SEAT - Earnings call 3 2023 | Vivid Seats Inc.

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Operator

Good day, and thank you for standing by. Welcome to the Vivid Seats' Third Quarter 2023 Conference Call. [Operator Instructions] Please be advised that today's conference is being recorded. I would now like to hand the conference over to your first speaker today, Kate Africk, Head of Investor Relations. Kate, please go ahead.

Kate Copouls

to Third welcome Conference XXXX and Call. morning, Vivid Quarter Seats' Earnings Good Africk, Relations of am Head I Kate Investor at Seats. Vivid

supplemental Relations Executive today have should me third Investor Stan Chief on as to Vivid Officer. Officer; we Chief Financial Seats' Fey, available and Vivid release, as now, of the access earnings to release The Joining investors.vividseats.com. released press By earnings Larry earlier press are results morning. Seats' page discuss quarter slides website Chia, everyone are which our well this at

forward-looking On adjusted non-GAAP for of within laws. During refer today's call, subject call, and including the course today's statements release useful that in press we EBITDA which are adjusted forward-looking meaning management SEC. to securities to EBITDA may financial margin, measures federal investors. described make and uncertainties, information earnings provide other those statements of risks filings our are the the our and These will with

You earnings will supplemental margin to call in Stan. release, of press would and find now filings. our earnings I GAAP over EBITDA reconciliation the And the corresponding to like a and measures SEC historical slides turn adjusted EBITDA to adjusted

Stanley Chia

quarter joining for ever, are live Vivid never of XXXX. has events in the with first highest share we quarter and After delivering in Today, of it strong strength capturing that our nearly strong $X we saw more Good our the at growth and thank GOV, record demand is clear billion Seats. been growth Seats that half delivered that morning, everyone, you for marketplace we're to results Vivid pleased us. that another accelerating beyond

ahead repeat and buyer on to loyalty focus deliver pacing results our rates with expectations. continues addition, cultivating increasing of In

and accretion. acquisition performance comes scale Vegas.com the year. that to in strategic it coveted immediate entertainment and exciting a expansion quarter of as driving acquisition discuss Las detail, turn financials will Our U.S. from of second the capital enhances who the strong while more TAM strategic we I'll in over our highlights asset reach these Vegas, Vegas.com, is the Larry, walk I'll our of the and announced substantial outlook. quarter our through then and

and third delivered all of XX% firing on year-over-year half industry quarter, GOV, the and XX% the our we driving the marketplace of $XXX growth in first cylinders With growth XXXX. million accelerating from in business outstanding

XXXX, strong to consumer XX% $XXX year, our and that raise for continue that while We of for platform. year-over-year, investments the revenue of results we $XX is are proud fans EBITDA, brand third and our demand value deploying evident also million it and growth, to date return that million will adjusted healthy both this to is With and growing and compelling beyond. impact in drive delivered and With events XXXX favor live guidance to vibrant increasingly GOV time. robustly

to saw driven long-term strength drive are demand and we and years continues pervasive come. wide The we to quarter, be tailwinds categories last seeing performers of strong growth by As a teams. demand reflects will array that for robust across is

up One passionate favorite those to buyers the and of artists that is and live. experience show for tailwinds our it drives to fandom teams their

resonating, to we increasingly see innovative Seats. Vivid and is and engaging fans Our platform returning

repeat anticipate and expectations, are investment in significantly rates repeat forecast exceeding and we are benefits our Our when loyalty our increased ahead rate we underwrote have With initially are trending that of brands. taking drive cold, in our acceleration we investments stickiness. further excited leverage And continue and improvements and orders to lean beginning in buyer margin and accretive. are XXXX. rate Repeat as repeat

help events. reaches enthusiasts with ensure and audience our highly live that to category our brand leaders As we message initiatives, music likely investing are of are attend partnerships part of targeted brand a that in sport

launched with Pro reached a highlighted The millions we For example, featured Bowler, our ESPN digital aired Monday NFL football in on ESPN, and XX-time which apps. partner, timed fans. campaign XXth with ticket brand industry. ad Larry and the sports Seats on and this campaign of also Rewards, Fitzgerald only season, start night the the the takeovers Jr. free The Bleacher both Vivid the included available Report loyalty program through of

We direct campaigns users have along brand immediate like platform. seen their our to returns brand our long-term affinity, with drive this recognition and as partners

unique about and differentiation. As also growing that of drive which partnerships, our we quarter, are we premium last spoke roster team experiences offer

In numerous the the we the that LA the first have NFL into partnerships marketplace share are Kings. NHL as partner and for to NBA, expanded for from the now our addition ticket MLB, across we time the excited official to the teams we are

add LA excited our time. the of to some partner MLS are also first Galaxy partners, list our to We in

With will and bundled seating premium areas benefit unique these activations on-site and co-branded will partnerships, Seats perks. customers we from to access Vivid have experiences with

partnerships. Our beyond our driving rates go team initiatives repeat brand and higher

TV reaching social brand our customer influencers to awareness connected fans fans. of within are with part service. numerous and affinity crucial channels, including lies A through networks, We and award-winning loyalty cultivate

once quarter, record in service. excellence Newsweek be thrilled customer to by providing we again recognized of This were track for our

for available driving to between free engagement Vivid Seats to pricing towards and drawings app. earn Seats Center behavior. is Vivid directly Vivid that Game within Game Center, purchases to Seats of the foster summer. repeat tickets. both found daily player Game and sides Center desired best-in-class grow. on seller users already users purchase the users. continues than innovate rate to games like since ecosystem count majority which users sellers. Game ticket continue continuously launch non-Game app which Center's We've engagement at of resonating in the XX% for of professional We Game score our play our reaching our With credits points our higher is We the and and unique accelerate, over is tickets Stickiness XXX,XXX Picks through a and Center, And already continues is both marketplace high and tools grow choice Skybox, ERP app Center Vivid

our in are Sellers Skybox for continues will tool generate robust and eager Drive, launching the into look to industry drive phase in innovative plug excitement, XXXX. which pricing garner we insights and and insights valuable early leverage to the Skybox most data for beta Drive, forward to sellers. Our the product

Turning acquisitions. two our strategic to

We in acquisition update First, Wavedash. September in look on closed and international early to to attractive Wavedash a we the from TAM as brief are learnings markets. expand excited our use other

acquisition $XXX on of equity. Vegas which to coveted using Vegas.com the for purchased Next, in market. November is cash I'm early Vegas.com, hand thrilled Las announce positioned mix million a of in uniquely our we and

and inventory destination for top local of is attractions of authority year. As a the Las tours, with market Vegas.com comprehensive the most tourists every millions Vegas event shows,

As comedy such tourists a benefiting to popular Las Soleil du two-sided Magic tailwinds, and artist marketplace, local multiple events residencies. from including Vegas.com is successful venues, Vegas and shows. Cirque new new and connects those teams as

supply Prix partnerships, will Formula inventory addition bring Vegas revenues, and Super Grand Las inaugural increase our XXXX. reach million this in of Bowl upcoming include offer synergistic the and in and of XXXX X month Additional unique through strategic incremental later this the market, Vegas.com scale upside. the long-term tailwinds With $XX key

brand profile Vegas acquire Vivid cash value of event to benefit the accretive, profitable with program multiple of that accretive strategic into and financially flow attractions With flocking leader enthusiasts, accretive, Seats of to in both their our internationally. Seats are year, of millions our spans domestically Vegas.com are of We that financial with Vegas.com a market. the to platform, as record track business Vegas, a offers of loyalty is such will awareness Vivid Las we diverse and building accretive capital an live compelling country. leading experience. $X-plus TAM nationwide invest a with customer return tourists home entertainment With the that And TAM drive each from when and strategically to Las markets enrollment integrate as and will and accelerate the of thrilled in anticipate our in a recent Vegas.com and Wavedash, asset shows, acquisitions Each using our a billion awareness brings in growth, its we portfolio robust the our at combined assets. a EBITDA we margins. synergistic tours a

through go our enter as will our increase, the inorganic platform, trajectory detail preliminary deliver marketplace. shift have provide into capabilities new businesses develop will place a vectors we and of our investments fundamental XXXX, The combination well a us as financially. now in the business, Larry of on strong to expand view function organic growth domestically, we leading shortly. prepared internationally We strategically to step and continue and both which are and a integrate global driven excited valuable to to year next these reach of differentiation a leading With as and

this Turning back to quarter.

strength demand business foundational our affinity the for of reflect platform. excellent Our the growing results and and our

strong strength value. year building are to remain We and the excited I Larry. it turn With that, and over will focused finish on creating shareholder to long-term that

Lawrence Fey

Thanks, Stan.

Our our reflecting delivered the broad-based marketplace Vivid increasing and quarter against XX% highest GOV of to of quarterly strength average X%. marketplace demand We performers year-over-year $XXX marketplace teams. execution strong spanning third orders year-over-year. XX% increased Total size million order XXXX market increasing GOV date, and Seats backdrop

$XXX of XXXX marketplace Our increased GOV driven growth. quarter million third year-over-year XX% revenues by

We in of take is quarter, up expectations. the rate EBITDA XX.X% million of third QX $XX adjusted year-over-year. with Our consistent generated XX%

higher a in continue efficiency backdrop. year-over-year stable We against repeat and With seeing and performance from we trending improved to accordingly. a above and results expectations, have invest our seen on initiatives loyalty marketing brand are rates competitive basis

improve and quarter repeat in investments thus partnership expect third will further brand our of turn, Our drive and brand expense, proposition, that value reflects increase affinity off-line rates. marketing we awareness

cash have with in delivered over generation cash year-to-date. exceptional million operations We $XXX flow from

capitalize sheet growth flexible we compelling on they look arise. at our and can As acquisition, we Vegas.com the remain additional following opportunities as balance

balance at of million is revolver is debt our of is million $XXX principal cash post-acquisition $XXX low, outstanding healthy, $XXX our and undrawn. Our million

net than our we anticipate generation. continued forward Xx is and cash strong Our adjusted EBITDA, leverage less

to Our identify deploy acquisitions ability our our willingness value. strategic long-term drive this to to year assets and cash demonstrate our

outlook updated for our to XXXX. Turning

in raising of GOV $XXX billion, for from adjusted months in range the account EBITDA the $X.XX to of $XXX $XXX million $XXX the marketplace last Vegas.com range million, and thus in million our two QX, XXXX to outperformance of continued in to $X.X We in million. revenues billion and our range now contribution in the to are anticipate trends year. of guidance demand strong We far QX the

Our guidance XXXX greater investments of XX% GMV in partnership now drive GOV on reflect XX% believe will growth that continues XXXX. marketplace attractive long-term to than returns.We expect and growth we top brand in

As the leaning we strength into trends seeing continues these are broad-based our post flywheel surge, compelling and pandemic accelerate. secular well demand beyond

financial our year of this year the until in acquisition exception are an not it guidance do will have light provide While on our and we in making Vegas.com typically profile next we call, QX our XXXX. impact

XXXX marketplace expect of our the We range $X.X from billion billion, to double approximately GOV $X.X GOV in XXXX.

to XXXX also revenue operational in projected XXXX is XXXX of in initial and acquisition, EBITDA our a with was marketplace and high $XXX of to range million adjusted At our million. from contributing mid-teens outlook acquisitions, revenue million revenues the great quarter. adjusted XX% growth between the incremental growth. strong EBITDA strategic leverage contribution range growth. single-digit this XX% the $XXX midpoint, and Underlying excluding and results GOV operating $XXX and Vegas.com We it growth, Vegas.com $XXX wrap represents expect to EBITDA million, adjusted To

for excited year in Back to we gather XXXX of We close another great Stan. momentum are you, for XXXX. as a strong

Stanley Chia

between more in a up as one let's vibrant Vivid teed exciting TAM stickiness. a acquisitions up operational Thanks, time for accelerating we for it strategically Strengthened two outstanding accretive, driving in been is Larry. industry position. accretive XXXX. progress not for are accretive questions. long-term XXXX, Seats year in that, growth, operator, as and and in Vivid but excellence great Seats yet continued by core With another The open There business well financially never strategic has

Operator

you. two compile limit Thank [Operator roster. will we this by Please we time, a the At questions stand Instructions] question-and-answer Q&A while session. per to conduct Please analyst.

from Bazinet comes Citi. Jason Our question with first

Jason Bazinet

out helpful. a second appreciate expectations if be XXXX the and spend opposed maybe wondering, parse could I market Any the share? growth category to take. growth that and would as initial M&A you underlying contribution from Larry, was I for broad just your color

Lawrence Fey

Yes.

So certainly is to I aggregate results. a contributing the think combination

growing Viva, to growth then beyond relative will As top on we that contribution but single-digit incremental think a muted this which leverage industry some from briefly side, against we excluding EBITDA year. we're noted, the line I and operating environment, believe be expecting, high growth

the we're So long-term and in trends. back so still robust outperformed consistent long-term expecting and years generally guidance, trend and few the the our long-term trends reversion with a to meaningfully last

Jason Bazinet

Okay. And just one quick follow-up.

basis? competitive You that's Or you competitive the assuming stable? backward-looking but long-term dynamic is environment from described it stable. as a described stable Is elevated I'm the year-over-year. still

Stanley Chia

out Look, always investments, I what think what and about has I our year think results that think in results going reflective which inorganic, both hence, think I brand us, will how in deliver, it's putting us our certainly form of whether more next our allow And and certainly to that investments the to the we you'll been continue are is competitive environment what is there. is confident to yielding to coming through. of form think, like, see investments look next organic whether we're taking of repeat rates, year some of it's I in the hold,

to to ability about we're pretty seen we've optimistic year. our think so I and about next deliver far what continue certainly

Operator

Ripps Maria with comes Our from next Canaccord. question

Maria Ripps

there within about the of the what follow-up. share is a how investment to What you're terms can And color the macro year? in predicated key of so any priorities? is investment environment? investment level And then guidance, would cadence have on you be I your extent First, thinking quick your of next context your

Lawrence Fey

to investment partnerships. on out driving would saw opportunities a the platform. put folks we've awareness, brand brand incremental quarter Yes, become on with characterize some called We the and what as previously we I team affinity users focus repeat consistent that across some last forward, compelling

couple you as ones think quarter well. this I a saw new of

on same continue is quantum incremental that And accordingly. see form investment. the it's been seeing metrics So focused forward-leaning that we're yield generally, of what we've to to progress some really dollar the modest continuing and all of investment. expect of But investment, same seeing

Maria Ripps

pay and purchases. AOV is frequent maybe just high functionality? to about And talk the then more your this later can about it you whether with with for maybe talk And consumers are partnership how PayPal or leading engaging

Stanley Chia

just capabilities will partnerships partnered think consumers We've as is we're well, I think Klarna with continue that and transact partnership for to checkout future. forward far and we're expanding another that, transact looking can and I great to so PayPal excited enable with in consumers to and preference. wallet seeing certainly with their And what always seamlessly the that looking we're expand PayPal so to easily. again, check are And we and by example. look out our in

Operator

Nagle of comes of Bank question next Curtis America. Our from

Curtis Nagle

just with to Vegas. maybe going So I'll back start

and the deal for curious Just the And guess partner have then vice I'll I versa? is how came follow-up. Vegas you to why a best Vivid and

Stanley Chia

about Sure, and from Curtis. Look, the this I think it starts in -- we've talked a lot past.

at that, good has asset, and year that that our stand and checked strategically always I had at Vegas.com, and us think When currency, Vegas.com are fact, of looking capital boxes assets as meet again, again, we're We've team it, we and acquisition. the think look which business look comprehensive nature accretive, event with a some We of at you this the massively market a for accretive. all primarily been criteria sheet excited. you accretive, in there authority, inventory aggressive in of X great tours, the really inaugural ran public inorganic this which shows, of front, and month. at millions every really financially happening that shows in tailwinds year. on on excited Vegas our for of great race earlier top with I look attractions, I might think that's opportunities are destination very about, We if deployed into millions tourists Formula there balance add, continued the that Wavedash, for looking have we strong in been front, cash for spot that TAM have the

all standing our And at in talk a year, Vivid now heard when tailwinds new they're that us of look our Seats as venues the If We visiting. the residencies. And brings I artists think a perspective, and in investments a their lot the go repeat we up, as just there. Vegas the love driving of the back at benefits the driving quarters introduce Seats and We a where program Super and you the nature to that brand, can you've authority Seats Vivid home coming and about, of conversion from platform use domain credit. to think, engagement. opportunity synergistic them visitors, them acquire markets you the we come, increased increased and Bowl think Vivid loyalty wonderful about to Vegas these rates that's redeem consumers next have platform look that

it the at really there, we're all our say and I'd all, is of in accretive and financially rationale fits The criteria being same increasing all So again. on TAM time. certainly strategically excited

Curtis Nagle

question. maybe that So following on up just

of get around a your tailwinds or in revenue, with get the national to in terms or next year. anything of terms customer into grow to own for awareness it's grow. guess I point Vegas' the whether Vivid, acquisition in-market of mind just means Vegas else to all in So terms in increase platform I marketing integration

I million, you said about think something like that? it's $X

Stanley Chia

week. Look, We Yes. on we're just the closed deal one, last real early. think I

So we terms think line synergies. lots of great multiple all that accelerating again, of at at of I partnerships asset has and strategic can of driving look in portfolio But the start happy that, to certainly, are and update that of look excited to drive of see market. we we And an there. provide be add our terms you to on aggressive in some in partnerships. tailwinds. look we I at the we are we synergies think it going it look And to execute are the we terms when say, be hypothetical we'll that to of think what at right acquisition. We customer in starting We the Vegas.com all a I at what as

Operator

comes of Forte Our next Thomas from D.A. Davidson. question

Thomas Forte

follow-up. and quarter Larry, the on transaction. and the So One and congrats one Stan question

wanted by trading? your question and place and in asked for often given what where ask increasing What your are authorization? authorization are trading thoughts to a question, given I'm what always thoughts it, investors, I So then having are guidance? current And shares shares a on strong today's your results where buyback are the buyback is on lastly,

Lawrence Fey

have currently capital. as concept of don't returning considering It's an authorization We are investment in a always place. a form of or certainly we that

period, many of I a which are there we've stay expansion criteria each that we that the think TAM domestic It strategic in not that quarters, have financially with international this is is in M&A, outline case high and met. par, bar both where for accretive. periods the met opportunity now be to the that a and two last bar happens was had and

guidance. in cash repurchasing so we into chose environment, able that year, going of drive we of of that lean above a and long-term further flow, opportunity we're will and a beyond a to shares. achieve We're And think long-term flow our growth of generate cash to lot growth for couple our platforms to assuming assets lot next

And again. [ will powder catch questions I so quickly, to the your case, ] on the with think in come refill which forefront

Thomas Forte

Great. follow-up, the as for third marketplace something on out, quarter. pressuring once live And then only for reported it YOLO Etsy my you spending when its called

uniquely think to So you're answer qualified I the following.

FOMO So think of is when events, is attending FOMO? at YOLO consumer Smith thousands in concert on and YOLO tickets thousands you chief Taylor do the Eras game. versus you Swift about look spending for because for hundreds going spending Taylor consumers live what's tickets is If how

in today's about think live you and do versus how trends FOMO So YOLO events?

Stanley Chia

that we how is size, When demarcated out as I'd see exist to great at a supply. And command order impressed think category, as average and first, outpacing strength. they always the of we've both we there. you indicator our by staunchly YOLO look, FOMO mean, demand apply say look I strongly of which much I acronyms to our continue are the your

at on and basis. XX% can this look still we're a You up quarter, year-over-year

we CAGR, long-term that presentation. in at look provide our You investor which

can it's face seeing. spending to retracted around in I You And lot certainly that's sentiment see of we're really think, of, the mean. the a consumer

student had of loan debt repayment and last all these. quarter, I think, on we questions

really pertains in of our to think, resiliency. see terms But YOLO occurring I spend category, understand, think that and strong as towards, think we we events to today. can and attribute to choosing working all dollars. challenges out So that combination I of I have of they're it that FOMO, And are continued where to there I some live we consumers a the their both think, the are

Operator

of Our question next Benchmark Kurnos the Company. from comes Dan

Daniel Kurnos

guys. incredibly -- saw I'll asked conference yet. just one's And echo since from a conference crazy run Nation an no we strong for maybe Larry, again. my that late congrats couple. obviously a I on week last strong mean it let's Live strong quarter, outlook and

And your guys year? be and color guys XQ frankly, you're are given XXXX sports prices And expanding it's lot But thinking sorting how given concert you about to trying should any next Taylor and you're always event for I outlook. and year. concert? Beyonce just I about comp just conservative as should that be of know you what guess kind and next given late of your thinking more in we QX, going in XQ maybe to think against a in ticket that And both than TAM,

Lawrence Fey

that as at. that to in think strength and the our seen to in are forecaster looking give we Nothing for the particularly date. macro be see noted, we in demand falling it's headlines, would concern concerts. numbers other not what you any consistent see supply can We reason would that through performance different I us certainly but side, both have than

was find great the touched strength their next think pipeline tours. that and a hear have us as you Taylor We'll I pulse year. hear, Akan this probably into finger could I which It to relates specific we on we've QX same strength gives lot was Beyonce in reiterate before. it see Swift Nation more will heading awesome do performing. confidence having out we the But before generally year's will. following their in Live on to names. the it of

still was record have would we really a I portfolio. Taylor characterize robust While setting,

robust think continued we'll impact comparisons, we us. year-over-year that be be strength, will as and able And think as deliver A-List so not out we there portfolio any are lap say it's to there but that. we performers grow help won't long results going to against that And there,

Daniel Kurnos

Vegas a lot bit the of Picks. Vivid sites since a little And and don't gambling Stan, sites, I destination Vegas. have And on but announced you know a hotel of but lot do feature fair if you stuff. the guys this, just know question tangential competitor you obviously, acquisition, of they also home

your thoughts opportunities just our on of this core So to with your adjacent that hey, gravy? that and this that expansion way an focused partnerships TAM or comes is in more is anything really in Or else top this? just awesome is get on, process is thought tickets business and on

Stanley Chia

look, like very opportunity it's I flight are us at Vegas.com, it's again. think excited about question, capabilities would predominantly that set is that volume we which to platform a attractions, we looked fact look, adds hotels. and to our the ticket sector. within is great an stage for the primarily say, it that But I shows the include and

as of of we've into users business, our of Center the the you our accelerated to within users, So I be But term, thoughts. free-to-play now, comprehensive think, offerings Vivid talked we lot focused driving more to and Picks are, dissimilar certainly through I on with in Center. will our Game I the a in as that how think benefit launch about Game think adoption drive our not look near we certainly, products. core really

XX% a on faster clip think talked I Center Center users purchasing there performance users. at non-Game higher than that Game who our or about are we the are on earlier

take where where lot opportunity, upside that I a as and got could opportunity to that of said, we lot benefits core at of you really acquisition and for see are think going a synergistic look we we've but look frankly, like the business that that to drive our is into us. So

Operator

with comes Mansson-Perrone Our from Morgan Cameron Stanley. question next

Cameron Mansson-Perrone

Two $X if should take increased I the bit EBITDA wondering in about accretive, what love was on bags, accretive, looks to it business financing where, then opportunity? you're we opportunity within a you there, little And you about of talk the how to rate then cash thinking EBITDA your like Stan, adjusted terms obviously, flesh this I TAM exactly contribution using see just the out being 'XX logic billion And of whether if but some a about unit in One, economics capturing -- terms you're is, more. can. additional adjusted on as can obviously, we clarity of the what if and guidance, better When the that impact could little think love I about nicely would revenue in side, finally, the bit more just you some your but as on think a just can, profile. financial equity? combination hear Would of the around GOV sorry. and

Stanley Chia

Yes.

think, one billion we think just is geographical I I Vegas analysis the and from adds our of third-party opportunity shows the of $X there, things is process size had $X attractions. you billion said, Vegas as as which through exciting that diligence, our and put to out through our we, the market, and

brand in opportunity makes platforms. again I big of the that see lots synergies which is national So the to and overlap core acquisition, of within we a where awareness, customer that area, which majority just think business, drive

area. $X Just the Vegas in that is alone billion

the hotels, I as Seats of platform back power start about beyond leveraging and it is go their and then that Vivid markets think so to talked to engagement there. taking about, that whether home you bundling users other in whether the things in and And you it we've flights think is and platform

top that. I of think all that's on

it, just So attractions. $X as shows billion looked we and ticket and Vegas just is at

Lawrence Fey

more little a financial the detail profile. on of terms In

through moving reported segment will be Marketplace forward. it First, our

be to business. it's beyond seeing our you explicit So this breakout current because a won't commentary and model any very business similar

in nicely. will it think blend I

accretive said, margins. expect, would and quite given well. similarities, up to I'd That P&L accretive line you the somewhat As rates the our is to take say it somewhat our

to So take I we, XX.X% after QX, think rate. referenced

range the we from tailwind a now a think this transaction. with benefit can to as to I of accretion of modest that the XX% point XX.X%

Cameron Mansson-Perrone

combo the of for the on Anything cash equity and acquisition there?

Lawrence Fey

Thanks. Yes.

I think of answers, sellers, enthusiasm. I think, where shared some of best the it's our the

of their participate opportunity And in upside. from shared to so some the the perspective

net forward. the to I'd moving only for we're able But I on the that shareholders majority against benefit think cash most of unless to comfortable very thing we're for the cash the of expect with neutral with than our were capital we net structure quickly opportunity pretty accrue other from the add the the leverage. is pro generate our turn flow of the will proceeds that part. The accretion alignment next where backdrop standpoint the And or course to this of over so. less forma we one the year, approach I that year next think transaction, debt

Operator

from RBC. comes with Our next Reich Logan question

Logan Reich

the results. Congrats on

one quick marketing the I question was could seeing up you stable, unpack industry. is you're expense your that It Just know bit marketing if you but across the the like sales from backdrop just a quarter-over-quarter. and side. competitors wondering spend what marketing the just ticked on looks relatively on I mentioned

overall Just related into seeing backdrop? to what in the if you're demand strength? you wondering guys noncompetitive leading if Or that's somewhat

Stanley Chia

as said, I think I'd stable, industry. see but environment we certainly everybody with, in the think start out competitive they think I strength I there, is the

have long-term more expectations. call of ahead of I importantly, comes announced, in seeing elements partnerships about, you that excited with I pacing our P&L, you've of that just to that start reflect some as think some think a had we've will quarter. our seen opportunistic we're some that we marketing when and talked you're about the we've look at perhaps are really I'd through the leverage investments in But think timing what lot there. that really And I continue well we've think elements I the out,

the In behavior seeing repeat terms amongst of loyalty and rate users. that our program we're

ever highest our our repeat we rates of every are repeat been repeat across rate rates, eight every in they've about quarters first users. the category and single we're when I think from now XXXX, in talked cohort our

ability differentiated using that we've and continues think purchase about out behavior our ecosystem is faster I we no So And to spot what a to talked we've than in platform are really go acquisition XXX,XXX center. are that Game I who as Center value seen with excited continue And our engaged users head closer head and into marketing. driving to channels. users and be already great aren't people on engagement would on which for of also the months first about go category have XX% We've the to that say the to game up there not provided almost four us. already platform,

is like stable, while environment, the still certainly said, competitive. So but I

really excited here. that on users think our as control and that are bullish the through to and disclosed platform elements we we've the metrics continues I we resonate with shown

Lawrence Fey

only that's We I'd that higher. The great we while to to meaningful opportunity everything we're tell is you continuing to we're channel, knew those add, And brand incremental and investments reality day love these every would and investments. push is that we been get started. investments, learning. make I data great Yes. from to inherent continued we've to the helping about on these learnings, guidance investments. forward think I deployment in refinement of continue those putting learn the year next of return And

Operator

comes question next William Ralph Our Blair. with Schackart from

Ralph Schackart

your and of especially say, do maybe you Stan, the biggest if view a sustainability acquisitions, drive to advantages, you of you frame the forward these opportunities Maybe repeat context the the advantages the in going ability pulling together. build question the of How versus, to brand the your previous recent some and can follow-up your biggest competition? to rates? have answer last

Stanley Chia

we I Sure of and thing, why think preliminary for thanks look I'd with, at you out next view a Ralph, when and put year. the I mean start Yes. what question.

the the think there of what pretty now Vegas.com, think, want ultimately everybody organically, leading strength is differentiate that of I and obviously I that that acquisition combination XX combined a growth, is to business look year. from we really combination is about economic a a in profile next a always show organic we talk platform of good you with transformative program the loyalty benefits buy program. our get we've of has where the free to that invest, continued When to, at X

it beyond. that the includes all Kings, to experiences example, look talked really here, we that try about above So partnership our cool, at that time. but for about newly don't Jumbotron on LA talk the when I you are with guaranteed things, and announced tack think and really We we've unique

a Jumbotron, think ticket a experience. a buy sure you is you on member, really loyalty Vivid which you're the So cool on as Seats I make

now engagement add that pacing have and again the that is on the of that both platform which it transactions are We fully we every is it you think, And Picks that benefits increased those to and than is much higher quarter users comes see to, they a ecosystem leading control. growth, of strong entries what through that just then in expectations the rates they've been. also then the between their acquisitions with as channels, platform turn we're we our and beyond keeping And again, users which that within that games that all highest all things, purchase that retention So so the purchase, have are platform where I and into the engagement, retention when have. incremental ever would Vivid we that repeat our really then and to time bring through investing so as of discovery combination Center Game see been. engaged our our you to, propensity now

Our acquire our wonderful great brand to leader. with you and investments, in a list, Vegas.com look down ways to investments again, And market at when diversify be are market users. the what that continue tick to partnership

the Vegas.com about into acquisition profitable leaders specific them and of provides flows the customers at I think our you are think, long-term both said. else Seats again high-value think over a through out pass can just platform think you I is And has when really, ecosystem Wavedash that engagement to to that provides. drive as that indicative markets. that it acquire platform, if again bring that And our retention benefits look just the I behavior in continued that customers. now that Larry, I'll give Vivid profitably can given and Vegas.com together, their we that financial are engine, of business, market there we benefit who strength that of and nobody you that as everything

Lawrence Fey

combination Yes. inorganic of the growth contribution. the We're plus organic about really excited

contributing Vegas what with of think I next we year. XX% our think line to will top be XX%

that of because acquisitions. acquisitions going line wonderful that exciting I leverage, growth, those think most to probably And frames we're from year, contribution in out have later were top realization operating a the strategic I us of layer able set stride performance to we'll the next continued synergistic middle strong in benefits as our be year, up and into and in pretty we hopefully think a XXXX. for back half hit

Operator

conclude Thank This you for participation in does conference. your our program. today's

now may You disconnect.

Vivid Seats (SEAT) 7 Nov 232023 Q3 Earnings call transcript