LOS ANGELES (CelebrityAccess) — Live Nation Entertainment saw continued growth in both revenue and adjusted operating income during the first quarter of 2017.
According to the company's statement, Live Nation generated $1.4 billion in revenue, up 17% against 2016. As well, adjusted operating income improved over last year for Q1, with the company reporting 92.0 million for the period, up by 25%.
Revenue for their concerts division improved to $863.3 million, up by 14% over the same period in 2016, but the unit saw operating income and adjusted operating income slide during the quarter, to $75.8 million and $22.2 million respectively, losses of 14% and 31% year over.
"As of the end of April we have booked over 4,000 arena, stadium and amphitheater shows for 2017, up 10% over this point last year. As a result of our show pipeline, tickets sold through April for our concerts this year are up over 25% to 46 million tickets," Live Nation CEO Michael Rapino said in a statement accompanying their financial statements.
"Along with this strong show and ticket count increase, we also expect to continue driving the profitability of our concerts business through increased onsite spending. This year we have invested to add more points of sale to improve throughput and increase sales, while also continuing to refine our product assortment and pricing," Rapino added.
Revenue from sponsorship and advertising grew by 11%, up to $64 million for the quarter while revenue from the company's ticketing operations delivered record performance, increasing to $493.7 million, up by 22%.
"One of the major initiatives we launched in the past quarter to support artists is our "Verified Fan" product, which leverages proprietary data and analytics to screen and verify potential ticket buyers, increasing the opportunity for real fans to purchase tickets for a show. After launching this product with Ed Sheeran, we have supported over 30 tours, including Depeche Mode, Twenty One Pilots, and Harry Styles as they seek new ways to get tickets in the hands of fans. This program has been highly successful in reducing, by over 90%, the number of tickets that are then sold on secondary markets," Rapino said.