alt Hacker NewsThis is why they have gotten away with it for so long. It looks legit, until you realize they also OWN all those venue companies they are paying too. Not to mention Ticketmaster. The web is so deep that looking at just one entity makes it look like they have low margins and are just operating in this space, it’s not true at all.
They own StubHub so they’ll buy the tickets from themselves and “resell” them on StubHub for 5x-10x because people will pay it for a top line performer. It’s been well documented over the years if you do any kind of digging.
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Shuffling money around between subsidiaries does not matter because it would still be reported on the same 10-K for the parent company (Livenation), and the revenues and expenses amongst itself cancel out.
For example, you don’t report revenue or expense from moving money from your right pocket to your left pocket.
That doesnt matter for the 10-k report. Its a fully consolidated financial statement. They have absolutely trash operating margins. If you look at their customers (artists and visitors) you see why