LOS ANGELES, Feb. 23, 2022 /PRNewswire/ --
2021 Highlights: All Divisions Back on Growth
Trajectory
- Full Year Operating Income Improved $1.2 billion and AOI Up $1.3 billion (vs 2020)
- 35 Million Fans Attended Concerts; Average Per-Fan Revenue
Up Double-Digits (vs 2019)
- Ticketing Delivers Best Quarter Ever, with Huge Demand
Driving Q4 Operating Income Up 118%, AOI Up 62%, and transacted GTV
Up 20% (vs Q4 2019)
- Sponsorship Q4 Operating Income Up 37% and AOI Up 39% (vs Q4
2019)
2022 Outlook: Strong Supply and Demand Point to Record Year
Ahead
- Event-Related Deferred Revenue of $2.3 billion—Almost Double Year-End 2019
- Confirmed Show Bookings and Ticket Sales Up Double-Digits
Across Major Venues
- 45 Million Tickets Already Sold for 2022 Shows, with Pricing
on Top 10 Tours Up Over 20% (vs 2019)
- Sponsorship Commitments Up Double-Digits Relative to 2019,
Already Over 80% Sold For Year
Live Nation Entertainment, Inc. (NYSE: LYV) today released
financial results for the quarter and full year ended
December 31, 2021.
The past two years have only reinforced the power of live music,
and it's been great to see artists and fans reconnecting at scale
around the world.
Over the course of 2021, we saw the strength of live
events. The year started in the midst of the pandemic, but by
summer fans were returning to shows, and by the end of the year, we
had a record pipeline of concerts, ticket sales and advertising
commitments for 2022.
Momentum continued in the fourth quarter
Restarting our concerts business in the second half of the year,
we put on over 17 thousand concerts for 35 million fans in 2021,
mainly in our U.S. and U.K. markets. In the final five months
of the year, in the U.S. and U.K., we had over 15 million fans
attend our outdoor events – festivals, stadiums, and amphitheaters
– nearly 25% higher than during the same period in 2019.
Through the ramp up, we saw demand driven price increases,
particularly with platinum and other front of the house ticket
pricing. Fans continue to seek the best tickets, and the
ongoing rapid growth of the secondary market indicates there's more
room to grow.
Fans on-site also continued spending more, with average per fan
revenue up double-digits for the year relative to 2019 levels,
across each of amphitheaters, festivals and theaters and clubs.
And as shows came back, so did the desire of brands to connect
to our fans. As a result, sponsorship and advertising
operating income and AOI was roughly the same for the second half
of 2021 as it was in 2019, which was a record level. This
interest came from a mix of expanding long-term relationships with
brands like Bacardi, Heineken and O2, as well as adding new brand
partners including Coinbase, Hulu and Cinch.
Our ticketing business had the dual benefit of strong ticket
sales for events in 2021, while also being the first of our
businesses to benefit from our 2022 pipeline.
Ticket sales were at a record pace across every metric with
October, November and December being our top three months ever for
ticketing gross transaction value, excluding refunded
tickets. And the fourth quarter and second half of the year
also set records for a quarter and six-month periods.
At the same time, we continued to reorganize our business
globally and improve our operations, establishing a more nimble and
lower cost company.
Looking to 2022 and beyond
With the strength in ticket sales, not surprisingly, we are
seeing every leading indicator for 2022 up relative to 2019,
reinforcing our confidence that we will have a record year in 2022
that sets us up for growth over the next several years.
Helping accelerate our growth this year is the acquisition of
OCESA, which gives us immediate scale in Mexico and establishes another path into the
broader Latin American market.
Looking at the leading indicators, starting with confirmed show
count through February, we are up 30% relative to 2019 across our
large venue shows, for stadium, amphitheater, arena and festival
events.
Then for concert ticket sales, through mid-February we have sold
45 million tickets for shows this year, up 45% from this point in
2019. We already have eight artists who have sold over 500
thousand tickets for their tours this year, including Bad Bunny,
Dua Lipa and Billie Eilish.
And fans are coming to the shows - our most recent data over the
past month indicates no-show rates at our concerts in the U.S. are
back to 2019 levels, eliminating any lingering questions on the
resiliency of fan demand.
Along with our fan growth, we continue building the portfolio of
venues we operate, now at 320 globally, as we net added 31
additional venues in 2021, approximately half of which came through
the OCESA acquisition.
Building our venue portfolio enables us to more rapidly grow our
show count and fan base in 2022, and over the next few years, and
positions us to drive on-site spending more widely and provide
additional assets to brand partners.
Our sponsorship and advertising pipeline is similarly setting up
for a strong 2022, up double-digits through mid-February relative
to 2019, with over 80% of our planned revenue for the year
committed.
Taking this strong pipeline and combining it with our more
efficient cost structure, I expect 2022 to deliver record financial
performance overall and for each division.
The two year wait for artists and fans is over. Never have
the tailwinds to our business been so strong, and I believe this is
just the start of what will be the strongest multi-year period ever
for the concert industry.
Michael Rapino
President and Chief Executive Officer
Live Nation Entertainment, Inc.
The company will webcast a teleconference today at 2:00 p.m. Pacific Time to discuss its financial
performance, operational matters and potentially other material
developments. Interested parties should visit the "News / Events"
section of the company's website at
investors.livenationentertainment.com to listen to the webcast.
Supplemental statistical and financial information to be provided
on the call, if any, will be posted to the "Financial Info" section
of the website. A replay of the webcast will also be available on
the Live Nation website.
Notice Regarding Financial Statements
The company has provided certain financial statements at the end of
this press release for reference. These financial statements
should be read in conjunction with the full financial statements,
and the notes thereto, set forth in the company's Annual Report on
Form 10-K filed with the Securities and Exchange Commission today
and available on the SEC's website at sec.gov.
About Live Nation Entertainment:
Live Nation Entertainment, Inc. (NYSE: LYV) is the world's leading
live entertainment company comprised of global market leaders:
Ticketmaster, Live Nation Concerts, and Live Nation Media &
Sponsorship. For additional information, visit
investors.livenationentertainment.com.
FINANCIAL
HIGHLIGHTS – FOURTH QUARTER
|
(unaudited; $ in
millions)
|
|
|
Q4 2021
Reported
|
|
Q4 2020
Reported
|
|
Growth
|
|
Q4 2021
Constant
Currency
|
|
Growth at
Constant
Currency
|
Revenue
|
|
|
|
|
|
|
|
|
|
Concerts
|
$
2,044.2
|
|
$
178.4
|
|
*
|
|
$
2,045.6
|
|
*
|
Ticketing
|
487.7
|
|
10.9
|
|
*
|
|
487.9
|
|
*
|
Sponsorship &
Advertising
|
170.3
|
|
47.1
|
|
*
|
|
171.2
|
|
*
|
Other and
Eliminations
|
1.0
|
|
0.9
|
|
*
|
|
1.0
|
|
*
|
|
$
2,703.2
|
|
$
237.3
|
|
*
|
|
$
2,705.7
|
|
*
|
|
|
|
|
|
|
|
|
|
|
Operating Income
(Loss)
|
|
|
|
|
|
|
|
|
|
Concerts
|
$
(294.0)
|
|
$
(236.4)
|
|
(24%)
|
|
$
(296.2)
|
|
(25%)
|
Ticketing
|
132.9
|
|
(131.5)
|
|
*
|
|
132.2
|
|
*
|
Sponsorship &
Advertising
|
100.5
|
|
4.1
|
|
*
|
|
101.0
|
|
*
|
Other and
Eliminations
|
0.4
|
|
(0.4)
|
|
*
|
|
0.4
|
|
*
|
Corporate
|
(64.3)
|
|
(23.8)
|
|
*
|
|
(64.3)
|
|
*
|
|
$
(124.5)
|
|
$
(388.0)
|
|
68%
|
|
$
(126.9)
|
|
67%
|
|
|
|
|
|
|
|
|
|
|
Adjusted Operating
Income (Loss)
|
|
|
|
|
|
|
|
|
|
Concerts
|
$
(122.3)
|
|
$
(166.7)
|
|
27%
|
|
$
(123.1)
|
|
26%
|
Ticketing
|
212.1
|
|
(73.7)
|
|
*
|
|
211.5
|
|
*
|
Sponsorship &
Advertising
|
114.5
|
|
14.2
|
|
*
|
|
115.0
|
|
*
|
Other and
Eliminations
|
(2.3)
|
|
(1.8)
|
|
*
|
|
(2.3)
|
|
*
|
Corporate
|
(41.7)
|
|
(16.3)
|
|
*
|
|
(41.7)
|
|
*
|
|
$
160.3
|
|
$
(244.3)
|
|
*
|
|
$
159.4
|
|
*
|
|
* percentages are
not meaningful
|
FINANCIAL
HIGHLIGHTS – 12 MONTHS
|
(unaudited; $ in
millions)
|
|
|
12 Months
2021
Reported
|
|
12 Months
2020
Reported
|
|
Growth
|
|
12 Months
2021
Constant
Currency
|
|
Growth at
Constant
Currency
|
|
Revenue
|
|
|
|
|
|
|
|
|
|
|
Concerts
|
$
4,722.2
|
|
$
1,468.4
|
|
*
|
|
$
4,688.3
|
|
*
|
|
Ticketing
|
1,134.3
|
|
188.4
|
|
*
|
|
1,127.3
|
|
*
|
|
Sponsorship &
Advertising
|
411.9
|
|
203.7
|
|
*
|
|
408.8
|
|
*
|
|
Other and
Eliminations
|
0.1
|
|
0.7
|
|
*
|
|
0.1
|
|
*
|
|
|
$
6,268.5
|
|
$
1,861.2
|
|
*
|
|
$
6,224.5
|
|
*
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Income
(Loss)
|
|
|
|
|
|
|
|
|
|
|
Concerts
|
$
(618.5)
|
|
$
(959.0)
|
|
36%
|
|
$
(612.8)
|
|
36%
|
|
Ticketing
|
170.3
|
|
(612.0)
|
|
*
|
|
175.6
|
|
*
|
|
Sponsorship &
Advertising
|
202.2
|
|
44.9
|
|
*
|
|
200.4
|
|
*
|
|
Other and
Eliminations
|
0.2
|
|
(13.5)
|
|
*
|
|
0.2
|
|
*
|
|
Corporate
|
(172.1)
|
|
(113.6)
|
|
(51)%
|
|
(172.1)
|
|
(51)%
|
|
|
$
(417.9)
|
|
$
(1,653.2)
|
|
75%
|
|
$
(408.7)
|
|
75%
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted Operating
Income (Loss)
|
|
|
|
|
|
|
|
|
|
|
Concerts
|
$
(221.3)
|
|
$
(638.8)
|
|
65%
|
|
$
(219.8)
|
|
66%
|
|
Ticketing
|
420.5
|
|
(374.6)
|
|
*
|
|
421.7
|
|
*
|
|
Sponsorship &
Advertising
|
242.2
|
|
81.9
|
|
*
|
|
240.4
|
|
*
|
|
Other and
Eliminations
|
(6.9)
|
|
(13.5)
|
|
49%
|
|
(6.9)
|
|
49%
|
|
Corporate
|
(110.6)
|
|
(70.9)
|
|
(56)%
|
|
(110.6)
|
|
(56)%
|
|
|
$
323.9
|
|
$
(1,015.9)
|
|
*
|
|
$
324.8
|
|
*
|
|
|
* percentages are
not meaningful
|
- As of December 31, 2021, total
cash and cash equivalents were $4.9
billion, which includes $1.3
billion in ticketing client cash and $1.5 billion in free cash. This free cash, along
with $569.9 million of available debt
capacity, gives the company $2.1
billion of available liquidity. The company believes this
level of liquidity will provide it with the runway it needs as more
shows returns.
- Event-related deferred revenue was $2.3
billion as of December 31,
2021 compared to $1.5 billion
as of December 31, 2020. In addition,
the company had long-term deferred revenue of $73.2 million for events scheduled more than one
year out as of December 31,
2021.
- For the twelve months ended December 31,
2021, net cash provided by operating activities was
$1.8 billion and free cash flow —
adjusted was $(113.9) million.
- The company currently expects capital expenditures for the full
year to be approximately $375 million
in 2022.
KEY OPERATING
METRICS
|
(unaudited)
|
|
|
2021
|
|
2020
|
|
2019
|
|
(in thousands
except estimated events)
|
Concerts
(1)
|
|
|
|
|
|
Estimated
events:
|
|
|
|
|
|
North
America
|
12,004
|
|
5,270
|
|
28,407
|
International
|
5,230
|
|
2,847
|
|
11,830
|
Total estimated
events
|
17,234
|
|
8,117
|
|
40,237
|
Estimated
fans:
|
|
|
|
|
|
North
America
|
26,331
|
|
6,075
|
|
62,687
|
International
|
8,728
|
|
5,067
|
|
34,967
|
Total estimated
fans
|
35,059
|
|
11,142
|
|
97,654
|
Ticketing
(2)
|
|
|
|
|
|
Estimated number of
fee-bearing tickets
|
131,685
|
|
31,101
|
|
219,975
|
Estimated number of
non-fee-bearing tickets
|
150,650
|
|
88,823
|
|
266,750
|
Total estimated
tickets sold
|
282,335
|
|
119,924
|
|
486,725
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Events generally
represent a single performance by an artist. Fans generally
represent the number of people who attend an event. Festivals are
counted as one event in the quarter in which the festival begins,
but the number of fans is based on the days the fans were present
at the festival and thus can be reported across multiple quarters.
Events and fan attendance metrics are estimated each
quarter.
|
|
|
(2)
|
The fee-bearing
tickets estimated above include primary and secondary tickets that
are sold using our Ticketmaster systems or that we issue through
affiliates. This metric includes primary tickets sold during the
period regardless of event timing, except for our own events where
our concert promoters control ticketing which are reported when the
events occur. The non-fee-bearing tickets estimated above include
primary tickets sold using our Ticketmaster systems, through season
seat packages and our venue clients' box offices, along with
tickets sold on our "do it yourself" platform. These ticketing
metrics are net of any refunds requested and any cancellations that
occurred during the period and up to the time of reporting of these
consolidated financial statements. Fee-bearing tickets sold above
are net of refunds of 21.0 million and 27.3 million tickets for the
years ended December 31, 2021 and 2020,
respectively.
|
Reconciliation of Certain Non-GAAP Measures to Their Most
Directly Comparable GAAP Measures (Unaudited)
Reconciliation
of Free Cash Flow — Adjusted to Net Cash
Provided by (Used in) Operating Activities
|
|
($ in
millions)
|
Q4
2021
|
|
Q4
2020
|
Net cash provided
by (used in) operating activities
|
$
755.9
|
|
$
(126.5)
|
Less: Changes in
operating assets and liabilities (working capital)
|
(682.2)
|
|
(200.4)
|
Free cash flow from
earnings
|
$
73.7
|
|
$
(326.9)
|
Less: Maintenance
capital expenditures
|
(30.9)
|
|
(9.1)
|
Distributions to noncontrolling interests
|
(26.8)
|
|
(10.1)
|
Free cash flow —
adjusted
|
$
16.0
|
|
$
(346.1)
|
|
|
|
|
Net cash provided
by (used in) investing activities
|
$
(455.2)
|
|
$
0.4
|
|
|
|
|
Net cash used in
financing activities
|
$
(51.0)
|
|
$
(11.5)
|
|
($ in
millions)
|
12 Months
2021
|
|
12 Months
2020
|
Net cash provided
by (used in) operating activities
|
$
1,780.6
|
|
$
(1,083.4)
|
Less: Changes in
operating assets and liabilities (working capital)
|
(1,774.0)
|
|
(79.5)
|
Free cash flow from
earnings
|
$
6.6
|
|
$
(1,162.9)
|
Less: Maintenance
capital expenditures
|
(68.1)
|
|
(65.1)
|
Distributions to noncontrolling interests
|
(52.4)
|
|
(41.6)
|
Free cash flow —
adjusted
|
$
(113.9)
|
|
$
(1,269.6)
|
|
|
|
|
Net cash used in
investing activities
|
$
(567.0)
|
|
$
(224.1)
|
|
|
|
|
Net cash provided
by financing activities
|
$
1,171.3
|
|
$
1,350.1
|
Reconciliation
of Free Cash to Cash and Cash Equivalents
|
|
($ in
millions)
|
December
31,
2021
|
Cash and cash
equivalents
|
$
4,884.7
|
Client
cash
|
(1,344.0)
|
Deferred revenue —
event-related
|
(2,323.1)
|
Accrued artist
fees
|
(26.2)
|
Collections on behalf
of others
|
(83.4)
|
Prepaid expenses —
event-related
|
381.4
|
Free cash
|
$
1,489.4
|
Forward-Looking Statements, Non-GAAP Financial Measures and
Reconciliations:
Certain statements in this press release, including the
Supplemental Information that follows, constitute "forward-looking
statements" within the meaning of the Private Securities Litigation
Reform Act of 1995. Such forward-looking statements include, but
are not limited to statements regarding the company's belief that
the ongoing rapid growth of the secondary ticketing market
indicates there are more opportunities in ticket pricing; the
company's confidence that it will have a record year in 2022, with
record financial performance overall and for each division
expected, setting the company up for growth over the next several
years; the company's pipeline of concerts, ticket sales and
sponsorship and advertising commitments for 2022; the anticipated
impact of the acquisition of OCESA on the company's growth
prospects; the company's belief that building its venue portfolio
enables it to more rapidly grow its show count and fan base in
2022, and over the next few years, and positions it to drive
on-site spending while also providing additional assets to its
brand partners; the company's belief that the current period marks
the start of what will be the strongest multi-year period ever for
the concert industry; the company's belief that its current level
of liquidity will provide it with the runway it needs as more shows
return; and the company's current expectations for capital
expenditures for 2022. Live Nation wishes to caution you that there
are some known and unknown factors that could cause actual results
to differ materially from any future results, performance or
achievements expressed or implied by such forward-looking
statements, including but not limited to operational challenges in
achieving strategic objectives and executing on the company's
plans, the risk that the company's markets do not evolve as
anticipated, the potential impact of any economic slowdown and
operational challenges associated with selling tickets and staging
events.
Live Nation refers you to the documents it files from time to
time with the U.S. Securities and Exchange Commission, or SEC,
specifically the section titled "Item 1A. Risk Factors" of the
company's most recent Annual Report filed on Form 10-K, and
Quarterly Reports on Form 10-Q and its Current Reports on Form 8-K,
which contain and identify other important factors that could cause
actual results to differ materially from those contained in the
company's projections or forward-looking statements. You are
cautioned not to place undue reliance on these forward-looking
statements which speak only as of the date on which they are made.
All subsequent written and oral forward-looking statements by or
concerning Live Nation are expressly qualified in their entirety by
the cautionary statements above. Live Nation does not undertake any
obligation to publicly update or revise any forward-looking
statements because of new information, future events or
otherwise.
This press release contains certain non-GAAP financial measures
as defined by SEC Regulation G. A reconciliation of each such
measure to its most directly comparable GAAP financial measure,
together with an explanation of why management believes that these
non-GAAP financial measures provide useful information to
investors, is provided herein.
Adjusted Operating Income (Loss), or AOI, is a non-GAAP
financial measure that we define as operating income (loss) before
certain stock-based compensation expense, loss (gain) on disposal
of operating assets, depreciation and amortization (including
goodwill impairment), amortization of non-recoupable ticketing
contract advances and acquisition expenses (including transaction
costs, changes in the fair value of accrued acquisition-related
contingent consideration obligations, and acquisition-related
severance and compensation). We use AOI to evaluate the performance
of our operating segments. We believe that information about AOI
assists investors by allowing them to evaluate changes in the
operating results of our portfolio of businesses separate from
non-operational factors that affect net income (loss), thus
providing insights into both operations and the other factors that
affect reported results. AOI is not calculated or presented in
accordance with GAAP. A limitation of the use of AOI as a
performance measure is that it does not reflect the periodic costs
of certain amortizing assets used in generating revenue in our
business. Accordingly, AOI should be considered in addition to, and
not as a substitute for, operating income (loss), net income
(loss), and other measures of financial performance reported in
accordance with GAAP. Furthermore, this measure may vary among
other companies; thus, AOI as presented herein may not be
comparable to similarly titled measures of other companies.
Constant Currency is a non-GAAP financial measure. We
calculate currency impacts as the difference between current period
activity translated using the current period's currency exchange
rates and the comparable prior period's currency exchange rates. We
present constant currency information to provide a framework for
assessing how our underlying businesses performed excluding the
effect of foreign currency rate fluctuations.
Free Cash Flow — Adjusted, or FCF, is a non-GAAP financial
measure that we define as net cash provided by (used in) operating
activities less changes in operating assets and liabilities, less
maintenance capital expenditures, less distributions to
noncontrolling interest partners. We use FCF among other measures,
to evaluate the ability of operations to generate cash that is
available for purposes other than maintenance capital expenditures.
We believe that information about FCF provides investors with an
important perspective on the cash available to service debt, make
acquisitions, and for revenue generating capital expenditures. FCF
is not calculated or presented in accordance with GAAP. A
limitation of the use of FCF as a performance measure is that it
does not necessarily represent funds available for operations and
is not necessarily a measure of our ability to fund our cash needs.
Accordingly, FCF should be considered in addition to, and not as a
substitute for, net cash provided by (used in) operating activities
and other measures of financial performance reported in accordance
with GAAP. Furthermore, this measure may vary among other
companies; thus, FCF as presented herein may not be comparable to
similarly titled measures of other companies.
Free Cash is a non-GAAP financial measure that we define as
cash and cash equivalents less ticketing-related client funds, less
event-related deferred revenue, less accrued expenses due to
artists and cash collected on behalf of others, plus event-related
prepaids. We use free cash as a proxy for how much cash we have
available to, among other things, optionally repay debt balances,
make acquisitions and fund revenue generating capital expenditures.
Free cash is not calculated or presented in accordance with GAAP. A
limitation of the use of free cash as a performance measure is that
it does not necessarily represent funds available from operations
and it is not necessarily a measure of our ability to fund our cash
needs. Accordingly, free cash should be considered in addition to,
and not as a substitute for, cash and cash equivalents and other
measures of financial performance reported in accordance with GAAP.
Furthermore, this measure may vary among other companies; thus,
free cash as presented herein may not be comparable to similarly
titled measures of other companies.
Reconciliations of Certain Non-GAAP Measures to Their Most
Directly Comparable GAAP Measures (Unaudited)
Reconciliation
of Adjusted Operating Income (Loss) to Operating Income
(Loss)
|
|
($ in
millions)
|
Operating
income
(loss)
|
|
Stock-based
compensation
expense
|
|
Loss
(gain) on
disposal
of
operating
assets
|
|
Depreciation
and
amortization
|
|
Amortization
of
non-
recoupable
ticketing
contract
advances
|
|
Acquisition
expenses
|
|
Adjusted
operating
income
(loss)
reported
|
|
Foreign
exchange
impact
|
|
Adjusted
operating
income
(loss)
constant
currency
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31, 2021
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Concerts
|
$
(294.0)
|
|
$
81.8
|
|
$
(0.2)
|
|
$
62.6
|
|
$
—
|
|
$
27.5
|
|
$
(122.3)
|
|
$
(0.8)
|
|
$
(123.1)
|
Ticketing
|
132.9
|
|
21.6
|
|
—
|
|
29.8
|
|
27.8
|
|
—
|
|
212.1
|
|
(0.6)
|
|
211.5
|
Sponsorship &
Advertising
|
100.5
|
|
7.8
|
|
—
|
|
6.1
|
|
—
|
|
0.1
|
|
114.5
|
|
0.5
|
|
115.0
|
Other &
Eliminations
|
0.4
|
|
—
|
|
—
|
|
—
|
|
(2.6)
|
|
(0.1)
|
|
(2.3)
|
|
—
|
|
(2.3)
|
Corporate
|
(64.3)
|
|
18.0
|
|
—
|
|
4.0
|
|
—
|
|
0.6
|
|
(41.7)
|
|
—
|
|
(41.7)
|
Total Live
Nation
|
$
(124.5)
|
|
$
129.2
|
|
$
(0.2)
|
|
$
102.5
|
|
$
25.2
|
|
$
28.1
|
|
$
160.3
|
|
$
(0.9)
|
|
$
159.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31, 2020
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Concerts
|
$
(236.4)
|
|
$
2.4
|
|
$
(0.4)
|
|
$
63.9
|
|
$
—
|
|
$
3.8
|
|
$
(166.7)
|
|
$
—
|
|
$
(166.7)
|
Ticketing
|
(131.5)
|
|
2.2
|
|
—
|
|
44.9
|
|
10.5
|
|
0.2
|
|
(73.7)
|
|
—
|
|
(73.7)
|
Sponsorship &
Advertising
|
4.1
|
|
1.2
|
|
—
|
|
8.9
|
|
—
|
|
—
|
|
14.2
|
|
—
|
|
14.2
|
Other &
Eliminations
|
(0.4)
|
|
—
|
|
—
|
|
—
|
|
(1.4)
|
|
—
|
|
(1.8)
|
|
—
|
|
(1.8)
|
Corporate
|
(23.8)
|
|
4.1
|
|
—
|
|
2.6
|
|
—
|
|
0.8
|
|
(16.3)
|
|
—
|
|
(16.3)
|
Total Live
Nation
|
$
(388.0)
|
|
$
9.9
|
|
$
(0.4)
|
|
$
120.3
|
|
$
9.1
|
|
$
4.8
|
|
$
(244.3)
|
|
$
—
|
|
$
(244.3)
|
|
|
Twelve Months
Ended December 31, 2021
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Concerts
|
$
(618.5)
|
|
$
116.0
|
|
$
(1.2)
|
|
$
243.4
|
|
$
—
|
|
$
39.0
|
|
$
(221.3)
|
|
$
1.5
|
|
$
(219.8)
|
Ticketing
|
170.3
|
|
33.8
|
|
(0.1)
|
|
133.2
|
|
81.6
|
|
1.7
|
|
420.5
|
|
1.2
|
|
421.7
|
Sponsorship &
Advertising
|
202.2
|
|
12.1
|
|
—
|
|
27.9
|
|
—
|
|
—
|
|
242.2
|
|
(1.8)
|
|
240.4
|
Other &
Eliminations
|
0.2
|
|
(0.1)
|
|
0.1
|
|
0.2
|
|
(7.2)
|
|
(0.1)
|
|
(6.9)
|
|
—
|
|
(6.9)
|
Corporate
|
(172.1)
|
|
47.5
|
|
—
|
|
11.6
|
|
—
|
|
2.4
|
|
(110.6)
|
|
—
|
|
(110.6)
|
Total Live
Nation
|
$
(417.9)
|
|
$
209.3
|
|
$
(1.2)
|
|
$
416.3
|
|
$
74.4
|
|
$
43.0
|
|
$
323.9
|
|
$
0.9
|
|
$
324.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months
Ended December 31, 2020
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Concerts
|
$
(959.0)
|
|
$
68.8
|
|
$
0.5
|
|
$
266.3
|
|
$
—
|
|
$
(15.4)
|
|
$
(638.8)
|
|
$
—
|
|
$
(638.8)
|
Ticketing
|
(612.0)
|
|
13.4
|
|
—
|
|
169.9
|
|
54.7
|
|
(0.6)
|
|
(374.6)
|
|
—
|
|
(374.6)
|
Sponsorship &
Advertising
|
44.9
|
|
6.4
|
|
—
|
|
30.6
|
|
—
|
|
—
|
|
81.9
|
|
—
|
|
81.9
|
Other &
Eliminations
|
(13.5)
|
|
—
|
|
—
|
|
6.7
|
|
(6.7)
|
|
—
|
|
(13.5)
|
|
—
|
|
(13.5)
|
Corporate
|
(113.6)
|
|
28.3
|
|
—
|
|
11.5
|
|
—
|
|
2.9
|
|
(70.9)
|
|
—
|
|
(70.9)
|
Total Live
Nation
|
$
(1,653.2)
|
|
$
116.9
|
|
$
0.5
|
|
$
485.0
|
|
$
48.0
|
|
$
(13.1)
|
|
$
(1,015.9)
|
|
$
—
|
|
$
(1,015.9)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIVE NATION
ENTERTAINMENT, INC.
|
CONSOLIDATED
BALANCE SHEETS
|
|
|
December
31,
2021
|
|
December
31,
2020
|
|
(in thousands,
except share data)
|
ASSETS
|
|
|
|
Current
assets
|
|
|
|
Cash
and cash equivalents
|
$
4,884,729
|
|
$
2,537,787
|
Accounts receivable, less allowance of $50,491 and $72,904,
respectively
|
1,066,573
|
|
486,734
|
Prepaid expenses
|
654,894
|
|
577,130
|
Restricted cash
|
3,063
|
|
8,652
|
Other current assets
|
74,834
|
|
39,465
|
Total current
assets
|
6,684,093
|
|
3,649,768
|
Property, plant and
equipment, net
|
1,091,929
|
|
1,101,414
|
Operating lease
assets
|
1,538,911
|
|
1,424,223
|
Intangible
assets
|
|
|
|
Definite-lived intangible assets, net
|
1,026,338
|
|
855,600
|
Indefinite-lived intangible assets
|
369,028
|
|
369,058
|
Goodwill
|
2,590,869
|
|
2,129,203
|
Long-term
advances
|
552,697
|
|
668,756
|
Other long-term
assets
|
548,453
|
|
391,281
|
Total
assets
|
$
14,402,318
|
|
$
10,589,303
|
LIABILITIES AND
EQUITY
|
|
|
|
Current
liabilities
|
|
|
|
Accounts payable, client accounts
|
$
1,532,345
|
|
$
744,096
|
Accounts payable
|
110,623
|
|
86,356
|
Accrued expenses
|
1,645,906
|
|
894,149
|
Deferred revenue
|
2,774,792
|
|
1,839,323
|
Current portion of long-term debt, net
|
585,254
|
|
53,415
|
Current portion of operating lease liabilities
|
123,715
|
|
107,147
|
Other current liabilities
|
83,087
|
|
72,083
|
Total current
liabilities
|
6,855,722
|
|
3,796,569
|
Long-term debt,
net
|
5,145,484
|
|
4,855,096
|
Long-term operating
lease liabilities
|
1,606,064
|
|
1,445,674
|
Other long-term
liabilities
|
431,581
|
|
353,267
|
Commitments and
contingent liabilities
|
|
|
|
Redeemable
noncontrolling interests
|
551,921
|
|
272,449
|
Stockholders'
equity
|
|
|
|
Preferred stock—Series
A Junior Participating, $0.01 par value; 20,000,000 shares
authorized; no shares issued and
outstanding
|
—
|
|
—
|
Preferred stock, $0.01
par value; 30,000,000 shares authorized; no shares issued and
outstanding
|
—
|
|
—
|
Common stock, $0.01
par value; 450,000,000 shares authorized; 225,082,603 and
218,423,061 shares issued and 224,674,579 and 218,015,037 shares
outstanding in 2021 and 2020, respectively
|
2,220
|
|
2,145
|
Additional paid-in capital
|
2,897,695
|
|
2,386,790
|
Accumulated deficit
|
(3,327,737)
|
|
(2,676,833)
|
Cost
of shares held in treasury
|
(6,865)
|
|
(6,865)
|
Accumulated other comprehensive loss
|
(147,964)
|
|
(177,009)
|
Total Live Nation
stockholders' equity
|
(582,651)
|
|
(471,772)
|
Noncontrolling
interests
|
394,197
|
|
338,020
|
Total
equity
|
(188,454)
|
|
(133,752)
|
Total liabilities
and equity
|
$
14,402,318
|
|
$
10,589,303
|
LIVE NATION
ENTERTAINMENT, INC.
|
CONSOLIDATED
STATEMENTS OF OPERATIONS
|
|
|
Year Ended
December 31,
|
|
2021
|
|
2020
|
|
2019
|
|
(in thousands,
except share and per share data)
|
Revenue
|
$
6,268,447
|
|
$
1,861,178
|
|
$
11,547,969
|
Operating
expenses:
|
|
|
|
|
|
Direct operating
expenses
|
4,355,989
|
|
1,402,400
|
|
8,467,182
|
Selling, general and
administrative expenses
|
1,754,822
|
|
1,524,342
|
|
2,145,486
|
Depreciation and
amortization
|
416,277
|
|
485,025
|
|
443,991
|
Loss (gain) on
disposal of operating assets
|
(1,211)
|
|
503
|
|
(2,373)
|
Corporate
expenses
|
160,428
|
|
102,100
|
|
168,839
|
Operating income
(loss)
|
(417,858)
|
|
(1,653,192)
|
|
324,844
|
Interest
expense
|
282,440
|
|
226,832
|
|
157,521
|
Interest
income
|
(6,625)
|
|
(11,737)
|
|
(14,406)
|
Equity in losses
(earnings) of nonconsolidated affiliates
|
(2,520)
|
|
5,458
|
|
(5,457)
|
Loss (gain) from sale
of investments in nonconsolidated affiliates
|
(83,578)
|
|
1,727
|
|
(1,119)
|
Other expense
(income), net
|
3,692
|
|
(18,807)
|
|
3,201
|
Income (loss) before
income taxes
|
(611,267)
|
|
(1,856,665)
|
|
185,104
|
Income tax expense
(benefit)
|
(2,481)
|
|
(28,875)
|
|
66,892
|
Net income
(loss)
|
(608,786)
|
|
(1,827,790)
|
|
118,212
|
Net income (loss)
attributable to noncontrolling interests
|
42,118
|
|
(103,255)
|
|
48,323
|
Net income (loss)
attributable to common stockholders of Live Nation
|
$
(650,904)
|
|
$
(1,724,535)
|
|
$
69,889
|
|
|
|
|
|
|
Basic and diluted net
loss per common share available to common stockholders of Live
Nation
|
$
(3.09)
|
|
$
(8.12)
|
|
$
(0.02)
|
|
|
|
|
|
|
Weighted average
common shares outstanding:
|
|
|
|
|
|
Basic and
diluted
|
217,190,862
|
|
212,270,944
|
|
210,082,696
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation to net
loss available to common stockholders of Live Nation:
|
|
|
Net income (loss)
attributable to common stockholders of Live Nation
|
$
(650,904)
|
|
$
(1,724,535)
|
|
$
69,889
|
Accretion of
redeemable noncontrolling interests
|
(19,771)
|
|
1,180
|
|
(74,771)
|
Basic and diluted net
loss available to common stockholders of Live Nation
|
$
(670,675)
|
|
$
(1,723,355)
|
|
$
(4,882)
|
|
|
|
|
|
|
LIVE NATION
ENTERTAINMENT, INC.
|
CONSOLIDATED
STATEMENTS OF CASH FLOWS
|
|
|
Year Ended
December 31,
|
|
2021
|
|
2020
|
|
2019
|
|
(in
thousands)
|
CASH FLOWS FROM
OPERATING ACTIVITIES
|
|
|
|
|
|
Net income
(loss)
|
$
(608,786)
|
|
$
(1,827,790)
|
|
$
118,212
|
Reconciling
items:
|
|
|
|
|
|
Depreciation
|
222,840
|
|
245,713
|
|
220,459
|
Amortization
|
193,437
|
|
239,312
|
|
223,532
|
Amortization of
non-recoupable ticketing contract advances
|
74,406
|
|
47,971
|
|
80,302
|
Deferred income tax
benefit
|
(9,639)
|
|
(37,877)
|
|
(465)
|
Amortization of debt
issuance costs and discounts
|
37,260
|
|
32,774
|
|
24,116
|
Provision for
uncollectible accounts receivable
|
(17,826)
|
|
43,076
|
|
27,926
|
Non-cash compensation
expense
|
209,337
|
|
116,889
|
|
48,785
|
Unrealized changes in
fair value of contingent consideration
|
(6,732)
|
|
(24,448)
|
|
6,698
|
Equity in losses
(earnings) of nonconsolidated affiliates, net of
distributions
|
11,189
|
|
18,280
|
|
14,152
|
Loss (gain) on sale of
investments in nonconsolidated affiliates
|
(83,578)
|
|
1,727
|
|
(1,119)
|
Other, net
|
(15,333)
|
|
(18,472)
|
|
(4,908)
|
Changes in operating
assets and liabilities, net of effects of acquisitions and
dispositions:
|
|
|
|
|
Decrease (increase) in
accounts receivable
|
(485,211)
|
|
490,588
|
|
(159,792)
|
Decrease (increase) in
prepaid expenses and other assets
|
95,533
|
|
141,631
|
|
(170,486)
|
Increase (decrease) in
accounts payable, accrued expenses and other liabilities
|
1,315,722
|
|
(1,379,461)
|
|
(45,920)
|
Increase in deferred
revenue
|
847,949
|
|
826,699
|
|
88,291
|
Net cash provided by
(used in) operating activities
|
1,780,568
|
|
(1,083,388)
|
|
469,783
|
CASH FLOWS FROM
INVESTING ACTIVITIES
|
|
|
|
|
|
Advances of notes
receivable
|
(28,899)
|
|
(56,957)
|
|
(50,035)
|
Collections of notes
receivable
|
23,835
|
|
80,963
|
|
13,216
|
Investments made in
nonconsolidated affiliates
|
(110,589)
|
|
(11,242)
|
|
(57,280)
|
Purchases of
property, plant and equipment
|
(152,734)
|
|
(213,746)
|
|
(323,566)
|
Cash paid for
acquisitions, net of cash acquired
|
(384,251)
|
|
(41,083)
|
|
(235,071)
|
Purchases of
intangible assets
|
(7,100)
|
|
(8,863)
|
|
(42,261)
|
Proceeds from sale of
investments in nonconsolidated affiliates
|
90,432
|
|
19,003
|
|
1,455
|
Other, net
|
2,344
|
|
7,863
|
|
2,542
|
Net cash used in
investing activities
|
(566,962)
|
|
(224,062)
|
|
(691,000)
|
CASH FLOWS FROM
FINANCING ACTIVITIES
|
|
|
|
|
|
Proceeds from
long-term debt, net of debt issuance costs
|
903,827
|
|
1,607,365
|
|
937,400
|
Payments on long-term
debt
|
(109,705)
|
|
(30,987)
|
|
(437,267)
|
Contributions from
noncontrolling interests
|
22,026
|
|
5,418
|
|
14,285
|
Distributions to
noncontrolling interests
|
(52,368)
|
|
(41,624)
|
|
(107,476)
|
Purchases and sales
of noncontrolling interests, net
|
(9,638)
|
|
(106,242)
|
|
(50,267)
|
Proceeds from sale of
common stock, net of issuance costs
|
449,630
|
|
—
|
|
—
|
Proceeds from
exercise of stock options
|
30,618
|
|
30,647
|
|
14,104
|
Taxes paid for net
share settlement of equity awards
|
(45,845)
|
|
(47,539)
|
|
(15,353)
|
Payments for deferred
and contingent consideration
|
(17,319)
|
|
(66,992)
|
|
(26,537)
|
Other, net
|
106
|
|
36
|
|
—
|
Net cash provided by
financing activities
|
1,171,332
|
|
1,350,082
|
|
328,889
|
Effect of exchange
rate changes on cash, cash equivalents and restricted
cash
|
(43,585)
|
|
29,565
|
|
(11,633)
|
Net increase in cash,
cash equivalents, and restricted cash
|
2,341,353
|
|
72,197
|
|
96,039
|
Cash, cash
equivalents and restricted cash at beginning of period
|
2,546,439
|
|
2,474,242
|
|
2,378,203
|
Cash, cash
equivalents and restricted cash at end of period
|
$
4,887,792
|
|
$
2,546,439
|
|
$
2,474,242
|
View original content to download
multimedia:https://www.prnewswire.com/news-releases/live-nation-entertainment-reports-fourth-quarter--full-year-2021-results-301488975.html
SOURCE Live Nation Entertainment