Live Nation Entertainment Inc. said a particularly poor fourth quarter nearly tripled its annual loss last year, as concert attendance slumped and ticket sales for other events declined.
The Beverly Hills concert promoter and ticket seller late Monday reported a fourth quarter net loss of $124 million (-72 cents per share), compared with net income of $479,000 (1 cent) a year earlier. Revenue fell 2 percent to $1.24 billion.
The quarterly loss was larger than in the previous three quarters combined, pushing the company’s 2010 loss to $228 million (-$1.39), compared with a loss of $60 million (-73 cents) in 2009. Revenue was down 9 percent to $5.06 billion.
The company said it took $40 million in impairment charges in the fourth quarter on two venues and an artist deal. Chief Executive Michael Rapino told analysts in a conference call that the company believes the ticket sales slump bottomed out last year and the company should see a “modest recovery” this year, with strong acts such as U2, Tim McGraw and Lady Gaga on tour.
“The pipeline of artists planning to tour this year is strong and we are taking steps to better price and promote our shows, while carefully managing our costs,” Rapino said in a statement.
Shares closed up 7 cents, or less than 1 percent, to $10.73 on the New York Stock Exchange.
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