For those who make their living in the music industry 2020 has been quite the challenging year especially for those whose livelihoods are predicated on live performance as Live Nation, Sony Music, and Warner Music Group have reported significant revenue losses in the second quarter of the year, due to the COVID-19 pandemic.
Of the three, Live Nation reported the worst earnings as their revenue model is mostly tied to live performances and concerts. The brand typically thrives in the second quarter, when the peak of festival season arrives, but this year, they reported a massive 98% loss compared to the same time last year. This led Live Nation to report an adjusted operating income loss of more than 400 million dollars.
Though Sony Music and Warner Music Group have each reported losses they their second quarter proved much healthier than Live Nation thanks in large part to live music streaming. Regardless, Sony Music reported losses of 13.1%, translating to a decline of $1.64 billion while Warner Music Group only reported 5.7% in revenue losses in the first quarter of the year compared to the same period last year, accounting for a drop of $1.01 billion.