Live Nation Entertainment (LNE) has reported its best three months so far, as it released its financial results for the third quarter (Q3).
Revenue was up 11 per cent to $3.8 billion, and AOI increased 16 per cent to $386 million. Operating income was $234m, an increase of 16 per cent compared to Q3 last year, and net income was $173m, up 27 per cent.
Revenue growth was driven by each segment delivering its strongest quarter with the majority of the growth coming from concerts, up 12 per cent at $357.9m, due to more shows and higher attendances, primarily in arenas and amphitheatres, as well as increased ancillary revenue per fan.
During Q3, LINE had 33 million attendances at 7,700 shows, an increase of 3.6m on Q3 in 2017.
Ticketing revenue was up eight per cent to $368.3m, an increase of $28m, primarily due to increased ticket fees, says the company.
Sponsorship and advertising grew by 11 per cent to $39.1m, driven by higher online advertising and sales for festivals globally, in addition with new sponsorship deals with brands such as T-Mobile, Sony, Subway and Sterling Wine in North America.
“We are confident that our strong performance will deliver another record year of top-line AOI and free cash flow,” said LNE co-president and CEO Michael Rapino.
“As we look forward, we see tremendous opportunity to continue the global consolidation from our Concerts and Ticketing businesses and further growth in Sponsorship and Ticketing from the concerts’ flywheel.”
Long term debt stands at $2,731,985, down from $2,743,104,000 in Q2, while short-term debt fell to $81,832,000 from $84,946,000 in Q2.