Live Nation drums up an earnings beat as superfans drive concert demand
Hitting the high note… Live Nation stock popped to a record high yesterday after investors liked the sound of the Ticketmaster owner’s earnings. The US’s largest concert promoter said it sold 144M tickets this year through October, up 3% from last year. On-site spending per fan (think: food, merch) rose at Live Nation’s music fests and amphitheaters. While total sales and profit fell on the year, Live Nation said concert momentum is hot.
Encore: Live Nation’s already sold 20M+ tickets for next year, up significantly from the same time last year, and it’s hyping a big lineup including Shakira, Rüfüs Du Sol, and Coldplay.
On ice: Live Nation’s still facing a DOJ lawsuit that seeks to break it up from Ticketmaster, but its president said he’s hopeful that regulatory heat could cool under the Trump admin.
A new era… Live Nation had its biggest summer concert season ever this year with stars like Taylor Swift and Beyoncé attracting millions of fans worldwide. FYI: the price of an average concert ticket is up nearly 10% from last year, to $127. But that hasn't stopped fans from filling seats: over half of US consumers have gone to at least one live event in the past six months. And over a third of millennials and Gen Zers said they’d tap into savings to cover live-event travel expenses.
VIP = very important profits… After a blockbuster year, Live Nation’s focusing on superfans willing to splurge for premium experiences like better seats, VIP club access, and priority parking. The company said that in the future, VIP-tier options could make up over a fifth of show sales, and it plans to build capacity for 8M additional fans next year to accommodate more premium offerings.