'Each of our businesses is contributing to this success': Live Nation posts strong Q2 results

'Each of our businesses is contributing to this success': Live Nation posts strong Q2 results

Live Nation has reported strong financial results for the second quarter of 2019, with revenue up 10% to $3.2 billion (£2.6bn). 

In addition, operating income was up 27% to $172m (£138m), while adjusted operating income (AOI) rose 23% to $319m (£256m). Global ticket revenue from its concerts was up 16% for the first half of the year. Live Nation said it had seen "no reduction in demand" during the period, with sales of 73 million tickets for shows so far this year, up 6% from the same point last year.

The firm added this week's announcement that it had acquired a controlling stake in Mexico-based promoter OCESA Entertainment "continues our mission of building a global fan base to over 125 million fans".

Our international business has been particularly strong

Michael Rapino

Live Nation

"In the second quarter, we had 27 million fans attend 10,000 shows, up 7% and 9%, respectively, from last year, and by far our largest second quarter ever," said Live Nation president and CEO Michael Rapino. "As a result, for the quarter we grew operating income by 45%, AOI by 33% and revenue by 11%.

"Our international business has been particularly strong through the first half, growing our fan base by 2.5m fans with the greatest growth coming from our arenas, stadiums and theaters."

The company's ticketing division, Ticketmaster, recorded its second highest ever fee-bearing gross transaction value (GTV) quarter, with growth of 13% at constant currency. Through optimised pricing and Ticketmaster tools such as Platinum, the firm said it has delivered over $500m (£402m) in incremental value to artists since the start of last year. 

Having continued its digital ticketing rollout, mobile ticket buying was up 22% year-on-year and now accounts for 45% of global ticket sales year to date. Its operating income from sponsorship and advertising was also up by 14%, AOI by 12% and revenue by 8% for the quarter.

"In summary, 2019 is on track for the company to deliver double-digit operating income and AOI growth along with strong gains in revenue," added Rapinio. "Each of our businesses is contributing to this success, starting with concerts as we put on more shows for more fans, then continuing to monetise fans at the concert, sell more tickets to events of all types, and further deliver value to our sponsors from our platform of nearly 100m fans."

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