NOVEMBER 2025 Forward-Looking Statements Certain statements in this presentation may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, notwithstanding that such statements are not specifically identified. Forward-looking statements include, but are not limited to, statements regarding projections of Live Nation's future financial results, business strategy and expansion plans, product roadmaps, competitive position, and the future development ...

Core Insights - Monumental Sports & Entertainment (MSE) has partnered with Ticketmaster as a Founding Partner for its new arena in downtown Washington, D.C., aiming to enhance the live event experience through advanced technology and personalization [1][2] - The partnership is part of a broader $800 million+ transformation initiative for the arena, focusing on creating a seamless and immersive fan experience [2] Company Overview - MSE is recognized as one of America's leading integrated sports and entertainment companies, committed to delivering extraordinary experiences and community engagement [3] - Ticketmaster is the world's largest ticket marketplace, processing 600 million tickets annually across over 35 countries, and is part of Live Nation Entertainment [3] Partnership Details - The collaboration will integrate Ticketmaster's technology across MSE's ecosystem, enhancing operations for teams like the NHL's Washington Capitals and NBA's Washington Wizards [2] - Ticketmaster will also have a significant media presence through the Monumental Sports Network, providing brand visibility and engagement opportunities [2] Strategic Goals - The partnership aims to redefine the fan journey from entry to experience within the arena, ensuring a smarter and safer environment [2] - MSE's initiative is designed to revitalize downtown D.C. and position it as a global sports and entertainment destination, attracting millions of visitors annually [2]

Core Viewpoint - Live Nation reported a decline in stock price following its Q3 earnings release, which showed revenue growth but significantly lower earnings per share than expected [1] Financial Performance - Live Nation's Q3 revenue reached $8.5 billion, representing a year-over-year increase of over 11%, although it slightly missed analysts' average expectation of $8.57 billion [1] - The company's earnings per share (EPS) for the quarter was $0.73, which was substantially below the anticipated $1.32 [1] - Revenue from the concert business, which includes merchandise sales and live music event production, amounted to $7.28 billion, falling short of analysts' expectations of $7.67 billion [1]

Core Insights - Live Nation reported quarterly earnings of $0.73 per share, missing the Zacks Consensus Estimate of $1.21 per share, and down from $1.66 per share a year ago, representing an earnings surprise of -39.67% [1] - The company posted revenues of $8.5 billion for the quarter ended September 2025, missing the Zacks Consensus Estimate by 0.59%, but up from $7.65 billion year-over-year [2] - Live Nation shares have increased by approximately 15.7% since the beginning of the year, compared to the S&P 500's gain of 16.5% [3] Earnings Outlook - The earnings outlook for Live Nation is uncertain, with current consensus EPS estimates for the upcoming quarter at -$0.93 on revenues of $6.49 billion, and $0.41 on revenues of $25.45 billion for the current fiscal year [7] - The trend of estimate revisions for Live Nation was unfavorable prior to the earnings release, resulting in a Zacks Rank 4 (Sell) for the stock, indicating expected underperformance in the near future [6] Industry Context - The Film and Television Production and Distribution industry, to which Live Nation belongs, is currently ranked in the bottom 14% of over 250 Zacks industries, suggesting a challenging environment for stock performance [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact investor sentiment and stock performance [5]

Financial Data and Key Metrics Changes - The company reported a revenue increase of 11%, operating income up 24%, and AOI (Adjusted Operating Income) growth of 14% for the quarter [8][10] - The company anticipates continued growth with record attendance, revenue, and AOI expected for the next year [10] Business Line Data and Key Metrics Changes - The concert segment grew AOI by approximately $40 million, driven by an increase of 120 stadium shows, with a balanced contribution from both U.S. and international markets [20][21] - There was a decrease of about 250 amphitheater shows, while arena activity remained flat, but growth was noted in operated arenas [20][21] Market Data and Key Metrics Changes - International markets, particularly in Mexico and Latin America, showed significant growth, contributing to the overall revenue increase [8][10] - The company noted a strong pipeline for 2026, with ticket sales for shows next year up double digits [31] Company Strategy and Development Direction - The company is focusing on expanding its presence in underdeveloped international markets, particularly in Latin America and Asia, while maintaining competitiveness in North America [29] - The company is committed to enhancing its ticketing platform and enterprise tools to capture more market share globally [29] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strength of the consumer and the overall business model, indicating no signs of economic sensitivity affecting ticket sales [56] - The company is optimistic about the upcoming year, expecting a strong performance in stadiums and a robust pipeline of events [38][40] Other Important Information - The company is implementing identity verification tools to combat ticket scalping, which has resulted in the cancellation of over a million accounts [14][15] - The company is also focused on enhancing its sponsorship revenue, which has been growing at double-digit rates [61] Q&A Session Summary Question: Concerns about underperformance in amphitheaters and arenas - Management acknowledged fewer amphitheater shows this year but expressed optimism for a strong pipeline in 2026, indicating that the current performance is not structural [9][10] Question: Actions taken against ticket scalpers - Management detailed the shutdown of the Trade Desk tool and the implementation of identity verification tools to reduce scalping, with a low expected financial impact [12][14][15] Question: Breakdown of concert segment AOI growth - Management provided insights into the concert segment's growth, attributing it to increased stadium shows and operational improvements in venues [20][21] Question: Update on regulatory discussions with the FTC and DOJ - Management expressed confidence in their legal standing against the FTC and provided updates on the DOJ case, indicating no significant concerns [23][24][25] Question: International growth opportunities in ticketing - Management emphasized the importance of international markets for future growth, highlighting the company's global strategy [29] Question: Expectations for AOI growth in 2026 - Management refrained from providing specific guidance for 2026 but indicated strong leading indicators for continued growth [50][52] Question: Corporate appetite for sponsorships - Management noted ongoing growth in sponsorship revenue, driven by increased inventory and demand from marketers [61] Question: Food and beverage spend across venues - Management reported strong growth in food and beverage revenues across various venue types, indicating a positive trend in ancillary revenues [66]

Financial Data and Key Metrics Changes - The company reported a revenue increase of 11%, operating income up 24%, and AOI (Adjusted Operating Income) growth of 14% for the quarter [8][10] - International growth was highlighted, particularly in Mexico and Latin America, with stadium revenue increasing by 60% [8][10] Business Line Data and Key Metrics Changes - The concert segment saw AOI growth of approximately $40 million, driven by an increase of 120 stadium shows, which contributed to high profitability per fan [20][22] - There was a decrease of about 250 amphitheater shows, while arena activity remained flat, with some growth in operated arenas [20][22] Market Data and Key Metrics Changes - The company noted a strong pipeline for 2026, with ticket sales for shows next year up double digits, indicating robust demand [31][38] - The international fan count is projected to surpass the U.S. for the first time, reflecting a shift towards global growth [42] Company Strategy and Development Direction - The company aims to expand its presence in underdeveloped international markets, particularly in Latin America and Asia, while maintaining competitiveness in North America [29] - The focus remains on primary ticket sales, with secondary ticketing being a low single-digit percentage of revenue, emphasizing the importance of controlling scalping practices [12][15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the upcoming year, expecting strong performance across all venue types, including stadiums, amphitheaters, and arenas [9][38] - There are no observed signs of economic sensitivity affecting consumer behavior, with strong demand across various consumer segments [56] Other Important Information - The company is implementing identity verification tools to combat ticket scalping, which has resulted in the cancellation of over a million accounts [14][15] - The recent hire of a new global president for Ticketmaster is aimed at enhancing the company's AI capabilities and international focus [44][46] Q&A Session Summary Question: Concerns about underperformance in amphitheaters and arenas - Management acknowledged the strong performance in stadiums but noted fewer amphitheater shows this year, with optimism for a rebound in 2026 [9][10] Question: Actions taken against ticket scalpers - The company is shutting down the Trade Desk tool used by brokers and deploying identity verification tools to reduce scalping, expecting minimal financial impact [12][14] Question: Breakdown of concert segment AOI growth - The concert segment grew AOI by about $40 million, driven by increased stadium shows and a strong performance in operated venues [20][22] Question: Update on regulatory discussions with the FTC and DOJ - Management feels confident about their case with the FTC and noted that the DOJ case is progressing, with trial set for March 6 [23][24] Question: International growth opportunities in ticketing - The company views international markets as a significant growth opportunity, with plans to expand Ticketmaster's presence globally [29][30] Question: Expectations for AOI growth in 2026 - Management refrained from making specific 2026 AOI growth predictions but indicated strong leading indicators for continued growth [50][52] Question: Corporate appetite for sponsorships - Sponsorship numbers have been growing in double digits, with marketers increasingly investing in live events [60][62] Question: Food and beverage spend across venues - The company reported strong growth in food and beverage across various venue types, indicating robust ancillary revenue streams [66][68]

Financial Data and Key Metrics Changes - Revenue increased by 11%, operating income rose by 24%, and AOI (Adjusted Operating Income) grew by 14% in Q3 2025, indicating strong financial performance [6][8]. - The company anticipates continued growth in AOI of 10% for the upcoming year, supported by a diversified global business model [6][7]. Business Line Data and Key Metrics Changes - The concert segment saw an AOI growth of approximately $40 million, driven by an increase of 120 stadium shows, which contributed to high profitability per fan [18][19]. - There was a decrease of about 250 amphitheater shows, while arena activity remained flat, indicating a shift in focus towards larger venues [19][20]. Market Data and Key Metrics Changes - International markets, particularly in Mexico and Latin America, showed significant growth, with stadium revenues up by 60% [6][7]. - The company noted that international fan count is on track to surpass U.S. fan count for the first time, highlighting a shift towards global growth [37]. Company Strategy and Development Direction - The company is focusing on expanding its presence in underdeveloped international markets, particularly in Latin America and Asia, while maintaining competitiveness in North America [26][27]. - The management emphasized the importance of a diversified business model, which allows for flexibility and resilience in varying market conditions [6][7]. Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the upcoming year, citing a strong pipeline of events and ticket sales for 2026, with expectations for continued double-digit AOI growth [42][43]. - There are no observed signs of consumer pullback, with strong demand across various venue types, indicating robust consumer appetite for live events [46]. Other Important Information - The company is implementing identity verification tools to combat ticket scalping, which is expected to have a minimal financial impact but is crucial for maintaining market integrity [10][14]. - The company is preparing for an investor day to provide more detailed insights into its venue pipeline and long-term growth strategies [32][54]. Q&A Session Summary Question: What happened with amphitheaters and arenas this year? - Management noted a strong performance in stadiums but acknowledged fewer amphitheater shows, with expectations for a rebound in 2026 [5][7]. Question: Can you provide details on concert segment AOI growth? - The concert segment grew AOI by about $40 million, driven by increased stadium shows and profitability per fan [18][19]. Question: What is the status of the FTC and DOJ cases? - Management feels confident about their case with the FTC and noted that the DOJ case is progressing towards trial [22][23]. Question: How is the ticketing landscape evolving? - The company views ticketing as a global business and is focusing on expanding its international presence while remaining competitive in North America [26][27]. Question: Are there signs of consumer spending pressure? - Management has not observed any pullback in consumer spending, indicating strong demand across all levels of events [46]. Question: What is the outlook for sponsorships? - Sponsorship numbers have been growing in double digits, with continued demand from marketers for live events [48][49].

Revenue Growth - For Q3 2025, revenues increased by $848.1 million, or 11%, from $7.7 billion to $8.5 billion, driven primarily by the Concerts segment [115]. - The Concerts segment revenue for Q3 2025 rose by $701.9 million, or 11%, to $7.3 billion, attributed to increased stadium shows and fan attendance [118]. - For the first nine months of 2025, consolidated revenue increased by $1.4 billion, or 8%, from $17.5 billion to $18.9 billion [116]. - Revenue for the nine months ended September 30, 2025, increased by $1.4 billion to $18.9 billion, an 8% increase compared to the same period in 2024 [135]. - Concerts segment revenue increased by $1.3 billion (9%) to $15.71 billion for the nine months ended September 30, 2025, compared to the same period in 2024 [160]. - Ticketing segment revenue increased by $87.4 million (4%) to $2.23 billion for the nine months ended September 30, 2025, primarily due to higher primary ticket sales [166]. - Sponsorship & Advertising segment revenue increased by $85.5 million (9%) to $999.3 million for the nine months ended September 30, 2025, attributed to increased sponsorship activity [172]. Operating Income - Operating income for Q3 2025 increased by 24% to $792.5 million, with growth across all reporting segments [115]. - Operating income rose by $329.9 million to $1.4 billion, a 31% increase year-over-year, driven by the Concerts segment [136]. - Concerts segment operating income increased by $91.2 million (31%) to $386.4 million for the three months ended September 30, 2025, primarily due to higher revenue [159]. - Ticketing segment operating income increased by $45.1 million (24%) to $231.2 million for the three months ended September 30, 2025, driven by increased revenue [165]. - Sponsorship & Advertising segment operating income increased by $34.2 million (13%) to $293.3 million for the three months ended September 30, 2025, primarily due to increased revenues from sponsorship activity [171]. - Consolidated AOI for the nine months was $2.2 billion, up from $1.99 billion in the previous year, reflecting improved operational performance [143]. Attendance and Events - The total number of fans for Q3 2025 was 51.3 million, an increase of 1.2 million or 2% compared to the previous year [118]. - Total estimated events for the nine months decreased to 37,876 from 38,715 in the prior year, with a decline in North America events [153]. - Estimated fans attending events increased to 117,791 from 111,926, with international attendance showing significant growth [153]. - The number of fee-bearing tickets sold increased to 249,909 from 244,839, indicating a positive trend in ticket sales [153]. Financial Position - The company reported an event-related deferred revenue balance of $3.5 billion, up $1.0 billion or 37% compared to the previous year [114]. - Total net debt increased to $7.4 billion as of September 30, 2025, from $6.4 billion at December 31, 2024, with a weighted-average cost of debt of 4.5% [177]. - The company has a total available borrowing capacity of up to $1.7 billion under its amended senior secured credit facility, which includes a $400 million revolving credit facility [184]. - The company expects to remain in compliance with all debt covenants throughout 2025 [189]. Cash Flow and Capital Expenditures - Cash provided by operating activities increased by $769 million to $1,449,046 thousand for the nine months ended September 30, 2025, compared to the same period in the prior year [206]. - Total capital expenditures for the nine months ended September 30, 2025, amounted to $680,819 thousand, with revenue-generating capital expenditures increasing to $600,992 thousand from $363,576 thousand in the prior year [203]. - The company expects capital expenditures to be approximately $1.0 billion for the year ending December 31, 2025, with about 85% dedicated to revenue-generating projects [204]. - Cash used in investing activities increased by $190 million to $832,767 thousand for the nine months ended September 30, 2025, primarily due to higher purchases of property, plant, and equipment [207]. Strategic Initiatives and Acquisitions - The company issued $1.4 billion aggregate principal amount of 2.875% Convertible Senior Notes due 2031 on October 10, 2025, to fund various strategic initiatives [190]. - The company completed various acquisitions resulting in cash paid, net of cash acquired, of $68.3 million during the nine months ended September 30, 2025 [200]. - The company drew down $775 million from its existing senior secured credit facility primarily to finance the acquisition of an additional 24% interest in OCESA [195]. - The new term loan B facility of $1.3 billion was fully drawn upon closing of the 2025 Credit Agreement, which matures on October 21, 2032 [199]. Foreign Operations and Currency Impact - Foreign operations reported an operating income of $575.2 million for the nine months ended September 30, 2025 [211]. - A 10% change in the value of the United States dollar relative to foreign currencies would change operating income by $57.5 million for the nine months ended September 30, 2025 [211]. Interest Rate and Debt Management - The company had $7.4 billion of total debt as of September 30, 2025, with $6.0 billion in fixed-rate debt and $1.4 billion in floating-rate debt [213]. - Each 25-basis point increase or decrease in interest rates would affect annual interest expense by approximately $3.6 million [214]. - An interest rate swap agreement with a notional amount of $500.0 million is in place to convert a portion of floating-rate debt to fixed-rate [215]. Tax and Accounting Policies - The OECD's Pillar Two model rules will impose a global 15% minimum effective tax rate starting January 1, 2024, applicable to MNEs with consolidated revenue above €750 million [217]. - Management considers accounting estimates related to business combinations, impairment of long-lived assets, and revenue recognition as critical for understanding financial results [219]. - There have been no changes to critical accounting policies during the nine months ended September 30, 2025 [220].

Core Insights - Live Nation Entertainment Inc. anticipates strong concert demand continuing into the next year, driven by international shows and events at larger venues [1] Financial Performance - The company reported its third-quarter results, indicating a robust performance despite challenges [1] Market Trends - The ongoing demand for concerts suggests a positive outlook for the live entertainment industry, with expectations of sustained growth [1]

Financial Performance - Revenue for Q3 2025 reached $8.5 billion, an increase of 11% compared to Q3 2024[5] - Operating income for Q3 2025 was $793 million, up 24% year-over-year[5] - Adjusted operating income (AOI) for Q3 2025 totaled $1.03 billion, reflecting a 14% increase from the previous year[5] - Operating income for Q3 2025 was $792.5 million, up from $639.5 million in Q3 2024, representing a 24% increase[22] - Adjusted operating income for the first nine months of 2025 reached $2,172.4 million, compared to $1,988.6 million in the same period of 2024, reflecting a growth of 9.2%[22] - Operating income for the nine months ended September 30, 2025, reached $1,393,873, reflecting a 31.0% increase from $1,063,954 in 2024[42] Consumer Demand and Ticket Sales - Record stadium show count increased by 60% globally, indicating strong fan demand[5] - Ticket sales for Live Nation concerts in 2025 are projected to reach approximately 160 million fans, up 4% year-to-date[5] - Event-related deferred revenue reached $3.5 billion, a 37% increase, demonstrating robust consumer demand for future shows[5] - The company expects continued strong consumer demand in 2026, with growth in sponsorship commitments anticipated for 2025[28] Cash Flow and Financial Position - Free cash flow — adjusted for Q3 2025 was $649.3 million, slightly down from $663.1 million in Q3 2024[24] - Net cash provided by operating activities for the first nine months of 2025 was $1,449.0 million, significantly higher than $680.1 million in the same period of 2024[25] - Free cash as of September 30, 2025, was $1,510.4 million, indicating available cash for debt repayment and acquisitions[26] - The company reported a net cash provided by operating activities of $1,449,046 for the nine months ended September 30, 2025, compared to $680,052 in 2024, indicating a significant increase of 113.1%[44] Capital Expenditures and Growth Strategy - Capital expenditures for 2025 are expected to total approximately $1 billion, with $750 million focused on venue expansion and enhancement projects[12] - The company is focusing on expanding its Venue Nation business with planned premium experiences and large venue openings expected to drive fan growth[28] - Capital expenditures for 2025 are expected to be significant, contributing to the company's growth strategy[28] Assets and Liabilities - Total assets increased to $22,887,819 as of September 30, 2025, compared to $19,638,771 as of December 31, 2024, marking a growth of 16.4%[40] - Total current liabilities rose to $12,275,573 as of September 30, 2025, compared to $9,358,279 in 2024, an increase of 31.5%[40] Equity and Income - Live Nation's total equity increased to $1,128,825 as of September 30, 2025, compared to $818,993 in 2024, reflecting a growth of 37.8%[40] - Net income attributable to common stockholders of Live Nation for the three months ended September 30, 2025, was $431,458, compared to $451,805 in 2024, a decrease of 4.5%[42] - Basic net income per common share available to common stockholders of Live Nation for the three months ended September 30, 2025, was $0.74, down from $1.72 in 2024[42] Future Outlook - The company anticipates double-digit growth in operating income and adjusted operating income for 2025, with expectations for 2025 to be the strongest year yet[28] - Large venue show pipeline for 2026 is up double-digits, with nearly 75% of expected show count either committed or with offers submitted[5] - Average grosses for 2026 shows at large venues are up double-digits, reflecting increased sell-through levels[5]