Concert promoter giant Live Nation Entertainment revealed its full-year results for 2019, which show another increase in revenue.
The report, which was released on Thursday, says that the company reported a total revenue of $11.54 billion – an 8% increase from 2018. Additionally, the operating income and adjusted operating income increased with a 19% jump to $272.5 million and 7% improvement to $272.5 million, respectively. Live Nation’s Concerts division saw a large increase of 8%, while Ticketing only raised 1% from the previous year.
In addition to an increase in revenue, overall consumer demand for live entertainment increased in 2019 with a steady growth of 7% annually over the last five years. Just last year, 98 million fans attended Live Nation concerts, an increase in 5% from 2018 with 500 million tickets sold. Venues also began popping up more; Live Nation added 38 new venues this past year, as well as six new festivals and 18 new theaters and clubs.
Michael Rapino, Live Nation President and CEO, said that the increase in both attendance and revenue has to do with the increase in ticket pricing, as well as developing trends in the ticketing industry like dynamic pricing and VIP experiences. He noted in a press release that average ticket prices for amphitheater and arena shows are up double-digits since 2017, and Platinum tickets raised 66% across 3,000 shows.
“Even with these increases, concerts remain a great deal for fans relative to other live experiences,” Rapino said. “Our average ticket for a concert at one of our amphitheaters was $46 in 2019 relative to about $75 for an NBA game and over $100 for an NFL game.”
Amid the growth, Live Nation has a long-term debt of $3.27 billion, with $500 million stemming from 2019 alone. The company has also reported $1.3 billion in new long-term operating lease liabilities over the last year.
Ultimately, Rapino called 2019 a “strong year for Live Nation,” noting that the company is “building our global concerts business and driving growth in our high-margin venue, sponsorship and ticketing businesses.” Throughout 2020, he hopes that Live Nation will see another year of growth following double-digit fan and show count growth.