Despite the Covid-19 crisis, the German live entertainment group capped its losses at €300,000 in the first half of the year due to cost-cutting and insurance payouts
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The Berlin-based live entertainment group saw revenue and operating profit massively improve in Q3 – even compared to pre-crisis year 2019
By IQ on 25 Nov 2022
Deutsche Entertainment (DEAG) continued to reap the rewards of its bullish M&A strategy in the third quarter of 2022, according to the company’s latest financial results.
The Berlin-based live entertainment group saw revenue and operating profit massively improve in Q3, compared to both last year and the pre-crisis year 2019.
Revenue rose to €101.7 million during Q3 of 2022, up 72% compared to the same period in 2019 and a six-fold increase compared to revenue of €16.7m in the same period of the previous year.
EBITDA (earnings before interest, taxes, depreciation and amortisation) increased significantly to €10.2m in the third quarter, which equates to an increase of 110% compared to the figure for 2019, or an increase of 134% compared to EBITDA of €4.3m in the same period of 2021.
DEAG says the strong financial results are driven by a significant upturn in operating activities in all of the company’s national markets (Germany, the UK, Switzerland, Ireland and Denmark).
The companies bought by DEAG since 2019 also made a significant contribution to the results. Recent acquisitions include Ireland’s tickets.ie. platform, as well as German festivals Indian Spirit, Classic Open Air and Airbeat One.
“2022 will be a record year for DEAG”
DEAG’s event portfolio now has more than 30 annual festivals across the aforementioned markets that attract more than 580,000 visitors.
Notable events for DEAG in Q3 2022 include the sold-out open-air events Belladrum Tartan Heart Festival in the UK and Sion sous les étoiles in Switzerland.
In Germany, the electro music festivals Nature One, Ruhr-in-Love and Mayday were deemed “complete successes” and drew around 100,000 visitors.
“We are extremely satisfied with our performance in the third quarter,” says Professor Peter L.H. Schwenkow, CEO of DEAG.
“Despite a challenging economic environment overall, the excellent development in the first six months of 2022 continued with high momentum in the third quarter.
“We successfully staged countless concerts and events and recorded a record summer in ticketing with three million tickets sold between June and August alone. We are experiencing unabated high demand for tickets to events and concerts. 2022 will be a record year for DEAG. The first quarter of 2023 is already characterised by high visibility. We expect our dynamic growth to continue beyond 2022.”
DEAG says it expects revenue to grow to €300 million, with a further improvement in EBITDA for the full year 2022.
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