Live Nation Revenue Drops 98% In Second Quarter Amidst COVID-19 Pandemic

Variety Magazine has reported that Live Nation’s revenue has dropped a staggering 98% in its second-quarter due to the COVID-19 pandemic.  Revenue was $74 million for the quarter, compared to $3.2 billion in the same time frame in 2019 and their net loss for the second quarter was reported at $568 million, compared to net income of $172 million in the quarter last year.

While many tours have been canceled or postponed, the company still has some confidence for 2021. The statistics did show that 86% of fans have chosen to hold onto their tickets for rescheduled shows instead of asking for refunds, “indicating a strong desire to attend concerts in the future.”  It was also reported that strong sales for festivals in Europe, saying 19 million tickets have been sold for 2021 shows.

CEO-President of Live Nation Michael Travino believes the next couple of years will be record-breaking, saying “I believe ’21, ’22 will be record years. Regardless of what quarter exactly we scale at, the business will be stronger than ever.”

Fans might expect to see sales for shows in the U.S. begin again this year. Live Nation president Joe Berchtold stated “We do expect the on-sales to be a few toward the end of the year and the bulk of them as we get into the first quarter of next year.”

Live Nation got into the trend of drive-in concerts, as the company announced its Live-In Drive-In Concert Series in Philadelphia set to take place between August and September. Several artists including AJR, Mt. Joy, The Front Bottoms and DJ Jazzy Jeff have been announced to play.

The company also announced a plan double the number of black executives by 2025, after the heels of recent race and gender discrimination lawsuit against the company.  Tour manager Candace Newman claimed that the company allegedly underpaid her, while also allegedly denying her from receiving promotions. Newman also alleges that Live Nation “underpaid one-third to forty percent less than her non-Black and/or male peers.” The company also made headlines earlier this year over a leaked memo to talent partners, which outlined plans to decrease money guaranteed to artists while increasing cancellation penalties.

 

Roy Lott: College grad and aspiring music journalist. I have a passion for all things music, listen to most genres and go to many shows and festivals (if the lineup is good). Discovering new music and artists is another habit of mine that I can't shake.
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