Financial Performance - Marketplace Gross Order Value (GOV) for Q3 2025 was $618.1 million, down 29% from $871.7 million in Q3 2024[7] - Revenues for Q3 2025 were $136.4 million, down 27% from $186.6 million in Q3 2024[7] - Net loss for Q3 2025 was $19.7 million, compared to net income of $9.2 million in Q3 2024[7] - Adjusted EBITDA for Q3 2025 was $4.9 million, down from $34.1 million in Q3 2024[7] - Total revenues for the three months ended September 30, 2025, were $136,373,000, a decrease of 27% compared to $186,605,000 for the same period in 2024[21] - Net loss for the nine months ended September 30, 2025, was $292,828,000, compared to a net income of $18,716,000 for the same period in 2024[23] - Adjusted EBITDA is presented as a key measure for evaluating operating performance, although it is not based on U.S. GAAP[26] - For the three months ended September 30, 2025, the net loss was $19.713 million compared to a net income of $9.196 million for the same period in 2024[29] - Adjusted EBITDA for the three months ended September 30, 2025, was $4.905 million, a decrease of 85.6% from $34.077 million in the same period of 2024[29] Cost Management - The company is targeting annualized cost savings of $60 million, more than doubling its previous target[4] - The corporate simplification agreement is expected to eliminate $6 million in cash payments due in Q1 2026 and result in up to $180 million in lifetime savings[11] - Total costs and expenses for the nine months ended September 30, 2025, were $802,854,000, compared to $536,451,000 for the same period in 2024, reflecting an increase of 49%[21] - Cash paid for interest increased to $20,984,000 for the nine months ended September 30, 2025, compared to $16,728,000 for the same period in 2024[25] - Severance compensation costs were $1.239 million for the nine months ended September 30, 2025, as part of a strategic cost reduction program[30] Asset and Liability Changes - Total current assets decreased to $233,912,000 as of September 30, 2025, from $345,171,000 as of December 31, 2024, representing a decline of 32%[19] - Total liabilities increased to $771,583,000 as of September 30, 2025, compared to $1,022,061,000 as of December 31, 2024[19] - Cash and cash equivalents decreased to $145,108,000 as of September 30, 2025, from $243,482,000 as of December 31, 2024, a decline of 40%[19] Impairment and Expenses - The company incurred impairment charges of $320,449,000 during the nine months ended September 30, 2025[21] - The company reported impairment charges of $320.449 million during the nine months ended September 30, 2025, reflecting declines in financial performance and stock price[30] - Depreciation and amortization expenses increased to $37.689 million for the nine months ended September 30, 2025, up from $31.654 million in 2024[29] - Equity-based compensation costs were $33.886 million for the nine months ended September 30, 2025, compared to $38.284 million in the same period of 2024[29] - The company recognized a loss on extinguishment of debt amounting to $801 thousand during the nine months ended September 30, 2025[30] Market Projections - Marketplace GOV is projected to be in the range of $2.2 billion to $2.6 billion for the year ending December 31, 2026[13] - Adjusted EBITDA is expected to be in the range of $30.0 million to $40.0 million for the year ending December 31, 2026[13] Leadership Changes - The leadership transition includes Lawrence Fey as the new CEO, succeeding Stan Chia, who will remain in an advisory role[3] Event Cancellations - The company experienced 39,414 event cancellations in Q3 2025, compared to 77,012 in Q3 2024[13] Foreign Currency and Transaction Costs - Foreign currency losses for the nine months ended September 30, 2025, were $2.363 million, compared to a gain of $266 thousand in 2024[29] - Transaction costs for the nine months ended September 30, 2025, amounted to $8.816 million, an increase from $6.649 million in 2024[29]

Core Insights - Vivid Seats Inc. has appointed Lawrence Fey as the new Chief Executive Officer, succeeding Stan Chia, who will remain in an advisory role until December 1, 2025 [4][5] - The company has provided its financial results for Q3 2025, reporting a significant decline in key metrics, including a 29% drop in Marketplace Gross Order Value (GOV) and a 27% decrease in revenues compared to Q3 2024 [7][8] - Vivid Seats aims to enhance operational efficiency and has doubled its annualized cost savings target to $60 million, which will support reinvestment in its value proposition [5][9] Leadership Transition - Lawrence Fey, previously the Chief Financial Officer, is expected to leverage his extensive experience with the company to navigate the evolving industry landscape [5] - Stan Chia's leadership over the past seven years is acknowledged, particularly for guiding the company through the COVID-19 pandemic and launching the Vivid Seats Rewards program [5][4] Financial Performance - For Q3 2025, Vivid Seats reported a Marketplace GOV of $618.1 million, down from $871.7 million in Q3 2024, and revenues of $136.4 million, down from $186.6 million [7][8] - The company experienced a net loss of $19.7 million in Q3 2025, a decline from a net income of $9.2 million in the same quarter of the previous year [7][8] - Adjusted EBITDA for Q3 2025 was $4.9 million, down from $34.1 million in Q3 2024, indicating a significant decrease in operational profitability [7][8] Strategic Outlook - Vivid Seats anticipates Marketplace GOV for 2026 to be in the range of $2.2 billion to $2.6 billion, with Adjusted EBITDA projected between $30 million and $40 million [11][9] - The company is focused on maximizing operational efficiency through a simplified corporate structure and strategic cost reductions [5][11] Corporate Simplification - A corporate simplification agreement was executed to streamline the organizational structure, eliminating the dual-class stock structure and terminating the Tax Receivable Agreement [12][13] - This simplification is expected to result in significant tax savings, reducing annual cash tax payments to approximately $3 million and providing up to $180 million in lifetime savings [13][12]

Core Viewpoint - Vivid Seats Inc. is set to report its financial results for Q3 2025 on November 6, 2025, before the U.S. stock market opens, with a management discussion scheduled for 8:30 a.m. ET [1] Company Overview - Vivid Seats, founded in 2001, is a leading online ticket marketplace that connects millions of buyers with thousands of ticket sellers across a wide range of events in North America [3] - The company emphasizes the belief that everyone should "Experience It Live," offering a vast selection of events and tickets along with an industry-leading rewards program [3] - Vivid Seats has been recognized by Newsweek as one of America's Best Companies for Customer Service in ticketing, highlighting its commitment to customer satisfaction [3] Access to Information - The live webcast of the financial results and its replay can be accessed through the company's investor relations website [2]

Core Insights - Vivid Seats has launched a new program called the Lowest Price Guarantee, reinforcing its commitment to providing value and trust for live event fans [3][6] - The program ensures that if a fan finds a lower price for the same ticket on a qualifying competitor's site, Vivid Seats will match it and provide 115% of the price difference in site credit [4][5] Company Overview - Vivid Seats Inc. is a leading online ticket marketplace that connects millions of buyers with thousands of ticket sellers across hundreds of thousands of events annually [3] - The company aims to be the most rewarding and value-driven app for live event fans, emphasizing transparency and customer satisfaction [6][8] Marketing Campaign - As the official ticketing partner of ESPN, Vivid Seats is launching a national integrated marketing campaign to promote the Lowest Price Guarantee program [6] - The campaign features user-generated content showcasing real fans and their experiences, and it will be prominently displayed on Disney streaming platforms and ESPN's sports front pages [6][7] Customer Engagement Features - The Lowest Price Guarantee is part of a broader suite of fan-first features, including Vivid Seats Rewards, which allows fans to earn on every purchase and unlock exclusive perks [7] - The company also offers Game Center, a free-to-play hub within the app where users can win credits and free tickets [7] Technology and Service Recognition - Vivid Seats utilizes proprietary software and technology to enhance the ticketing experience and has been recognized by Newsweek as one of America's Best Companies for Customer Service in ticketing [8]

Company Overview - Vivid Seats Inc. (SEAT) shares increased by 12.6% to close at $12.05, following a notable trading volume that exceeded typical levels, despite a 33.6% loss over the past four weeks [1] - The company is experiencing growth due to its international expansion, which is surpassing margin expectations [1] Financial Performance - Vivid Seats is projected to report a quarterly loss of $1.71 per share, reflecting a year-over-year decline of 313.8% [2] - Expected revenues for the upcoming quarter are $129.84 million, down 30.4% compared to the same quarter last year [2] Earnings Estimates and Stock Movement - The consensus EPS estimate for Vivid Seats has remained unchanged over the last 30 days, indicating that stock price movements may not sustain without trends in earnings estimate revisions [3] - The stock currently holds a Zacks Rank of 3 (Hold), suggesting a neutral outlook [3] Industry Comparison - Vivid Seats is part of the Zacks Internet - Software industry, where Palantir Technologies Inc. (PLTR) also operates, with PLTR's stock rising by 1.9% to $181.59 [3] - Palantir Technologies has seen a 3.3% increase in its consensus EPS estimate over the past month, now projected at $0.17, which is a 70% increase from the previous year [4]

Core Insights - Vivid Seats Inc. has entered into a Corporate Simplification Agreement aimed at streamlining its organizational structure, which includes eliminating its dual-class structure and terminating its Tax Receivable Agreement (TRA) [1][2][3] Financial Impact - The agreement will eliminate $6 million in cash payments due in Q1 2026 under the TRA and future distributions to redeemable noncontrolling interests [2] - Vivid Seats anticipates up to $180 million in lifetime savings from the TRA termination, retaining 100% of realized tax savings that would have otherwise been payable to former TRA parties [2] - The company expects to reduce its annual cash tax payments to approximately $3 million, primarily due to taxable income generated in foreign jurisdictions [2] Operational Efficiency - The simplification of the corporate structure is expected to yield approximately $1 million in annual savings from reduced compliance and financial reporting costs associated with a single-class stock structure [2][3] - The former TRA parties will exchange all outstanding shares of Class B common stock for Class A common stock on a one-for-one basis, resulting in approximately 10.7 million shares of Class A common stock outstanding [3] Governance - A special committee of Vivid Seats' Board of Directors, composed solely of independent directors, approved the Corporate Simplification Agreement [4]

Core Insights - Vivid Seats Inc. has announced a multi-year partnership with the Chicago Bears, becoming the Official Fan Experience Partner of the NFL franchise [1][4] - The collaboration aims to enhance the gameday experience for fans at Soldier Field, offering exclusive experiences beyond just ticket access [2][4] Company Overview - Vivid Seats is a leading online ticket marketplace founded in 2001, focused on connecting fans with live events, artists, and teams [7] - The company emphasizes exceptional value and a wide selection of events and tickets in North America, along with a rewards program for customers [8] Partnership Details - The partnership includes the introduction of the Vivid Seats Fan Experience Skydeck, located above the North End Zone at Soldier Field, providing a vibrant social space for fans [3][4] - Fans will have access to VIP pre-game field opportunities and the exclusive Skydeck, which features bar-top tables, private concessions, and panoramic views [2][3] Branding and Marketing - Vivid Seats will receive prominent branding at Soldier Field, including LED signage and exclusive activation in the Skydeck [4] - This partnership expands Vivid Seats' existing relationships with other NFL teams, including the Los Angeles Chargers and Indianapolis Colts [4]

Core Insights - Vivid Seats Inc. released its 2025 NFL Fan Loyalty Report, analyzing fan behavior across travel, crowd presence, and year-over-year price increases to identify the most dedicated fanbases ahead of the 2025-26 season [1] Group 1: Fan Loyalty Rankings - The Philadelphia Eagles ranked No. 1 in road game presence, increasing from 40% to 47% in 2024, coinciding with their Super Bowl LIX victory [2] - The San Francisco 49ers followed closely with a 45% presence, while the Buffalo Bills, Pittsburgh Steelers, and Las Vegas Raiders rounded out the top five [6] Group 2: Travel Distances - Las Vegas Raiders fans traveled the farthest, averaging 575 miles per game during the 2024 season, marking their second consecutive year at the top [3] - San Francisco 49ers fans averaged 529 miles, and Seattle Seahawks fans averaged 462 miles per game [7] Group 3: Ticket Price Increases - The Detroit Lions experienced a 29% increase in average ticket prices for home and away games year-over-year, while the Washington Commanders and Chicago Bears saw increases of 24% and 21%, respectively [4][8] - NFC teams overall are driving demand with an average sold price of $331, compared to $297 for AFC teams [4] Group 4: Fan Footprint - The Dallas Cowboys dominated the fan footprint, holding strong support in 290 counties across Texas, Oklahoma, Arkansas, and parts of New Mexico [11]

Financial Data and Key Metrics Changes - In Q2 2025, the company reported $685 million in Marketplace Gross Order Value (GOV), down 31% year-over-year [11] - Total Marketplace orders decreased approximately 30% year-over-year, while average order size declined by 2% [11] - Revenues for Q2 were $144 million, representing a 28% year-over-year decrease [11] - Adjusted EBITDA for Q2 was $14 million, significantly down from the previous year due to lower volume and negative operating leverage [12] - The company ended Q2 with $392 million in debt and $153 million in cash, resulting in net debt of $239 million [13] Business Line Data and Key Metrics Changes - The sports category experienced a significant decline, down double digits in Q2, attributed to weak playoff matchups and challenging comparisons [5][6] - The concerts category saw low single-digit growth in Q2 but faced a double-digit decline in June [5] - The company announced a cost reduction program targeting $25 million in annualized savings, with over $5 million already realized [6][7] Market Data and Key Metrics Changes - The industry faced a challenging operating environment with double-digit declines across categories in June, influenced by economic uncertainty and the FTC's all-in pricing mandate [5][6] - Internationally, the company is now operational in four European countries, exceeding margin expectations and achieving net contribution positive thus far in 2025 [9] Company Strategy and Development Direction - The company is executing a strategic cost reduction program to improve operating leverage and position itself for long-term growth opportunities [4][6] - The focus is on enhancing efficiency without compromising customer experience, with plans to shut down Vivid Picks as part of this strategy [7][8] - The company remains committed to innovation and expanding its international presence despite current challenges [9][10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term growth potential of live events, despite current competitive pressures and economic uncertainties [5][10] - The company anticipates positive cash flow in Q3 due to seasonal improvements and believes that the softness experienced in June was atypical [13][90] - Management highlighted the importance of returning to growth and generating sustainable positive cash flow as key objectives moving into 2026 [90][91] Other Important Information - The company plans to implement a one-for-20 reverse stock split to enhance the marketability of its common stock [13][14] - The competitive landscape remains intense, with increased aggressiveness in performance marketing channels impacting profitability [76][80] Q&A Session Summary Question: Thoughts on take rate and market positioning - Management emphasized a focus on unit economics and plans to emerge leaner to drive sustainable growth into 2026 [20][21] - The take rate increase was attributed to mix shifts rather than pricing changes, with a focus on maintaining competitiveness [22][24] Question: Impact of consumer spending and competitive pressures - Management indicated that competitive intensity was the primary issue, with consumer softness contributing a couple of hundred basis points of headwind [29] Question: International expansion and growth plans - Management expressed satisfaction with international performance and indicated a willingness to accelerate investments in that area [32] Question: All-in pricing impact on the market - Management noted that the all-in pricing rollout has led to a decline in conversion rates, but recovery is expected based on past experiences in other states [41][42] Question: Cost savings and operational efficiency - Management confirmed that the $25 million in savings is an annualized figure expected to be fully realized by year-end [38] Question: Shuttering Vivid Picks - The decision to shut down Vivid Picks was based on its failure to drive expected engagement and increasing regulatory challenges [85][86] Question: Cash flow expectations for 2025 and 2026 - Management expects to be cash flow positive in Q3, with a focus on returning to growth to support sustainable cash generation [90][91]

Financial Performance - Q2 2025 - Marketplace Gross Order Value (GOV) reached $685 million[6] - Revenues totaled $144 million[6] - Adjusted EBITDA was $14 million[6] - Net loss was $263327 thousand[7, 15] Trends and Changes - Marketplace revenues decreased by 33% year-over-year, from $170046 thousand in Q2 2024 to $114478 thousand in Q2 2025[26] - Concert revenues decreased by 37%, from $80803 thousand to $50586 thousand[26] - Sports revenues decreased by 30%, from $51457 thousand to $35818 thousand[26] - Theater revenues decreased by 23%, from $30932 thousand to $23744 thousand[26] Strategic Initiatives - Implemented a cost reduction program targeting $25 million in annualized savings by the end of 2025[8, 17] Capital Structure - 2066 million shares outstanding as of June 30, 2025[19]