LYV - Earnings call transcript Q4 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 Fourth Quarter and Full Year 2024 Earnings Call.

I would now like to turn the call over to Ms. Yong. you. Thank Ms. begin may conference. your you Yong,

Amy Yong

welcome Good Year Live Full the Fourth afternoon, Quarter and and XXXX Nation Call. to Earnings Conference

Joining and President President Berchtold. is Rapino; today our Joe and CEO, and CFO, us Michael our

anticipated would and differ, contain SEC forward-looking and including to will uncertainties statements We afternoon's could new cause to company's are certain to related that statements remind this financial like actual prospects call subject that that Nation's developments performance, risks business you results the company's Live to including to on refer and Please matters. could the statements for the similar factors uncertainties risk in Forms X-K impact cautionary risks actual most filings, and description and and the filings of results. a that XX-K, included XX-Q recent

some definitions The earnings of the measures reconciliation under on the will on SEC most measures Financial refer Live measures Information comparable with section accordance full our can Nation this website. these provided G, release. In also Live has GAAP release found to Regulation Nation's reconciliation to non-GAAP be and a Nation call. Live in

will we Operator? take that, With your now questions.

Operator

Instructions] first And from comes line Stephen [Operator Laszczyk Sachs. Goldman question of with the the

Stephen Laszczyk

off, start for consumer to on it Maybe demand. Michael,

over sale? the you cautious November seeing you're in we on makes few seeing on play of out lot lot supply You caught put the you're since that any trends front a about guys far any demand a could have a little constructive across demand last months. maybe talk slate on the anything there before the went that you Is year. stadium curious, market last I'm bit of so the or more more this perhaps the more supply up

Michael Rapino

Thank you, Stephen.

got start we've to the had a marketplace. a We've As you of inventory said, in lot year. the great

year. through XX%, on demand. the much sell-through and we're seeing selling higher than at we than level stadium higher year. strong at over any sales, seeing stat, first are rates week the the If last continued previous look We We're one that's

faster than seeing So we're consumers any or year-over-year buying base. up comparable ever, stadium dates those up

So stadiums get but to out inventory, of the no by we time show great of close these most being dates. slowdown at demand, sold the all. to selling out Lots or equally

Stephen Laszczyk

then for Joe. And a maybe great. That's follow-up

the spoke that side the inventory about well how Concerts 'XX mix segment does I'm Given maybe towards think about Nation, that Joe, impact you the you direction, the of curious in side Venue factors AOI you we feel on have for And could the into mix should year back the takes that in this shift and segment? stadiums and bit the speak this growth I'm little stadium Michael year or on year. and that amphitheater how a to equation, that? as How the if this growth shift puts curious, the more margin AOI on visibility like

Joe Berchtold

Thanks, Stephen. Yes.

good revenue I volume to more think business. to way, see that this growth. leading the 'XX at as we're the I'd a some all With growing this look year we going year be stadium how expect like is

X I lot deliver to think amph foremost, kind and side year a big revenue about the I a Ticketmaster, of first XX shows it that beneficiary. be for will took last show. the other on Ticketmaster's talked stadium

shows. Now we stadium have all those

the So that Ticketmaster side. benefiting on I think really you'll see

here, sponsorship business up that's I digits. We think extremely sold, continue we that XX% note performing double to well. a have

deliver ongoing continue you expect growth. So that to some to strong

venues. money with making at as just money absolutely own Concerts we the our money shows, stadium and all these to We we're returns. the these on do don't get shows, beer attractive on count side, Then all the parking

into don't know the come the amph I growth, haven't So gotten pace of AOI of which because it ultimately to growth revenue versus down season, think we will we pace the over to on part festivals, of of year. our question and our amphs, at the clubs on we our course per-caps theaters at much latter do growth the how get your yet the

All of versus growth help growth of there. the that revenue determine AOI exact will balance just

to Michael all the all growth this well for of businesses -- aggregate, we AOI But in to And year. said, the double-digit performing see expect deliver business. continuing as

Operator

next from the And question Ross the line Partners. Brandon of LightShed comes with

Brandon Ross

was that been then and, Something disconnect ticket frankly, higher X%, that you the the the given much XX%. to the gave was that me? for guys that Stephen's event-related you Can said thought in last release question. out deferred that up explain and to would stood transacted have volume, only me at pipeline answer you Ticketmaster I

Joe Berchtold

Sure.

because take think me in going slightly different of I Let the on. X they're pieces terms what's different

is Ticketmaster transacted up volume, tickets while X%, you up XX%. noted, are concert as our So

shows but look X%, if around the things, high lower tickets roughly lower-priced is almost end concert So you of tickets, million. the our double TM at all were numbers, up and our The off up other family everything $X which base. the at to, the tickets at end, of transacted of

So what Ticketmaster you Nation growth this has the that year, the Live in selling. of been strong at is, have concerts point

You the whether have other buildings. some a the Ticketmaster other, activity in bit promoters less or of activity in they're the some of

XXX We about year But the about early we're tickets. ended Ticketmaster very at up still scheme. last XXX in the million tickets. It's million year

off that. growth We expect to of see

Ticketmaster point we're the pretty on somewhat volume So for the along at to opposed further side. as early Nation Live a

to bit number. So I think it's that read a much too into early

owned this that was quarter last deferred, of think the a terms stadium Then the majority This on-sale of the we in saw we the of what on-sales. year, year. in different fourth such year the than because had terms timing lineup, slightly really I strong

we the growth. had arenas end on that the last we saw as the side. didn't earlier Last on drove 'XX, didn't on-sales sales and But and amphitheater on the early amphitheaters of we because that stadium have the of in So year, volume year. some arena we have

at that deferred point. So that's of growth got in at effect level the why you double-digit

Brandon Ross

getting answering shows talked some then see I strong high-priced of But and at about look these Michael, Stephen's lot Do that? shows ticket think I the just prices so ahead optically, itself, how And shows. some is stadium? this is Great. pricing you there you explanation high-profile stadium to or ticket of versus tickets apples-to-apples And for grow on for lot sale expect should a year, still question. demand a for we other in of stadium

Michael Rapino

Yes.

a price the front I house. accessible but keep -- don't general, my best to make I the seeing ticket, you're to think the do scalpers artist, is every cycle, it in fans of with on way more how what's the sure educated my away run little

instantly-sold-out-at-XX:XX-a.m. lot of wealth right transferred somewhere the a stadiums seeing means we've we scalpers. these sold So love The sitting out to about XX% now.

If Those about you to now sitting any be flush are of the tickets date. the market. those see show -- and any tickets between out on will tickets you're high-end talking going

which closer making priced until tickets few around So strong where consumers a these to sure on have price, they're to demand. market, it's that we you'll which stadium are we think means good get high-end a also show we more helping artists strong, added at also venues, more rim closer get love, at almost to their date. pricing but They perfection, priced sit so the shows

the that's perfect and on-sale So model. land-the-plane-on-show-date

Brandon Ross

or platforms, think partially about ticketers, to be it now? moving more secondary that's as away and So would silly primary it ticket you're from taking to

Michael Rapino

for Yes, sure.

their PX day this every included. we've secondary I rather ours going from on it and for it, tour, days X direct years, that, that from if to sure think looking later them they saying show site, at buy the making fan's artist, over is years, been would buy a than

end how figure keep to yes, so to aggressively, artists the great of more we've little a out a bottom are back going the got So sell-through. the slower, PXs house pricing price

in we price, right? to versus combination inventory drop artists along So the where talking we see, making demand march could a.m. supply a sale. if Those minute kind finding you're that the the XX:XX the on date show about, you way fire you're sure that sell of and any out right

Operator

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

Cameron Mansson-Perrone

go Pretty as be the that's after want hanging can well guys in L.A. you Hope this everyone everyone's in out and say, thoughts just expected. First, as tough. year. office to everything happened to

Michael, for one you. But high-level question

to frame hear I'd next just over the laid we whether expect you As growth double-digit I the AOI growth to that the on time down frame, just that executing years, really whether what -- of sustained opportunity thoughts you've in out the your delivered as over drivers to love that it's here for supported or playbook you 'XX? evolve against performance few a similar

And for one then Joe.

what the decision on from outflow What the to with outlook kind that big to in you're terms spend so to away take similar in say far? returns 'XX. showing would the the up the healthily ROI investors in from helpful. ramp And would million 'XX, framing we be from should investment that increase for of timing of On P&L so saw the $XXX CapEx any another help seeing you

Michael Rapino

first But can we've been here. question, I -- consistency I'll over love remember go if back to it. yes, your we listen,

think and industry we industry. -- really to been haven't the what if deviated our you've So don't of been our thesis few Investor the we Days great last you've why our years, following for from is stock we a

a real a in and sell -- those On will Largest history, sell we as next concert the show live kind out global of has people. saw in we saw unlock high-single, India a decade think instantly. for our be dates industry out. Coldplay basis, single global we're XXX,XXX We double-digit

the about lot of consumer, globalization, of untapped globalization grow the a the still. talking the been we've markets So supply/demand to

Keep same. the about go of So wanting to offices from in more we share We're growing market to global countries. Pittsburgh is offices, And that underdeveloped growing trend markets. our follow XX our continue model XXX to in shows, will the those those Philippines. consumers to

to the from and think walking capture in revenue better door. tend growing. we be able grow than the the industry So to industry consumers the We our is

Joe Berchtold

and the step is XXX some the our is Cameron, fans delivery of which we and question your side regards levers right, grow have, next deployment second going is is the question, as mirror I going that to if capital think as first we're to of our a it, And in same million to AOI the piece venue is certainly, your thesis key then, different growth.

venues, So of the returns is theaters, attractive the volume of we're reasonable attractive of have types returns, globally, we globally expand increasing that I that that focused -- our but at move shows, can very should again, market. capital to focused arena spend take think the large from on these some opportunities our also deliver internationally continuing heavily a see fact the on fans, lot just not both grow level, we're

that's from biggest takeaway the that. I'd So take

give timing, to it how we gave and out. In long What projects these to you do, understanding they some opening, are in we're guide through trying all is is from of dirt here, take to in. shoveling for venue you how how some roll of different the pieces fans, impact what the terms or millions terms many the some growing when of seeing we're of

Operator

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

David Karnovsky

to So a that of some there potential the these you music Maybe have and agreement inventory thought allow DSPs for made be access, role is sponsor music if of just labels And recently like available, live wondering wondering, super-premium something could within come and potentially about could ticket offerings. be with tiers. opportunity? of that may this

Michael Rapino

And David. of Yes. place we've sponsorship Verizons a seen it job currently lot you've with, to and Citibanks, that currently. use in our programs Yes, presale all, cetera. the that we artist Thanks, from and acquired we is maximize et them inventory -- through have

the look at maximize artist, ways consumers? to So show, to well that always with business and as figure as inventory our there to out, work is that is job

and on As talked approached inventory. we've that, There's all, it's us cost -- they we is them we to Spotify if and we have option they've with a a valuable all which to entertain for round and wanted sense to -- would made look Amazon, that if other asset. and very far it the as in ideas comparison that presale, us latest at options for about a Apple

revenue not artist has that is The giving from for anyone it, control the it. own to to their away artist artist. and free. themselves tend the for But of deals job They're ultimately, deals. We do artist's to do that maximize

partnered it, found valuable. it's and we whether paid So with sponsors or them we for

it. trying they're monthly wouldn't of their $X inventory enough in distributors, add to and premium surprise Everybody go-to, a And music presale The about own is course, don't presale, easy the access. scale. labels and hard a of have terms or let's it's songs, if me, presale give of scaling the or Beyoncé always to the hard part them subscription, they just to free wants that's

and that model find working and So them, we've assume also. for been of them, all us a they're talking with may trying others X work to to

David Karnovsky

is the into settlements where recently remedy place. then some going be separate, And to nominee openness effective just maybe DOJ to antitrust put indicated

And you see don't timing any of Just just I relative wondering you notable the advance terms or on know, of? to be separate agency dates what discussions of are with kind there to room can to or give administration. this, then in of the aware kind updates to prior the trial just

Joe Berchtold

Yes. apace it for trial as next This has, early continues is date. The trial year to a Joe. move process targeting

said So discussion question to the in year, can on towards a with is, there that last DOJ the no the doesn't settlement. this over administration, really in of a there -- trial? course resolution any lead We've is path was the interest

discussions. to and open, So returns because we're hoping own they is that those this way a in traditional more approach don't it DOJ same the to

approved you would it not appointed. been with been But any that not discussions discuss we haven't has person The yet, yet. had

can happens, out until the new. substantively see But how in plays there's So And that coming nothing nothing that do. months. we'll really we

Operator

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

Peter Supino

than of in question your on the segment, that than question is international? mix Venue detailed are XXXX or million opportunities A or coming shifted on at the $XXX then as a to greater has the showing faster arenas, $XXX if XXXX, versus sort you particular those million in parallel you think Wondering appetite And the all. large slower any U.S. Nation being which I'm invest wondering whether change to any budget, of and segment capital. imagined XX,XXX-seat XX,XXX I if

Michael Rapino

to consistently I going coming the was jump just international second. opportunities an basis ongoing. on on The are large Sorry,

building So continue you a venue to to and ramp to have you're tend the to or be land a want We that see call have about land that want second use who's phone up. if sell. first, thinking developer or

that growing, and large that appetite So platform. we remains pipeline on still to very see our expand

Joe Berchtold

a answered of those that of in general, opportunities. being more that, deployed Michael on the of capital thread, you'll attractiveness question trend which too, volume same just the And first see just think I in the is because internationally arena towards

Operator

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

Peter Henderson

like wondering, are more more value-conscious there's consumer, end the that. But I low as trade-down back of question are sort It cohorts? concerns of particularly guys And just you sort the you from coming Brandon's seeing in are to some any mean, been affluent U.S. well, the softness over of sound So from of experiencing recently. you doesn't the what seeing consumer? any

I'm you programs And on can to of size pass a made 'XX. just and other to related lawn announced that, I'm you're color be give and that And of decision why that, wondering, the recently that end was what if you there will program, considering? in any not wondering program the sort

Michael Rapino

big global no NFL so are the always -- Yes. to concert, a we're basis, similar I going to We're demand seeing seeing on mean strong the demand. incredible for Beyoncés small it the a overall, assume we're seeing I has answer, seeing we're have in It's got demand. still, pullback. yes,

to look you going last if year. -- shows my business, club XX,XXX do at But a club in we're

Our XX% up club business is year-over-year.

a to kind in, that's Indianapolis, bottom are coming the business young doing of club in say, So to the better. Tuesday see way is bands. simplest the to my on Consumers

record our which we're sale festivals, levels. already, So are they're at selling seeing on

our So festivals, EDM I'm seeing from festival. in any to country pullback no

about But business obviously, a canceled our write is ever, festival on generally, one than will and is someone or say, globally ever, always here our stronger stronger we theater business and our dog is than there. As fire. stadium business that and club macro-lly, gets overall,

it's of strong tickets still buying it's board strong, seeing season. whether for 'XX consumer type geographical, or terms the it's we're whether in the festival, across whether venue So

program, a too was this of and we discounting new lawn we put amphitheater? we the the some role, venues we as As expanded some do year, leadership with charge were new small we far pass, programs the had. it's much our belief very in put think and around: summer How thinking too of Zachary's sell I early some Jordan

So to do. which was we back relaunch, it pull and always

want that Concert is Amazon big, call our kind Prime annual our you Week if to of Our Day.

of Week that's Concert the summer, later where summer, in we in that our sell the of Our matters. earlier the beginning kind deal of our all spring, in big volume --

consolidate going bigger going of we're that smaller that the programs small, we're just overall. And to to volume So small we're some around idea. eliminate selling of tickets

Operator

question the next line comes Bazinet And from Jason of the Citibank. with

Jason Bazinet

this take were fan question. than XX% I this just the way. into don't It's rate CapEx big or a I'm of Is Is that clarifying of whatever. leased and overtly is about? so lower more ownership know, a don't lease most you're the at CapEx it own, spending, you really arenas? Or it? or it right what historically, a look Venue the When CapEx less operated then operate the having or these venues, of would we're Nation, to I moving talking outright wrong spending

Joe Berchtold

own A is we're different, chunk situation upstream. it. advice but following and Every absolutely your more, of go trying it to owning is

we own we So if situation do. we're in can dirt on a where up, it

Sometimes we and can't dirt, much own own we'll build-out we'll building, We do minimize lease. the of the can't the the capital building. our own as

So you but take will. always it you you upstream, -- if want, we're absolutely have what exactly further don't pushing

Operator

final ISI. the with comes of line Maral Kutgun from And question the Evercore

Kutgun Maral

one Venue Another on Nation.

timelines area color looks the the gets impacts at Day get to I You vary shovel as to questions lot depending a dirt, the how to greatly the midterm because, outlook. provided it's an of tricky bit mentioned, a process we model great like, but the where lot a on of Investor on know Joe growing-the-venue-out on.

what maybe base venue just in more Venue specifics given you the about could and a AOI was how Nation hoping that the growing help around in XXXX, there. I bit XXXX think see evolving was impact us little So you of

Joe Berchtold

Yes.

We out guys break haven't you really as to a tried for segment. it

chunk we've of First that sponsorship all, And or sponsorship X/X it, a from obviously, of is part talked it, driven. of the of good side. comes venue

there. a beer So over your you've and you've and Then by parking so by got on. is got the driven component, component heavily which operating your

do pieces as really you haven't how at unfortunately. then it to to out, over potentially these they we model. to to to guidepost not you, how try it standalone in they're able and But over and growth going tried basis, we break roll So way we're the use years, Venue fully midterm overall business we're break for I as do Nation really comfortable going am model We be liberty next going to try profile several out of the present what maintain and that said, say, sort a that a to you to out in and the give are back place it? the

Kutgun Maral

Thanks, a Worth shot. Joe.

Operator

And back over pass floor Rapino for remarks. Michael like closing to I'd to the any

Michael Rapino

Thank about in talking Look to you, May. everybody. forward QX

Operator

conclude today's does Ladies teleconference. and We your you thank participation. gentlemen, that for

You time. may at disconnect your this lines

Live Nation Entertainment (LYV) 20 Feb 252024 Q4 Earnings call transcript