Live Nation Entertainment
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Live Nation’s 2022 was record-breaking across basically all key metrics — revenue, concert attendance, gross transaction value and sponsorships were all at all-time highs — and the company expects 2023 to top that.
As the company reported Thursday (Feb) with its fourth quarter earnings, total revenue reached a record $16.7 billion in 2022 — up 44% from the pre-pandemic era of 2019. That growth was spread across a number of factors: more fans, more concerts, more spending per fan, higher average ticket prices and a greater number of large sponsors.
Adjusted operating income improved 49% to $1.4 billion over the year, and operating free cash flow rose nearly four-fold to $1.8 billion.
Concert revenue in 2022 was $13.49 billion, up 43.1% from 2019 and 185.8% more than 2021. Concert attendance reached 121 million fans in 2022, up 24% from 2019 and a 246% increase from 2021, a year Live Nation began to recover from the pandemic but was not yet at full strength. The concerts division put on 43,600 events in 2022, up 153.2% from 2021 and up 8.4% from 2019. Attendance for Venue Nation, the venues operated by Live Nation, reached almost 50 million.
Ticketing revenues of $2.24 billion was up 44.9% from 2019 and up 97.4% from 2021. Fee-bearing ticket volume rose 28% from 2019 to 280 million. Fee-bearing gross transaction value grew to $28 billion, up more than 50% from 2019.
The average ticket costs were higher in 2022, too. With more tickets priced dynamically to true market value, Live Nation estimates $700 million was shifted to artists (and, presumably, away from the secondary market). That said, the average entry price for tickets remained below $35 in the U.S.
Even though consumers felt the pinch of high inflation throughout 2022, music fans didn’t shy away from spending money at Live Nation concerts. Ancillary per-fan spending rose at least 20% across all venue types from 2019 levels.
Sponsorship revenue reached $968 million, up 64% from 2019 and 135% greater than 2021. Live Nation had 120 large sponsors globally, up 32% from 2019. Last year, the company added PayPal, GoPuff, Hulu and Snap as sponsors. They and other new, large sponsors accounted for 80% of sponsorship’s revenue growth in 2022.
Live Nation points to a number of leading indicators that suggest 2023 will be even stronger than 2022. As of mid-February, event-related deferred revenue — tickets sales for concerts that have not yet occurred — was up $400 million to $2.7 billion. Also through mid-February, ticket sales are up 20% and fee-bearing gross transaction value of tickets sold is up 33%.
Live Nation Concerts has announced Geni Lincoln will be joining the company as their new president of California region. Lincoln will oversee all booking, marketing and business operations in California for the leading live entertainment promoter. She previously served as the GM and senior vp of live events for the Kia Forum in Inglewood, Calif.
“I am very excited to return to Live Nation and join the stellar California team,” said Lincoln. “I have been fortunate enough to have worked with some of the best teams in the business and look forward to continuing growing those relationships in this role at Live Nation.”
Concert industry veteran Rich Best, who previously served as president of California is now joining Live Nation’s global team. Under the leadership of Arthur Fogel and Omar Al-joulani, the global promoting team produces and promotes Live Nation’s worldwide tours for artists including The Weeknd, Billie Eilish, Harry Styles, Post Malone, Bruno Mars and more. Best has been with Live Nation for over 20 years, and in his time as a promoter has continued to help a roster of artists plan worldwide tours including Pearl Jam, Rufus Du Sol, and more.
Lincoln has worked at the Kia Forum for nine years and was part of the team responsible for maintaining the legendary venue’s high rankings every year and transforming the artist experience there. Live Nation booked hundreds of shows during Lincoln’s time at the Forum and Lincoln has worked very closely with much of the team she is now leading.
“We are thrilled to welcome Geni back to Live Nation, leading our California team,” said Jordan Zachary, co-president of US Concerts. “In her prior role at the Forum she has worked incredibly closely with our teams and we’re excited to see her continue to support even more of our division and the artists we support across California.”
Best added “This is a great opportunity for my friend Geni and I give her a warm welcome to one of the most vibrant concert markets in the world. At the same time I’m incredibly excited to take the next step living out my dream working with artists on a global stage.”
Her move to Live Nation is full circle as she began her career working for House of Blues Entertainment at Universal Amphitheatre in Hollywood, which became part of Live Nation during her tenure. (Universal Amphitheatre closed in 2013). In addition to her work in live events, Geni has also spent the last five years volunteering with Rock n’ Roll Camp for Girls in Los Angeles – a non-profit social justice organization empowering young girls through music education.