Live Nation Entertainment, Inc. (NYSE:LYV) Q4 2019 Earnings Conference Call - Final Transcript

Feb 27, 2020 • 05:00 pm ET

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Live Nation Entertainment, Inc. (NYSE:LYV) Q4 2019 Earnings Conference Call - Final Transcript

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Presentation
Operator
Operator

Good day everyone. My name is Pillari and I will be your conference facilitator for today. At this time I would like to welcome everyone to Live Nation Entertainment's Fourth Quarter and Full Year 2019 Conference Call. [Operator Instructions] Before we begin Live Nation has asked me to remind you that this afternoon's call will contain certain forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ including statements related to the company's anticipated financial performance business prospects new developments and similar matters.

Please refer to Live Nation's SEC filings including the risk factors and cautionary statements included in the company's most recent filings on Forms 10-K 10-Q and 8-K for a description of risks and uncertainties that can impact the actual results. Live Nation will also refer to some non-GAAP measures on this call. In accordance with the SEC Regulation G Live Nation has provided a full reconciliation to the most comparable GAAP measures in their earnings release. The release reconciliation and other financial or statistical information to be discussed on this call can be found under the Financial Information section on Live Nation's website at investors.livenationentertainment.com.

It is now my pleasure to turn the conference over to Michael Rapino President and Chief Executive Officer of Live Nation Entertainment. Please go ahead sir.

Executive
Michael Rapino

Good afternoon and welcome to our fourth quarter and full year 2019 conference call. In 2019 Live Nation delivered its ninth consecutive year of growth with revenue up 7% and AOI up 14%. Starting with the core of our business. Our concert fan count was up five million to 98 million globally driving AOI growth in all of our divisions: concerts sponsorship and ticketing demonstrating the effectiveness of our flywheel business model. In our concert segment fans continue to find the live experience from club shows to arenas to festivals a top entertainment choice and the best way to celebrate their favorite artists and share the experience with other fans. In the U.S. over the past five years consumer spend on live entertainment has grown 7% annually providing strong structural tailwinds to drive increased demand for concerts globally. With these demand dynamics in 2019 we delivered growth in concerts revenue of 8% and AOI of 7%. This growth was broad-based across our portfolio with international fan count up 11% while in North America arenas festivals theaters and clubs contributed to our growth. Globally festivals theaters and club attendance were up double digits highlighting the strength of our global footprint and the value of a diversified portfolio of markets genres and building types that have enabled our consistent growth over the past several years. And across all of the artists we work with we invested well over $6 billion to promote 40000 shows in 42 countries with Live Nation by far the largest financial supporter of artists in music. Average ticket prices for our amphitheater and arena shows are up double digits since 2017 while sales of dynamically priced Platinum tickets are