Christopher BarrettKilimanjaro Live and Gigantic Tickets owner Deutsche Entertainment AG (DEAG) reported a 126% increase in sales during the third quarter of this year, up from €7.4 million to €16.7m, which it said was largely due to its UK-based activities.
The UK is the pan-European promoter’s most important market outside Germany. In June DEAG acquired a 90% stake in UK Live, owner of 1980s festival brand Let’s Rock and other events including the Penn Festival. Just last month, DEAG further strengthened its position in the UK with the acquisition of literary events production company Fane Productions.
DEAG said earnings before interest, taxes, depreciation and amortisation (EBITDA) rose by 617% from €600,000 in Q2 to €4.3m in Q3, with sold out full-capacity shows in the UK by acts including the Gorillaz playing a key role in the uplift.
The Berlin-based operation said the increase in earnings was also due to an “enormous” cost-cutting programme as well as income from subsidy programmes.
DEAG CEO Prof. Peter L.H. Schwenkow said, “DEAG and the entire live entertainment industry are finally gaining momentum again after well over a year without concerts and events. We look forward to offering our visitors hundreds of concerts and events in the months to come and expect to achieve a significant increase in earnings in the fourth quarter.
“In the meantime, the situation with the epidemic in Europe is leading to a daily reassessment of the current situation in all national markets. We are adequately protected against possible risks arising for us from the currently rising corona figures by extensive measures taken by the respective country governments and our insurance coverage. Our very robust financial position and a uniquely high event density for 2022 show our excellent positioning for growth in the coming year.”