think, that are Ticketmaster today a Nation the case, much that be Obviously, an example would specifics, break parts of of we the of highly reflect interventionist interventionist getting into request at expect Republican philosophy the some least you'd to believe more up approach. and

They their to end, be need are. as to engaging year. certainly with we in next but start could engage as get the we'll things they that through and them be we'd So get ready appointments soon early obviously on settled hopeful

Operator

next question from of the with Karnovsky comes JPMorgan. David the And line

David Karnovsky

two Just for me.

updated revision second, possible mid-teens to 'XX then And to you financials. changes on FX what notable general out AOI flow. in view And the that us to the cash on to First, about 'XX? think how other LatAm quarter? you an are? the on just versus LatAm. any have QX walk free you XXXX you for the didn't Can the early AOI through FX what Can and mix regions impact fourth see on due refresh And it but triggered called release, I then

Joe Berchtold

Sure.

the first, So financials. revisions of on the

U.S. to OCESA nonconsolidated that is not But made we we it numbers. the tax -- paid adjustment on our had was 'XX This to investments we between with in had restate so to to on was We numbers. those when with U.S. just difference some we U.S. what and and context, or Mexico. 'XX made through the sense has statutory noncash make. missed we decision. It GAAP in auditors, nonoperating working We side. the for the we accounting material the taxes it do So missed had It a purchased

noncash, nonmaterial those onetime again, numbers. So to

which the just had of operating FX FX demand the a coming we this in over both are looking weeks. profile markets metrics those all you on supply QX to previously seen does just We about modeling the 'XX full strong going and back We've we've talked some about also as quarter. out we're the don't magnitude plays wanted had It's being point update therefore, of you of the for our looking and in material this amount we'll of been to you. is at And for terms the time, they people just at growth quarter, which talking material it on activity AOI In America, to and the look our the numbers impact, over year flag a It's still disproportionate more because good. in QX NOI Latin be point. at step we FX terms activity. a don't this aware I of of, But look and a we'll impact in and just Latin lowest more it's that be how from the disproportionate and a think markets the that, at fourth the issue that tends 'XX, have. downturn really several see to when American has we year past 'XX

things when get is that where quarter just you to so around. have swing by have from, impacted and So your can activity FX, coming your start growth you lowest

Operator

with the Goldman And the Stephen comes next of Laszczyk question Sachs. from line

Stephen Laszczyk

called AOI Maybe us 'XX, looking this how I about by XX% the sponsorship execution first out segment second year? maybe would on year. encourage if this business to sponsorship, in the you strategic the increasing verticals for concert business Michael, you number for in the could. Joe, next any Are performance? replicate Curious, see Two, think then the out where you outsized partners of for there of you could opportunities where And XQ.

some think XQ marketing in next think how with could out And about any be how color could much to AOI. the over spend on called be You weeks sales associated us on I'd of on just coming segment here. couple help you if concert those about curious sales? the maybe of

Michael Rapino

Stephen. you, Thank

On the years look be this side, for been start or Day. our sponsorship sponsorship has multiple we the week giving as last this the at continually so, concert But our of still to on double-digit We more very, into And growth. and Investor site guidance maybe our for very again, challenges of tend We business the companies rise decade segment. get -- see companies happens, We overall some any strong, dollars good time that very experiential business. advertising spending with that. have. on to money we'll that's different moving that than other more

look at the that in onward AOI we growth past in continual So and to 'XX able as we've deliver sponsorship. been

around One drivers our sponsors. ourselves of of do time and world, And is shows the more provide we more every more the foundational opportunity we globalization. that

relationships. and So growing more and doing in open our when Singapore, just shows, provides borders new new American doing inventory Middle us business, it Australian when to all Latin shows more Asia, East, now you're India, these you're

grow, pipe global will continued we'll see our as So sponsorship continues to our so growth. and

Joe Berchtold

QX, right, the our particular relates is a obviously, regards, in in that QX more ramping more up the beast it as for next Stephen, year, we're impacts And to concerts AOI. some because great concert in a

think doing activity around plus as or XX, shows the come for land we the up year. the I expect the basis expect in in numbers XXXX. looking at I write full of that XX total, points, that ramping the even where But in where around the handle they broad XXXX. year. as it have with that X not or but from think were to and as business, at personnel I year our worry months were in we we'd expenditure certainly of here, we're we're all the a to be I'm So advertising -- in we expect we're next again, double-digit now, our going do standing X concert is that tremendous minus to now, context, to volume to think end increase in off the We're margins we prepared

Operator

the next Mansson-Perrone line Cameron question the Stanley. comes And from from of Morgan

Cameron Mansson-Perrone

XXX amp I'm but On already that new the sponsorship allowing could looks or so Can July, timing And then then for pull if execute it's wondering generating some you about increase, it's Michael. what new what's now opportunities. was on the million. execute assuming There's is those up any to for existing was consideration, is of on $X further that on number that just provide color of sponsors? what's if there? current the venue it you in right -- been maybe color And are changed question, And there? the expanding growing you a project, or to new allowing you talk follow more like pipeline well anything forward? -- to pipeline to the that relationships? and relationships, of over the Or partners growing CapEx I what as

Michael Rapino

sponsorship. on quick A

to tend saying with start then of that with few brand talking them. that or regional you do the deliver time a the years, at for relationship time any good form been next CMO programs. that around For large relationship We we've that take can a relationship, and broader getting

have be to we into and base rate, renewal good understand grow tend needs. the our upgrade got to So continue brand able you tend current once a you your and We to we've ecosystem we very to sponsors.

from base you So XXX growing customer coming of our base give sponsors most On with current estate, X,XXX them expanding and then markets. of our outside current will it the obviously updates. is to real Joe and

of to onward We returns week be into going take great 'XX that. on more this kind details CapEx We'll the have and of for rolling what continue terms venues in a you are you pipeline. to out

Joe Berchtold

buildings quarter, in on build And we for here partnership CapEx the know, the the of as Yes. often others. specifics with you

we're signed where situation a a formal the us That that for give would period we've books. an our extended put recently onto talking the an agreement, amphitheater the ground. We we then only need in is together. fair And has this which was amphitheater. doing controlling the move a all partner by of then into formal already signing capital partner it to to interest a CapEx about agreement been So bit

the but other So you expected of increase the $XX saw increase from $XX a parties. saw you the CapEx capital million coming year, also of million for in

project is what partner put So this into already most it. capital the has on a of

less somewhat than cash the putting that net that. we're is So out

venues, to we the the about bring There build more XX as over terms accounting venues fans. change refurbishment 'XX, next substantial through the of noted of the million new end In incremental for expect year was $X or release, online. we new and in

next more the sort will we over into mid-range noted, on Michael the planning days. detail venues As of on couple of get

Operator

America. next comes of question the from of Henderson line the Peter And Bank with

Peter Henderson

remains most that, on up much to the you color time? implement some resonating can I most casual fans? provide the driving to fans are with where you regular how opportunity mean, think you or or then premium on caps? And Can what and per where And versus And per are related initiatives do super tiered go fans just monetizing caps over experiences?

Michael Rapino

get those quick shot questions. I'll broad give into a pretty again. because this week strategic more are We'll detail

I that the wants super premium a talk selling We've or the companies show. to On at for quite fan been it. fan fan, while called super about the hear I premium experience know VIP fan that the a other

forever. So that's kind skill of ongoing set been we've an had

year in X%, used serviced. to X% percentages grow we as still think past, premium. We under We've Our job can every show X%, that see of more. up the the is it XX% and pie

lot doing better venues into premium experiences for turn them at taking at is a the regular we're of seats refurbishments So night. experiences about to

base, we boxes, out customer big entire inventory. a So using underpin we to out experiences premium the of forward growth it's because of same sell the premium always sell our the think but is

First, a have that. problem never we selling

big and when seats starting our that as as CapEx must buildings think lounges we're we and We're they percentage and our well So that of mandate experiences. higher is new have building with them. this part of a premium refurbish certain our a

those return. So a much better with start venues

first again question. shoot -- question the First

Peter Henderson

do Just sort go fans the initiatives where time? what of where of most you do and our caps driving can resonating you caps -- up over think are per think and

Michael Rapino

having a these same probably job, it traditional of and L.A. it following different arenas before, food It's the a bundle high-end new ], They've it's most kind POS. in the your all this Most in started and the sports, Intuit beverage offerings food food. the traditional beverage we're is Stadium. all the here and fabulous night -- SoFi it food the around billion -- the offering, said very higher-level of We $X stadium, and options, is have value forum new about non-alcoholic old versus whether having [ the Dome in I've day, all in to of more playbook. was -- venues, having versus mocktails, around done

So that's $X been the We future using few our our continue arenas. amphitheaters, last we -- think that per the the some in can We've ongoing path over see we on. our theaters, head growth years. in this

] our current our are upgrading probably F&B base, of end around all historic it's So great amps, venues good, the customer quality our [ for lower measures.

that selection increasing amount premium all has it's of POS runway upgrading offering, So combination, still about of offering. every that year, And upgrading lots our our of we think left.

Operator

comes the with from of line Katz the question Jefferies. And next David

David Katz

or brought Number sort shift week the over thoughts if one to one, week? quick past your a or so given wondering around please. shift the I And past has change quite bit follow-up, have start to of change. started M&A I'm philosophy have then of

Michael Rapino

kind We couple No, in what the of M&A with last nothing's our we where that do building around we in -- way stands moving the been doing. any of like haven't would or we've don't regulation sizable years business. the really and world America. have without We the changed targets we're

any space the in add a and it's festival in that cities that years like don't think out amphitheaters around a kind bolting similar Austin, on, Nothing changes always world. great or these X and whether seat us and want arena white those pipe X,XXX the we a forward. over or see in some changed of of add around XXX or entertainment there big we amphitheaters last looking has an have We're I the those You a world. and are promoter, going

David Katz

of which as what a them, secondary World just though would some But every any ticket answer draws toward I and that's in ticketing we've of if I strategic something mind Are kind it a Okay. you attention is maybe like the sense amount appropriate I portion you talk bit I it part to strategies written smaller there's there -- recognize that have a a we tremendous do. to it general best sometimes here. thought of to but the and Series question seems about a comes misplaced a the more get about and seems And time that or wanted ask prices a it's about is Understood. just forum market, bit and high, and that see biggest. this not something as any just raise

Michael Rapino

be to but emotional how America we to different come free amused market reaction. is kind seems much run. statement, and music, little broader some at regulation least hasn't clean this selling honor yet to a sports sports better badge other and of secondary around around We of a expensive to of bots those around between that always to are get yes, go is price there's been practices really Much spec up. of for, minimum life hope the where more but like that is We a lower than at tickets always secondary get we'd the But spoke which seems secondary legislators.

we it be So time, secondary to more hope and more attention the market. over around seems

the regulations place So we consumer. better time, get put in to over help hope

Operator

the question Supino with of And Wolfe from comes final the Peter line Research.

Peter Supino

question heard activism position. Ticketmaster's of question a of the one a in lot that to that of is year Ticketmaster. all A that technology. And about DOJ, the the defensibility pillars the has competitive related we've the last With

or making could position reinforcing whether is ways investments are so or you the that the is demand competitive it just generation that comment I if wondered Ticketmaster extending Ticketmaster important in technologically. to initiatives And on other and you most think technology, bots its relates

Joe Berchtold

we spend in of Yes. tens of millions dollars And Sure. you Ticketmaster. as Peter, know, on capital

handle. side, past platform recent to included also we to we marketing of to science lot delivering. their past content people help they're our and the on products Certainly use market to is recently deliver the sell enhance world technology that been ticket best others high handle obviously, done of that shows, the to has developing think pricing and offer on stop tickets Ticketmaster to the continuing also side innovate number able big first as years, own seen marketing have trying sales all much capabilities demand itself, experience that we've things to enterprise the and around on at. the our tickets venues, on And to digital where the of said, the around everybody volume and a on the great continue a in ability a just better been that think to I the help unable to We at to who over sale. investments foremost, others value is the you couple then years promoters, understand a Ticketmaster that's market

consumer-facing So of technologies as well. range

investor expect a We right? is technology it's The company. ongoing,

you're marketplace developing an a So continue to to on be both basis. going products and enterprise

Operator

there this at are time, questions. And no further

Now call the to team management I'd closing pass Live over back the like to remarks. for Nation

Michael Rapino

Thank you, business this to everybody, about and look more our week. forward talking

Operator

today's teleconference. And gentlemen, does ladies conclude and that

You this your you disconnect lines Thank may your at time. for participation.

Live Nation Entertainment (LYV) 11 Nov 242024 Q3 Earnings call transcript