01—Abstract
Summary
Summary of the 10-K/A filed June 29, 2016. Cited figures are marked; the original filing is the authoritative source.
This Amendment No. 1 to Live Nation Entertainment, Inc.'s Annual Report on Form 10-K for the year ended December 31, 2015 amends only Item 15(c).
It adds separate financial statements of Venta de Boletos por Computadora, S.A. de C.V. (VBC), a Mexican ticketing company that the filing describes as a subsidiary of OCESA Entretenimiento, S.A. de C.V. It supplements Live Nation Entertainment, Inc.'s original Form 10-K and does not change any other information in that filing.
The amendment consists of a cover page, explanatory note, Exhibits 99.1 and 99.2, a signature page, the PricewaterhouseCoopers S.C. consent, and certifications. Exhibit 99.1 contains VBC's audited consolidated financial statements for 2015 and 2014, prepared under Mexican Financial Reporting Standards (MFRS) and audited under PCAOB standards. Auditor PricewaterhouseCoopers, S.C. issued its report dated June 21, 2016.
VBC reported 2015 revenue for services of Ps 843,080,800, up from Ps 592,427,661 in 2014, and operating income of Ps 403,554,922, compared with Ps 262,100,669. Net consolidated profit was Ps 300,839,687 in 2015 and Ps 197,424,944 in 2014. Cash and cash equivalents rose to Ps 914,420,510 at December 31, 2015, from Ps 279,971,575 a year earlier.
Dividends paid in 2015 totaled Ps 197,500,000. Exhibit 99.2 contains VBC's consolidated financial statements for 2014 and 2013, which show 2013 revenue of Ps 674,977,500 and net income of Ps 267,370,561.
The filing states that the financial statements are presented in Mexican pesos and includes a reconciliation of key items to U.S. GAAP in Note 19 of Exhibit 99.1 and Note 20 of Exhibit 99.2. The filing says the U.S. GAAP differences were not significant to net income or stockholders' equity.
02—Key points
Key Highlights
- The filing is an amendment that supplements only Item 15(c) of the 2015 Form 10-K, adding separate financial statements of VBC, a company the filing describes as not consolidated and 50% or less owned.
- Exhibit 99.1 reports VBC's 2015 revenue for services of Ps 843,080,800 (about Ps 843.1 million), compared with Ps 592,427,661 in 2014.
- VBC's 2015 operating income was Ps 403,554,922 and net consolidated profit was Ps 300,839,687, compared with Ps 262,100,669 and Ps 197,424,944 in 2014.
- Total assets were Ps 1,102,900,763 at December 31, 2015, up from Ps 681,404,967 at December 31, 2014, with cash and cash equivalents of Ps 914,420,510 versus Ps 279,971,575.
- VBC paid dividends of Ps 197,500,000 in 2015, and its accounts payable were Ps 651,504,500 at year-end 2015.
- Exhibit 99.2 presents VBC's 2014 and 2013 financial statements, with 2013 revenue of Ps 674,977,500 and net income of Ps 267,370,561.
- PricewaterhouseCoopers S.C. issued its audit report on VBC's 2015 statements dated June 21, 2016, and provided a consent filed as Exhibit 23.2.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-K/AFY2015filed June 29, 2016Financial Statements
FY2015 against FY2014
| Line item | FY2015FY2014 | Change |
|---|---|---|
| Revenue | $7.25B$6.87B | +5.5% |
| SG&A Expenses | $1.41B$1.34B | +5.6% |
| Operating Income | $131.37M$7.16M | +1733.8% |
| Interest Expense | $102.88M$106.31M | −3.2% |
| Net Income | -$32.51M-$90.81M | +64.2% |
| EPS (Basic) | $-0.33$-0.49 | +32.7% |
| Shares Outstanding (Basic) | 200.97M198.87M | +1.1% |
05—Questions
Frequently Asked Questions
What does this amendment change in Live Nation's 2015 Form 10-K?
According to the filing, Item 15(c) is the only portion of the original Form 10-K being supplemented or amended. The amendment states that it does not change any other information in the original filing for the year ended December 31, 2015.
What company's financial statements are included?
The filing includes financial statements of Venta de Boletos por Computadora, S.A. de C.V. (VBC) and its subsidiaries. The filing describes VBC as a subsidiary of OCESA Entretenimiento, S.A. de C.V., which is in turn a subsidiary of Corporación Interamericana de Entretenimiento, S.A.B. de C.V.
How did VBC perform in 2015 according to these statements?
VBC reported 2015 revenue for services of Ps 843,080,800, compared with Ps 592,427,661 in 2014. Operating income was Ps 403,554,922 in 2015 and Ps 262,100,669 in 2014, and net consolidated profit was Ps 300,839,687 in 2015 and Ps 197,424,944 in 2014.
What accounting basis do the statements use?
The statements are prepared under Mexican Financial Reporting Standards (MFRS) and presented in Mexican pesos. Note 19 of Exhibit 99.1 summarizes the significant differences from U.S. GAAP and states that the impact of those differences was not significant to net income or stockholders' equity.
06—Continue