Mobile-focused ticketing platform SeatGeek has announced record figures for the fourth quarter of 2021, and has said that its business combination agreement with RedBall Acquisition Corp is set to be completed in May.
For the three months ending December 31, 2021, SeatGeek posted a net revenue of $82.5m (£63m/€76m) up from $56.8m in the three months up to September 31, 2021, and a significant increase on $4.8m from its Q4 2020.
SeatGeek announced a gross profit of $47.6m in the final quarter of 2021, compared to $35.4m in the third quarter and $3.6m in the final quarter in 2020. Net loss for the final quarter of 2021 amounted to $18.1m, down from $19.8m in the third quarter and a further decrease from $21.5m in the three months leading up to December 31, 2020.
Adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) amounted to $11.3m in the final quarter of last year compared to $12.1m in the third quarter. In the final quarter of 2020, adjusted EBITDA equalled $17.2m.
For the 12 months ending December 31, 2021, net revenue amounted to $186.3m compared to $33.2m in December 2020 and $142.2m for the year ending December 31, 2019.
Gross profit equalled $105.4m, which was a significant increase from a Covid-hit year of $5.3m at the end of 2020, and up from $83.9m in the pre-Covid year of 2019.
For the year, net loss came in at $80m, compared to $96.9m in 2020 but is still an increase on 2019’s $45m. Adjusted EBITDA amounted to $51.8m, down from $78.7m in 2020 and an increase on $35m for the 12 months ending December 31 in 2019.
SeatGeek’s fourth quarter net revenue is a new company record, while the proposed business combination between SeatGeek and RedBall to the company public is expected to close in the second quarter of 2022. The deal valued the combined company at $1.35bn with current owners to hold approximately 63.5% and RedBall shareholders to take roughly 28.5%.
Jack Groetzinger, chief executive and co-founder of SeatGeek, said: “Our strong results in the fourth quarter, which capped a record 2021, showed the resilience of our business model and fulfilled the strategic initiatives made over the past two years.
“We’re seeing significant momentum in both the primary and secondary markets, leading to strong market share growth driven by our innovative ticketing and consumer experience technology. We’ve navigated through the pandemic with focus and precision, and have an eye toward the future for SeatGeek and all of our customers – fans, teams, and venues alike.”
Groetzinger added: “Looking to the year ahead, we’ll be increasing our investments in our enterprise clients. When we exceed the expectations of our partners, it gives them the opportunity to exceed expectations for their fans and create value for all stakeholders.”
Brad Tacy, SeatGeek chief financial officer, said: “Our financial performance in Q4 reflected record revenue and gross profit growth compared to Q3, which we believe illustrates the effectiveness of our vertically integrated strategy and allows us to capture greater share in primary and secondary ticket markets and better economics for our enterprise customers. We believe that our investments in technology, sales, and marketing are positioning us for long-term sustainable and profitable growth.”