StubHub Announces Record Revenues with $279 Mil. in Q4

Courtesy of Billboard:

The report credited baseball, theater and Apple TV as key drivers.

StubHub, the online ticket reseller, today announced record Q4 earnings with revenue of $279 million—up 20% from $232 million for the same period last year. The report credited baseball and theater as key revenue drivers as well as the service’s launch on Apple TV.

The improved revenue numbers, which were a part of parent company eBay’s Q4 financial report, put StubHub’s quarterly gross merchandise volume at $1.24 billion, up from $1.18 billion last year.

Meanwhile eBay Inc, which includes Marketplace, StubHub and Classifieds platforms, saw its earnings increased 5% year-over-year to $2.39 billion in Q4 2016 to $2.32 billion the previous year.

“Q4 was a record quarter highlighted by solid performance in our eBay business,” said said Devin Wenig, President and CEO of eBay Inc., in a statement. “During the holiday season, eBay was one of the top consumer shopping destinations in the world and the second most visited eCommerce site in the U.S. In 2017, we intend to accelerate the progress that we made last year as we continue to execute our business strategy.”

The secondary ticketing market, which for decades was part of a larger grey market and called scalping, has been a source of consternation for many in the music business. Since its legalization in the 1990s, the industry has seen profiteers and bots increasingly enter the fray leaving some less-affluent fans unable to see their favorite artists. At the same time, many consumers find the services indispensable.

Last month, former President Obama signed into law the Better Online Ticket Sales Act, or the BOTS Act of 2016 intended to “prohibit the circumvention of control measures used by Internet ticket sellers to ensure equitable consumer access to tickets for certain events.” The measure is meant to battle technologies that snap up large swaths of tickets before flipping them on secondary markets for vastly inflated prices to cut out both regular fans and cash-strapped die-hards in the process.