Live Nation says it's winning over casual fans, even as they grapple with higher prices

By Bill Peters

CEO says a wider variety of shows have drawn 'both casual and diehard fans who are buying tickets at all price points'

An earlier version of this story incorrectly stated that Live Nation's overall results had beaten expectations.

Even as executives elsewhere say high prices are still squeezing consumers, Ticketmaster parent Live Nation Entertainment Inc. on Tuesday said it was seeing no signs of a slowdown in concert demand and reported quarterly sales that squeaked past Wall Street's expectations.

Chief Executive Michael Rapino, in Live Nation's (LYV) earnings release, said that a wider variety of shows had attracted "both casual and diehard fans who are buying tickets at all price points, which speaks to the unique experience only live concerts can provide."

He said he expected next year to be "very busy." However, shares fell 2.8% after hours on Tuesday.

The results arrived following a data breach at Ticketmaster this spring and an antitrust lawsuit from the Department of Justice, and after some high-profile tour cancellations raised questions about demand.

Live Nation reported second-quarter net income of $376.2 million, or $1.03 a share, compared with $331.3 million, or $1.02 a share, in the same quarter last year.

Revenue rose 7% year over year to $6.023 billion.

Analysts polled by FactSet expected Live Nation to report earnings per share of $1.06, on revenue of $6.016 billion.

The summer season and upgraded VIP options helped, as did an explosion of tours from new artists. Promotions for amphitheater shows helped tilt more concertgoers toward attending, even as higher prices for essentials force consumers to make tougher spending decisions. Fans spent more at major festivals, the company said.

While concert demand remains strong, Live Nation faces a lawsuit from the Justice Department seeking a breakup of the company. The agency alleges that Live Nation has used what it said was its monopoly power to stifle competition, sticking fans with fees and leaving artists and venues with fewer opportunities.

Live Nation has disputed those allegations and said the lawsuit wouldn't help lower prices or fees.

Regarding the data breach, the company has said the cyberattack compromised consumers' basic contact information and credit-card numbers. It said the breach would not have a "material" effect on operations.

Shares of Live Nation are up around 1% so far this year.

-Bill Peters

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07-31-24 1514ET

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