01—Abstract
Summary
Summary of the 10-K/A filed June 30, 2014. Cited figures are marked; the original filing is the authoritative source.
This Form 10-K/A (Amendment No. 1) to Live Nation Entertainment, Inc.'s Annual Report for the year ended December 31, 2013 changes only Item 15(c).
It adds separate financial statements of Venta de Boletos por Computadora, S.A. de C.V. (VBC) as Exhibits 99.1 and 99.2, and states that it does not change any other information in the original filing. Exhibit 99.1 covers VBC's consolidated financial statements for 2013 and 2012, and Exhibit 99.2 covers 2012 and 2011.
The auditor's report on Exhibit 99.1 is from PricewaterhouseCoopers, S.C., dated June 27, 2014. The statements are prepared under Mexican Financial Reporting Standards and are presented in Mexican pesos. VBC's 2013 consolidated service revenue was Ps 674,977,500, up from Ps 647,657,909 in 2012.
Operating income was Ps 351,226,397 (2012: Ps 347,128,470), and net income was Ps 267,370,561 (2012: Ps 267,169,957). Total assets at December 31, 2013 were Ps 587,063,991, and total stockholders' equity was Ps 312,293,916. Cash and cash equivalents were Ps 269,272,118, compared with Ps 313,905,060 a year earlier.
VBC paid dividends of Ps 347,000,000 in 2013, compared with Ps 209,788,242 in 2012. The notes disclose VBC's contingencies, including Mexican consumer-protection, municipal tax, and trademark matters. They also describe a Ps 1,690,331 PROFECO fine under appeal, a favorable Federal Tax Court judgment on the "La Guía de Entretenimiento" trademark dated September 11, 2013, and a Ticketmaster brand and system license expiring March 31, 2015.
02—Key points
Key Highlights
- Amendment scope: The 10-K/A amends only Item 15(c) and adds VBC financial statements as Exhibits 99.1 (2013 and 2012) and 99.2 (2012 and 2011). Other information in the original Form 10-K is unchanged.
- Revenue: VBC reported 2013 service revenue of Ps 674,977,500, compared with Ps 647,657,909 in 2012.
- Profitability: 2013 operating income was Ps 351,226,397 and net income was Ps 267,370,561, versus Ps 347,128,470 and Ps 267,169,957 in 2012.
- Balance sheet: Total assets were Ps 587,063,991 and total stockholders' equity was Ps 312,293,916 at December 31, 2013. Cash and cash equivalents were Ps 269,272,118.
- Shareholder distributions: VBC paid dividends of Ps 347,000,000 in 2013, up from Ps 209,788,242 in 2012.
- Contingencies: Disclosed matters include a Ps 1,690,331 PROFECO sanction under annulment proceedings and a favorable 2013 Federal Tax Court judgment confirming VBC's "La Guía de Entretenimiento" trademark.
- Basis of presentation: The statements are prepared under Mexican Financial Reporting Standards in Mexican pesos, with a reconciliation to U.S. GAAP in Note 18 or 19. The auditor's report is dated June 27, 2014.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-K/AFY2013filed June 30, 2014Financial Statements
FY2013 against FY2012
| Line item | FY2013FY2012 | Change |
|---|---|---|
| Revenue | $6.48B$5.82B | +11.3% |
| SG&A Expenses | $1.23B$1.14B | +7.3% |
| Operating Income | $139.66M-$21.64M | +745.4% |
| Interest Expense | $111.66M$123.74M | −9.8% |
| Net Income | -$43.38M-$163.23M | +73.4% |
| EPS (Basic) | $-0.23$-0.88 | +73.9% |
| Shares Outstanding (Basic) | 193.89M186.96M | +3.7% |
05—Questions
Frequently Asked Questions
Why was this 10-K/A filed?
The amendment supplies the separate financial statements required under Item 15(c) for Venta de Boletos por Computadora, S.A. de C.V. (VBC). These are provided as Exhibits 99.1 and 99.2. The filing states that it changes no other information in the original Form 10-K for the year ended December 31, 2013.
What were VBC's key financial results for 2013?
VBC reported 2013 service revenue of Ps 674,977,500, operating income of Ps 351,226,397, and net income of Ps 267,370,561. Its 2012 comparatives were Ps 647,657,909, Ps 347,128,470, and Ps 267,169,957. All figures are in Mexican pesos.
What is VBC's balance sheet position at year-end 2013?
At December 31, 2013, VBC reported total assets of Ps 587,063,991, total liabilities of Ps 274,770,075, and total stockholders' equity of Ps 312,293,916. Cash and cash equivalents were Ps 269,272,118, down from Ps 313,905,060 at the end of 2012.
What legal and regulatory matters does VBC disclose?
The notes describe several matters. A PROFECO resolution imposed a Ps 1,690,331 fine and prohibited marketing of "La Guía," and VBC has filed an annulment action against it. A Federal Tax Court judgment dated September 11, 2013 confirmed VBC's ownership of the "La Guía de Entretenimiento" brand. A Zapopan municipal tax matter was dismissed in 2013. VBC's Ticketmaster brand and system license expires March 31, 2015, and the filing states there is no guarantee it will be renewed on the same terms.
06—Continue