Mar 31, 2024

Live Nation Q1 2024 Earnings Report

Live Nation's Q1 2024 results demonstrated strength in live events, with revenue up 21% and adjusted operating income up 15%, despite an operating loss due to one-time accruals.

Key Takeaways

Live Nation Entertainment reported a strong first quarter in 2024, with revenue increasing by 21% to $3.8 billion and adjusted operating income up 15% to $367 million. The company saw growth in fan attendance, fee-bearing tickets sold, and sponsorship revenue. However, the company reported an operating loss of $37 million.

Revenue increased by 21% to $3.8 billion.

Adjusted operating income increased by 15% to $367 million.

Fan growth increased by 21% to 23 million fans.

Sponsorship revenue increased by 24%, marking the highest Q1 ever.

Total Revenue
$3.8B
Previous year: $3.13B
+21.5%
EPS
-$0.53
Previous year: -$0.25
+112.0%
Fee-Bearing Tickets
76.58M
Previous year: 72.58M
+5.5%
Total Estimated Fans
22.93M
Previous year: 19.51M
+17.5%
Gross Profit
$1.15B
Previous year: $1.01B
+14.0%
Cash and Equivalents
$6.5B
Previous year: $6.99B
-7.0%
Free Cash Flow
$855M
Previous year: $1.04B
-17.7%
Total Assets
$20B
Previous year: $18.9B
+6.2%

Live Nation

Live Nation

Live Nation Revenue by Segment

Forward Guidance

Live Nation anticipates a record year with double-digit AOI growth, driven by strong fan demand and venue expansion.

Positive Outlook

  • Live Nation concert ticket sales for overall arena and amphitheater shows pacing up double-digits.
  • Confirmed shows for large venues (stadiums, arenas, and amphitheaters) up double-digits with growth led by arenas and amphitheaters.
  • Venue Nation fan count expected to grow double-digits with more shows at amphitheaters and other operated venues.
  • Profitability per fan at amphitheaters expected to increase double-digits this year, with operated amphitheaters expected to generate 2.5x the per fan profitability of similarly sized third-party venues.
  • Expectations for growth in Sponsorship in the fourth quarter of 2024, similar to the trend for the first quarter of the year.

Challenges Ahead

  • Operating income will be impacted by one-time accruals.
  • Magnitude of margin expansion impacted by venue mix and advertising costs in Q4 related to 2025 activity.
  • Potential payout associated with legal accrual.
  • Risk that the company's markets do not evolve as anticipated.
  • Potential impact of any economic slowdown and operational challenges associated with selling tickets and staging events.

Revenue & Expenses

Visualization of income flow from segment revenue to net income