Live Nation Entertainment, Inc. (LYV) stock soared over 8% today after the live entertainment firm, which primarily operates through its concert and ticketing platforms, announced financial results for the fourth quarter and full year of 2021.
The company reported full-year operating income improved by $1.2 billion versus 2020.
Economic Reopening
LiveNation's success in fiscal 2021 was due primarily to the relaxing of Covid-19 measures in the second half of the year, as well as the reopening of concerts and other live events.
A number of key metrics even surpassed levels from 2019.
In the final five months of the year, in the U.S. and U.K., LiveNation recorded 15 million fans attending its outdoor events – nearly 25% higher than during the same period in 2019.
As a result, sponsorship and advertising operating income reached the same levels for the second half of 2021 as it was in 2019.
Overall, fourth-quarter ticketing revenue jumped 118%, while sponsorship income rose 37%.
Looking Ahead
Speaking on the upcoming year, Michael Rapino, President and CEO of LiveNation, commented, "Taking this strong pipeline and combining it with our more efficient cost structure, I expect 2022 to deliver record financial performance overall and for each division."
"The two year wait for artists and fans is over. Never have the tailwinds to our business been so strong, and I believe this is just the start of what will be the strongest multi-year period ever for the concert industry."
The company has seen encouraging signs so far in 2022.
Through February, the confirmed show count up 30% relative to 2019 across large venue shows, for the stadium, amphitheater, arena, and festival events.
For concert ticket sales, through mid-February, the company has sold 45 million tickets for shows this year, up 45% from this point in 2019.
