NYSE$LYV

Live Nation Entertainment Inc · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

Live Nation experienced significant challenges due to the pandemic, but focused on improving its business and reducing costs.

Live Nation Entertainment reported a challenging fourth quarter and full year in 2020 due to the impact of the COVID-19 pandemic on live events. Despite the difficulties, the company achieved substantial cost reductions and maintained a strong liquidity position. They saw 83% of fans holding onto their tickets.

  • 83% of fans are holding onto their tickets for rescheduled shows.
  • The company achieved $950 million in cost reductions in 2020.
  • The company secured $1.65 billion in cash savings in 2020.
  • The pipeline for 2022 is stronger than usual, with almost twice as many major touring artists on cycle compared to a typical year.

Headline financials

Total Revenue

$237M

Previous: $2.89B-91.8%
EPS (adj)

-$2.04

Previous: -$0.85-140.0%
Fee-bearing tickets sold

31.1M

Previous: 60.0M-48.2%
Total estimated fans

11.1M

Previous: 97.7M-88.6%
Capital Expenditures

$26.7M

Previous: $97.7M-72.7%
Free Cash Flow

-$153M

Previous: -$31.4M-387.9%
Net Income

-$1.83B

Previous: $118M-1646.2%
Operating Income

-$388M

Previous: -$82.9M-368.0%
Gross Profit

$34.1M

Previous: $702M-95.1%
Cash & Equivalents

$2.5B

Previous: $2.47B+1.2%
Total Assets

$10.6B

Previous: $11B-3.5%
Stock-Based Comp

$9.92M

Previous: $11.9M-16.3%

Revenue & EPS history

Live Nation · Revenue · Quarterly

$237M

Q4 2020-91.8%vs Q4 2019
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Revenue by segment

Live Nation · $236M total across 3 segments · Q4 2020

  • Concerts
    $178M-92.2%
  • Sponsorship & Advertising
    $47.1M-68.3%
  • Ticketing
    $10.9M-97.6%

Forward guidance

Live Nation anticipates a safe return to live events in many countries during the summer of 2021, scaling further from there, encouraged by vaccine distribution and declining COVID-19 cases.

Tailwinds

  • Consumer demand for live events remains strong.
  • Artists are eager to get back on stage.
  • There is a substantial pent-up demand for concerts.
  • Vaccine distribution is accelerating.
  • COVID-19 cases are declining in most parts of the world.

Headwinds

  • The timing of the return to live events will vary across global markets.
  • Operational challenges in achieving strategic objectives.
  • Risk that the company's markets do not evolve as anticipated.
  • Potential impact of any economic slowdown.
  • Operational challenges associated with selling tickets and staging events.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2020

Historical avgQ4 2020

+1.5%

Avg return

Earnings day

+1.4%

Avg return

5 days after

+3.1%

Avg return

30 days after

63%

41 / 65 earnings

Positive

+17.6%

Q3 2021

Best reaction

-10.7%

Q3 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+3.4%+2.4%+1.8%
Q4 2025+1.6%-1.4%-5.5%
Q3 2025-10.7%-4.9%-7.6%
Q2 2025+3.3%+7.1%+10.2%
Q1 2025+1.8%+2.1%+4.5%
Q4 2024-1.9%-6.7%-19.2%
Q3 2024+5.4%+4.9%+9.5%
Q2 2024+1.0%+2.1%+4.4%
Q1 2024+6.0%+7.9%+5.0%
Q4 2023+4.5%+2.6%+16.2%
Q3 2023-0.9%+3.0%+12.8%
Q2 2023-8.8%-11.0%-13.4%
Q1 2023+14.7%+15.4%+23.1%
Q4 2022-8.8%-4.5%-12.6%
Q3 2022-7.9%-5.1%-3.7%
Q2 2022-1.3%-3.0%-8.6%
Q1 2022-6.9%-11.3%-4.1%
Q4 2021+6.3%+3.2%-0.6%
Q3 2021+17.6%+10.8%-4.1%
Q2 2021+0.5%+7.9%+9.6%
Q1 2021+1.5%+4.0%+13.3%
Q4 2020-1.8%+0.1%-7.1%
Q3 2020+2.4%+19.2%+27.9%
Q2 2020-0.6%+6.4%+20.6%
Q1 2020+9.0%-0.9%+48.0%
Q4 2019+0.0%-5.2%-22.4%
Q3 2019-7.3%-13.0%-2.0%
Q2 2019+3.8%+1.7%-0.2%
Q1 2019+1.0%+0.2%-4.6%
Q4 2018+8.3%+8.3%+12.8%
Q3 2018+4.9%+5.9%+6.5%
Q2 2018-3.9%-6.0%-5.6%
Q1 2018+13.4%+7.3%+8.6%
Q4 2017-7.8%-9.7%-13.3%
Q3 2017+3.2%+7.0%+5.3%
Q2 2017+4.6%+4.0%+7.3%
Q1 2017+7.5%+5.8%+10.1%
Q4 2016-6.1%-7.5%-3.8%
Q3 2016+4.1%+6.5%+4.6%
Q2 2016+5.4%+1.4%+0.8%
Q1 2016+2.5%
Q4 2015+4.4%
Q3 2015-0.3%
Q2 2015+1.3%
Q1 2015+5.7%
Q4 2014-2.0%
Q3 2014+5.1%
Q2 2014-9.4%
Q1 2014+7.8%
Q4 2013+8.6%
Q3 2013-8.2%
Q2 2013+10.2%
Q1 2013+7.4%
Q4 2012+0.2%
Q3 2012+1.9%
Q2 2012+3.7%
Q1 2012+10.2%
Q4 2011-6.1%
Q3 2011-5.1%
Q3 2010-5.1%
Q2 2011+3.6%
Q1 2010-0.9%
Q1 2011-0.9%
Q2 2010-0.9%
Q4 2010+1.1%

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