Summer Concerts Fail To Boost Live Nation Q2 Results
August 5, 2010 at 4:10 PM (PT)
The summer concert season certainly hasn't gotten off to a hot start, as LIVE NATION reported a bigger Q2 loss. In spite of that, the WALL STREET JOURNAL reports that the concert promotion/artist management giant asserted that it met its own financial targets and remains on track to achieve $40 million in cost synergies this year.
In Q2, total attendance at LIVE NATION concerts fell 5.7% and total revenue per attendee was down 1.4%. What's more, ticketing operation TICKETMASTER sold 12.6% fewer tickets in the quarter.
LIVE NATION reported a net loss for the quarter of $34.6 million, or 20 cents a share, compared with a year-ago loss of $27.2 million, or 33 cents a share. Its revenue, including the results of the legacy TICKETMASTER operations, was down $135.6 million. Excluding the TICKETMASTER results, the company's revenue rose to $1.27 billion from $1.05 billion.
"Our second-quarter results were in line with our plan and financial guidance for the full year," Pres./CEO MICHAEL RAPINO said. "Our performance to date reflects the impact of the uncertain economy on consumers, offset in part by our efforts to aggressively promote, price and expand access to concerts across our global platform. We have now largely completed the integration of LIVE NATION and TICKETMASTER and we are generating considerable progress in driving efficiencies across our combined business. As we head into our biggest quarter, we are executing a range of revenue enhancement programs, while taking additional steps to reduce our operating expenses."
"Key artist tours anticipated during the summer and balance of the year for our artist management business include THE EAGLES, JIMMY BUFFETT, KID ROCK, KINGS OF LEON and THE SCORPIONS, just to name a few, and it is their success that will help fuel our company’s growth," Exec. Chairman IRVING AZOFF said. "As we look to the future, we are more confident than ever in our belief that LIVE NATION Entertainment has a unique business model to service artists and fans."