SFX Entertainment Releases Third Quarter Results

News   SFX Entertainment Releases Third Quarter Results SFX Entertainment has released third quarter financial results (Oct. 27) for the period ended Sept. 30. Now in the midst of a prolonged acquisition program, SFX develops and manages touring Broadway shows, and sells Broadway subscription series and individual productions in 55 markets. An integrated franchise that promotes and produces a broad variety of live entertainment events locally, regionally and nationally, SFX has 120 venues overall, and owns or operates venues in 31 of the top 50 domestic markets.

SFX Entertainment has released third quarter financial results (Oct. 27) for the period ended Sept. 30. Now in the midst of a prolonged acquisition program, SFX develops and manages touring Broadway shows, and sells Broadway subscription series and individual productions in 55 markets. An integrated franchise that promotes and produces a broad variety of live entertainment events locally, regionally and nationally, SFX has 120 venues overall, and owns or operates venues in 31 of the top 50 domestic markets.

The company says it customarily compares quarterly results year to year and that there are two specific comparisons to be made.

The first is for revenues recorded between the third quarter 1999 and the third quarter of 1998. In that regard, SFX says its total revenue increased 35 percent to $527.2 million (3Q/1999) from $390.2 million (3Q/1998).

In the second comparison, income per share during the same two periods, SFX says that after customary corrections are made and after factoring in a June 1999 SFX stock split, income was .23 per common share in 1999, down from .38 per common share in 1998.

Third quarter EBITDA (an acronym describing income from operations plus depreciation and amortization, integration costs, non-recurring charges and non-cash charges) rose 73 percent to $96.4 million from $55.8 million last year. For the first nine months of 1999, total SFX revenue grew 77 percent to $1.21 billion from $684.3 million in the same period of 1998. Then, EBITDA increased 123 percent to $169.3 million compared to $76.0 million in the first nine months of 1998.

SFX is a partner in the recently announced program to establish Visa as a preferred card on Broadway.

In a prepared statement, SFX executive chairman Robert F.X. Sillerman said, ``The success of these programs and our integration efforts are demonstrated by the fact that comparing 'same store results' EBITDA grew by 24 percent, 28 percent, 63 percent and 69 percent in the music, theatrical, sports, and family entertainment segments. During the quarter, we also continued to invest in our Internet initiatives and brand awareness programs, both of which will positively impact results in the coming year."

-- By Murdoch McBride