Vivid Seats(SEAT)2025-03-12 15:20Financial Data and Key Metrics Changes - In Q4 2024, the company reported revenues of 33 million, a 5% decrease year-over-year [7][26] - For the full year 2024, revenues reached 151 million, a 7% increase year-over-year [7][26] - The company ended Q4 2024 with 41 million during the quarter [26] Business Line Data and Key Metrics Changes - Marketplace Gross Order Value (GOV) for Q4 2024 was 3.9 billion, with a 6% increase in total marketplace orders offset by a 6% decrease in average order size [24] Market Data and Key Metrics Changes - The company noted a mixed outlook for concert supply in North America, with early 2025 showing solid double-digit year-over-year concert growth that turned neutral to negative recently [41] - The competitive landscape remains intense, with the company expecting to return to top-line growth in the second half of 2025 after navigating challenging comparisons in the first half [21][28] Company Strategy and Development Direction - The company is focused on long-term growth opportunities in the live events sector, emphasizing investments in technology and marketing to enhance its platform [22][31] - Strategic partnerships, such as with United Airlines, are aimed at leveraging existing infrastructure to tap into new audiences and enhance customer engagement [20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term tailwinds driving North American live events, despite a muted market backdrop in 2024 compared to the extraordinary growth of 2022 and 2023 [6][8] - The company anticipates a return to growth in the second half of 2025, supported by easier comparisons and new partnerships [28][86] Other Important Information - The company has launched its European expansion and is optimistic about scaling operations in international markets [15][55] - The implementation of the STC's new junk fee rule is viewed positively, as it promotes consumer transparency [59] Q&A Session Summary Question: Can you provide context on international expansion and its impact on EBITDA? - Management confirmed the launch in the UK and expressed optimism about expanding into other European countries, with a focus on achieving scale before prioritizing profits [36][37] Question: What is the outlook for concert supply in North America? - Management noted a mixed outlook, with early 2025 showing strong growth that has recently turned neutral to negative [41] Question: How will the company maintain market share amidst competitive pressures? - The company plans to focus on enhancing user engagement through its loyalty program and other initiatives, rather than competing solely on price [48] Question: What are the key investment priorities for scaling new international markets? - The focus is on ramping up supply in existing markets and leveraging relationships with local sellers to fuel growth [55] Question: How does the company view the impact of macroeconomic factors on live events? - Management indicated that live events have historically been resilient, but acknowledged potential softness in certain segments, particularly in the Vegas market [78] Question: Can you elaborate on the financial opportunity from Skybox Drive? - The potential revenue opportunity from Skybox Drive is estimated at around $10 million annually, though capturing the entire market is unlikely [68] Question: What is the company's stance on share buybacks and M&A? - Management reiterated that share buybacks are a core part of their capital allocation strategy, but they remain cautious about pursuing M&A in the near term [103]