ENGLEWOOD, Colo.–(BUSINESS WIRE)–Liberty Media Corporation (“Liberty Media” or “Liberty”) (NASDAQ: LSXMA,
LSXMB, LSXMK, FWONA, FWONK, BATRA, BATRK) today reported first quarter
2019 results. Highlights include(1):
-
Attributed to Liberty SiriusXM Group
-
SiriusXM reported very solid first quarter 2019 results
-
First quarter revenue increased to $1.7 billion; pro forma
revenue (as if Pandora was included in both periods) increased
10% to $1.9 billion -
Net income declined 44% to $162 million on acquisition and
other related charges of $76 million; diluted EPS of $0.03
reported -
Adjusted EBITDA(2) climbed 27% to $567 million, pro
forma for the Pandora acquisition -
SiriusXM capital returns approached $900 million year-to-date
as of April 22nd -
SiriusXM completed acquisition of Pandora media; issued
combined 2019 guidance
-
First quarter revenue increased to $1.7 billion; pro forma
- Liberty Media’s ownership of SiriusXM stood at 68.6% as of April 22nd
-
From February 1st through April 30th,
Liberty repurchased 4.0 million LSXMK shares at an average price
per share of $40.33 and total cash consideration of $160 million
-
SiriusXM reported very solid first quarter 2019 results
-
Attributed to Formula One Group
-
F1 2019 season began in Australia in March, with the 1,000th
race celebrated in Shanghai -
Secured broadcast agreements with MBC (MENA region), Sky
Deutschland (Germany), DAZN (Japan) and ELEVEN SPORTS (Poland) -
Announced new partnerships with CYBER1, Liqui Moly, Puma and
Sotheby’s -
Began third season of New Balance Esports season with expanded
racing
-
F1 2019 season began in Australia in March, with the 1,000th
-
Attributed to Braves Group
-
2019 season off to successful start at 2nd place in NL
East, despite early season injuries -
Broke ground on second phase of Battery development; expected
completion in 2020
-
2019 season off to successful start at 2nd place in NL
“SiriusXM produced another strong quarter and the integration with
Pandora is well underway,” said Greg Maffei, Liberty Media President and
CEO. “Both Formula 1 and the Braves kicked off their 2019 seasons and
broke ground on exciting new developments – Formula 1 on the racetrack
in Hanoi and the Braves on the second phase of the Battery Atlanta.”
Unless otherwise noted, the following discussion compares financial
information for the three months ended March 31, 2019 to the same period
in 2018.
LIBERTY SIRIUSXM GROUP – The following table provides the
financial results attributed to Liberty SiriusXM Group for the first
quarter of 2019. In the first quarter, approximately $9 million of
corporate level selling, general and administrative expense (including
stock-based compensation expense) was allocated to the Liberty SiriusXM
Group.
| 1Q18 | 1Q19 | % Change | |||||||||||||||||
| amounts in millions | |||||||||||||||||||
| Liberty SiriusXM Group | |||||||||||||||||||
| Revenue | |||||||||||||||||||
| SiriusXM | $ | 1,375 | $ | 1,744 | 27 | % | |||||||||||||
| Total Liberty SiriusXM Group | $ | 1,375 | $ | 1,744 | 27 | % | |||||||||||||
| Operating Income (Loss) | |||||||||||||||||||
| SiriusXM | 407 | 316 | (22 | ) | % | ||||||||||||||
| Corporate and other | (11 | ) | (9 | ) | 18 | % | |||||||||||||
| Total Liberty SiriusXM Group | $ | 396 | $ | 307 | (22 | ) | % | ||||||||||||
| Adjusted OIBDA | |||||||||||||||||||
| SiriusXM | 530 | 590 | 11 | % | |||||||||||||||
| Corporate and other | (5 | ) | (2 | ) | 60 | % | |||||||||||||
| Total Liberty SiriusXM Group | $ | 525 | $ | 588 | 12 | % | |||||||||||||
SiriusXM’s financial results above include the results of Pandora
beginning February 1, 2019, the date Pandora was acquired by SiriusXM.
Pro forma results for SiriusXM including Pandora for the full three
months ended March 31, 2019, excluding acquisition accounting
adjustments, can be found in Liberty Media’s Form 10-Q for the quarter
ended March 31, 2019.
SiriusXM is a separate publicly traded company and additional
information about SiriusXM can be obtained through its website and
filings with the Securities and Exchange Commission. SiriusXM reported
its stand-alone first quarter results on April 24, 2019. For additional
detail on SiriusXM’s financial results for the first quarter, please see
SiriusXM’s earnings release posted to their Investor Relations website.
For presentation purposes on page one of this release, we include the
results of SiriusXM, as reported by SiriusXM, without regard to the
purchase accounting adjustments applied by us for purposes of our
financial statements. Liberty Media believes the presentation of
financial results as reported by SiriusXM is useful to investors as the
comparability of those results is best understood in the context of
SiriusXM’s historical financial presentation.
The businesses and assets attributed to Liberty SiriusXM Group consist
primarily of Liberty Media’s interest in SiriusXM, which includes its
subsidiary Pandora.
FORMULA ONE GROUP – The following table provides the financial
results attributed to the Formula One Group for the first quarter of
2019. In the first quarter, the Formula One Group incurred approximately
$9 million of corporate level selling, general and administrative
expense (including stock-based compensation expense).
“This quarter we announced multiple deals, securing full broadcast
coverage for the 2019 season and adding new sponsors. The Netflix series
‘Formula 1: Drive to Survive’ was well received by existing and new fans
and created excitement for the launch of the 2019 season in March,” said
Chase Carey, Formula 1 Chairman and CEO. “We look forward to our first
European race in Barcelona on May 12th.”
| 1Q18 | 1Q19 | ||||||||||||||||||
| amounts in millions | |||||||||||||||||||
| Formula One Group | |||||||||||||||||||
| Revenue | |||||||||||||||||||
| Formula 1 | $ | 114 | $ | 246 | |||||||||||||||
| Total Formula One Group | $ | 114 | $ | 246 | |||||||||||||||
| Operating Income (Loss) | |||||||||||||||||||
| Formula 1 | $ | (109 | ) | $ | (47 | ) | |||||||||||||
| Corporate and other | (9 | ) | (11 | ) | |||||||||||||||
| Total Formula One Group | $ | (118 | ) | $ | (58 | ) | |||||||||||||
| Adjusted OIBDA | |||||||||||||||||||
| Formula 1 | $ | 3 | $ | 65 | |||||||||||||||
| Corporate and other | (4 | ) | (6 | ) | |||||||||||||||
| Total Formula One Group | $ | (1 | ) | $ | 59 | ||||||||||||||
The following table provides the operating results of Formula 1 (“F1”).
F1 Operating Results
| 1Q18 | 1Q19 | % Change | ||||||||||||||||
| amounts in millions | ||||||||||||||||||
| Primary Formula 1 revenue | $ | 85 | $ | 198 | 133 | % | ||||||||||||
| Other Formula 1 revenue | 29 | 48 | 66 | % | ||||||||||||||
| Total Formula 1 revenue | $ | 114 | $ | 246 | 116 | % | ||||||||||||
|
Operating expenses (excluding stock-based compensation included below): |
||||||||||||||||||
| Team payments | (45 | ) | (96 | ) | (113 | ) | % | |||||||||||
| Other cost of Formula 1 revenue | (36 | ) | (52 | ) | (44 | ) | % | |||||||||||
| Cost of Formula 1 revenue | $ | (81 | ) | $ | (148 | ) | (83 | ) | % | |||||||||
| Selling, general and administrative expenses | (30 | ) | (33 | ) | (10 | ) | % | |||||||||||
| Adjusted OIBDA | $ | 3 | $ | 65 | 2,067 | % | ||||||||||||
| Stock-based compensation | (3 | ) | (4 | ) | (33 | ) | % | |||||||||||
| Depreciation and Amortization | (109 | ) | (108 | ) | 1 | % | ||||||||||||
| Operating loss | $ | (109 | ) | $ | (47 | ) | 57 | % | ||||||||||
| Number of races in period | 1 | 2 | ||||||||||||||||
Primary F1 revenue is comprised of (i) race promotion fees, (ii)
broadcasting fees and (iii) advertising and sponsorship fees. Results in
the first quarter of 2019 were favorably impacted by the timing of the
2019 race calendar, with two races taking place in the first quarter of
2019 compared to one race in the first quarter of 2018.
Race promotion revenue increased primarily due to the additional race
held in the first quarter of 2019. Broadcast revenue increased due to
the higher proportionate recognition of season-based income during the
quarter (2/21 races took place in the first quarter of 2019 compared to
1/21 in the first quarter of 2018) and contractual rate increases.
Advertising and sponsorship revenue increased due to the additional race
in the first quarter of 2019 and revenue from new sponsorship agreements
entered into beginning in the second half of 2018. Other F1 revenue also
increased in the first quarter primarily due to the additional event
held, which resulted in increased revenue from the Paddock Club, support
events, television production and other technical services.
Operating loss decreased and adjusted OIBDA(2) increased in
the first quarter as revenue growth driven by the additional race and
underlying contract terms more than offset elevated costs. Cost of F1
revenue increased primarily due to higher team payments driven by the
pro rata recognition of such payments across the race season, as well as
increased costs associated with the additional race including technical,
travel and logistics, hospitality and Formula 2 costs. Selling, general
and administrative expense increased primarily as a result of higher
marketing costs associated with the promotion of the start of the season
and F1’s digital and fan engagement initiatives.
F1’s total net debt to covenant OIBDA ratio, as defined in F1’s credit
facilities for covenant calculations, was approximately 5.80x as of
March 31, 2019, as compared to a maximum allowable leverage ratio of
8.25x. The race calendar variances between 2018 and 2019 resulted in
income from 22 races falling in the trailing twelve months measured for
F1’s covenant calculations as of March 31, 2019.
The businesses and assets attributed to the Formula One Group consist of
Liberty Media’s subsidiary F1, its interest in Live Nation, minority
equity investments and an intergroup interest in the Braves Group. There
are approximately 9.1 million notional shares of the Braves Group
underlying the Formula One Group’s 15.1% intergroup interest as of April
30, 2019.
BRAVES GROUP – The following table provides the financial results
attributed to the Braves Group for the first quarter of 2019. In the
first quarter, approximately $2 million of corporate level selling,
general and administrative expense (including stock-based compensation
expense) was allocated to the Braves Group.
| 1Q18 | 1Q19 | ||||||||||||||||||
| amounts in millions | |||||||||||||||||||
| Braves Group | |||||||||||||||||||
| Revenue | |||||||||||||||||||
| Corporate and other | $ | 28 | $ | 22 | |||||||||||||||
| Operating Income (Loss) | |||||||||||||||||||
| Corporate and other | $ | (51 | ) | $ | (49 | ) | |||||||||||||
| Adjusted OIBDA | |||||||||||||||||||
| Corporate and other | $ | (35 | ) | $ | (33 | ) | |||||||||||||
The following table provides the operating results of Braves Holdings,
LLC (“Braves”).
| 1Q18 | 1Q19 | % Change | ||||||||||||||||
| amounts in millions | ||||||||||||||||||
| Baseball revenue | $ | 20 | $ | 14 | (30 | ) | % | |||||||||||
| Development revenue | 8 | 8 | — | % | ||||||||||||||
| Total revenue | 28 | 22 | (21 | ) | % | |||||||||||||
|
Operating expenses (excluding stock-based compensation included below): |
||||||||||||||||||
| Other operating expenses | (40 | ) | (28 | ) | 30 | % | ||||||||||||
| Selling, general and administrative expenses | (21 | ) | (25 | ) | (19 | ) | % | |||||||||||
| Adjusted OIBDA | $ | (33 | ) | $ | (31 | ) | 6 | % | ||||||||||
| Stock-based compensation | — | (3 | ) | — | % | |||||||||||||
| Depreciation and Amortization | (16 | ) | (13 | ) | 19 | % | ||||||||||||
| Operating loss | $ | (49 | ) | $ | (47 | ) | 4 | % | ||||||||||
| Number of home games in period | 3 | — | ||||||||||||||||
Baseball revenue is comprised of (i) ballpark operations, (ii) local and
national broadcast rights and (iii) licensing and other shared MLB
revenue streams. Development revenue is derived from the Battery Atlanta
mixed-use facilities and primarily includes rental income.
There were no home games in the first quarter of 2019, compared to three
home games in the first quarter of 2018. A modest amount of baseball
revenue in the first quarter of 2019 was derived from non-game day
revenue sources, and development revenue was flat in the first quarter
of 2019. Operating loss and adjusted OIBDA improved modestly in the
first quarter of 2019.
The Formula One Group holds an approximate 15.1% intergroup interest in
the Braves Group as of April 30, 2019. Assuming the issuance of the
shares underlying the intergroup interest held by the Formula One Group,
the Braves Group outstanding share count as of April 30, 2019 would have
been 60 million.
The businesses and assets attributed to the Braves Group consist
primarily of Liberty Media’s subsidiary the Braves, which indirectly
owns the Atlanta Braves Major League Baseball Club, six minor league
baseball clubs and certain assets and liabilities associated with the
Braves’ ballpark and mixed-use development project.
Share Repurchases
From February 1, 2019 through April 30, 2019, Liberty Media repurchased
approximately 4.0 million Series C Liberty SiriusXM shares (Nasdaq:
LSXMK) at an average cost per share of $40.33 for total cash
consideration of $160 million. The total remaining repurchase
authorization for Liberty Media is approximately $563 million and can be
applied to repurchases of Series A and Series C shares of any of the
Liberty Media Corporation tracking stocks.
FOOTNOTES
| 1) |
Liberty Media’s President and CEO, Greg Maffei, will discuss these highlights and other matters on Liberty Media’s earnings conference call which will begin at 11:00 a.m. (E.D.T.) on May 9, 2019. For information regarding how to access the call, please see “Important Notice” later in this document. |
||
| 2) |
For definitions of adjusted OIBDA (as defined by Liberty Media) and adjusted EBITDA (as defined by SiriusXM) and applicable reconciliations see the accompanying schedules. |
||
NOTES
The following financial information with respect to Liberty Media’s
equity affiliates and available for sale securities is intended to
supplement Liberty Media’s condensed consolidated balance sheet and
statement of operations to be included in its Form 10-Q for the period
ended March 31, 2019.
Fair Value of Corporate Public Holdings
| (amounts in millions) | 12/31/2018 | 3/31/2019 | |||||||||||||||
| Liberty SiriusXM Group | |||||||||||||||||
| iHeart Debt | $ | 444 | $ | 456 | |||||||||||||
| Total Liberty SiriusXM Group(1) | $ | 444 | $ | 456 | |||||||||||||
| Formula One Group | |||||||||||||||||
| Live Nation Investment(2) | $ | 3,430 | 4,425 | ||||||||||||||
| Other Public Holdings(3) | 228 | 247 | |||||||||||||||
| Total Formula One Group | $ | 3,658 | $ | 4,672 | |||||||||||||
| Braves Group | N/A | N/A | |||||||||||||||
| Total Liberty Media | $ | 4,102 | $ | 5,128 | |||||||||||||
| (1) |
SiriusXM’s investment in Pandora excluded from public holdings presented above (prior to SiriusXM’s acquisition of Pandora on February 1, 2019). |
||
| (2) |
Represents the fair value of the equity investment attributed to Formula One Group. In accordance with GAAP, Liberty Media accounts for its investment in the equity of Live Nation using the equity method of accounting and includes it in its condensed consolidated balance sheet at $743 million and $720 million as of December 31, 2018 and March 31, 2019, respectively. |
||
| (3) |
Represents the carrying value of other public holdings which are accounted for at fair value. Excludes Braves Group intergroup interest. |
||
Cash and Debt
The following presentation is provided to separately identify cash and
liquid investments and debt information.
| (amounts in millions) | 12/31/2018 | 3/31/2019 | |||||||||||||||||
| Cash and Cash Equivalents Attributable to: | |||||||||||||||||||
| Liberty SiriusXM Group(1) | $ | 91 | $ | 98 | |||||||||||||||
| Formula One Group(2) | 160 | 372 | |||||||||||||||||
| Braves Group | 107 | 163 | |||||||||||||||||
| Total Liberty Consolidated Cash and Cash Equivalents (GAAP) | $ | 358 | $ | 633 | |||||||||||||||
| Debt: | |||||||||||||||||||
| SiriusXM senior notes(3) | $ | 6,500 | $ | 6,500 | |||||||||||||||
| Pandora convertible senior notes | — | 194 | |||||||||||||||||
| 2.125% exchangeable senior debentures due 2048(4) | 400 | 400 | |||||||||||||||||
| Margin loans | 600 | 800 | |||||||||||||||||
| Other subsidiary debt(5) | 444 | 582 | |||||||||||||||||
| Total Attributed Liberty SiriusXM Group Debt | $ | 7,944 | $ | 8,476 | |||||||||||||||
|
Unamortized discount, fair market value adjustment and deferred loan costs |
(86 | ) | (115 | ) | |||||||||||||||
| Total Attributed Liberty SiriusXM Group Debt (GAAP) | $ | 7,858 | $ | 8,361 | |||||||||||||||
| 1.375% cash convertible notes due 2023(4) | 1,000 | 1,000 | |||||||||||||||||
| 1% cash convertible notes due 2023(4) | 450 | 450 | |||||||||||||||||
| 2.25% exchangeable senior debentures due 2046(4) | 213 | 212 | |||||||||||||||||
| 2.25% exchangeable senior debentures due 2048(4) | 385 | 385 | |||||||||||||||||
| Formula 1 bank loan | 2,902 | 2,902 | |||||||||||||||||
| Other corporate level debt | 33 | 33 | |||||||||||||||||
| Total Attributed Formula One Group Debt | $ | 4,983 | $ | 4,982 | |||||||||||||||
| Fair market value adjustment | 56 | 222 | |||||||||||||||||
| Total Attributed Formula One Group Debt (GAAP) | $ | 5,039 | $ | 5,204 | |||||||||||||||
| Formula 1 leverage(6) | 7.3x | 5.8x | |||||||||||||||||
| Atlanta Braves debt | 494 | 480 | |||||||||||||||||
| Total Attributed Braves Group Debt | $ | 494 | $ | 480 | |||||||||||||||
| Deferred loan costs | (3 | ) | (6 | ) | |||||||||||||||
| Total Attributed Braves Group Debt (GAAP) | $ | 491 | $ | 474 | |||||||||||||||
| Total Liberty Media Corporation Debt (GAAP) | $ | 13,388 | $ | 14,039 | |||||||||||||||
| (1) |
Includes $54 million and $62 million of cash and liquid investments held at SiriusXM as of December 31, 2018 and March 31, 2019, respectively. |
||
| (2) |
Includes $30 million and $260 million of cash and liquid investments held at Formula 1 as of December 31, 2018 and March 31, 2019, respectively. |
||
| (3) |
Outstanding principal amount of Senior Notes with no reduction for the net unamortized discount. |
||
| (4) |
Face amount of the cash convertible notes and exchangeable debentures with no fair market value adjustment. |
||
| (5) |
Includes SiriusXM revolving credit facility and capital leases as of December 31, 2018 and SiriusXM revolving credit facility as of March 31, 2019. |
||
| (6) |
Net debt to covenant OIBDA ratio of F1 operating business as defined in F1’s credit facilities for covenant calculations. There were 22 races in the trailing twelve months measured for F1’s covenant calculations as of March 31, 2019. |
||
Total cash and liquid investments attributed to Liberty SiriusXM Group
was essentially flat in the first quarter as cash from operations at
SiriusXM and net borrowings were offset by return of capital at both
Liberty SiriusXM Group and SiriusXM. Included in the cash and liquid
investments balance attributed to Liberty SiriusXM Group at March 31,
2019 is $62 million held at SiriusXM. Although SiriusXM is a
consolidated subsidiary, it is a separate public company with a
significant non-controlling interest, therefore Liberty Media does not
have unfettered access to SiriusXM’s cash balances.
Total debt attributed to Liberty SiriusXM Group increased $532 million
during the quarter primarily as a result of the consolidation of
Pandora’s debt post acquisition, additional borrowing under SiriusXM’s
credit facility and additional borrowing under Liberty SiriusXM Group’s
margin loan to fund share repurchases.
Total cash and liquid investments attributed to the Formula One Group
increased $212 million during the quarter, primarily as a result of cash
from operations at F1 driven by the receipt of advance contract payments
for the 2019 season, while the majority of costs, including team
payments, are paid in arrears.
Total cash and liquid investments attributed to the Braves Group
increased $56 million during the quarter. Total debt attributed to the
Braves Group decreased $14 million during the quarter due to paying down
a portion of the team revolver. The second phase of the Battery Atlanta
mixed-use development is expected to cost approximately $200 million,
which the Braves and affiliated entities expect to fund through a mix of
approximately $55 million in equity and approximately $145 million in
net debt.
Important Notice: Liberty Media Corporation (Nasdaq: LSXMA,
LSXMB, LSXMK, FWONA, FWONK, BATRA, BATRK) President and CEO, Greg
Maffei, will discuss Liberty Media’s earnings release on a conference
call which will begin at 11:00 a.m. (E.D.T.) on May 9, 2019. The call
can be accessed by dialing (800) 458-4121 or (323) 794-2093, passcode
7133106 at least 10 minutes prior to the start time. The call will also
be broadcast live across the Internet and archived on our website. To
access the webcast go to http://www.libertymedia.com/events.
Links to this press release will also be available on the Liberty Media
website.
This press release includes certain forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of 1995,
including statements about business strategies, market potential, future
financial prospects, Formula 1’s race calendar and new races, the
Battery Atlanta, the continuation of our stock repurchase plan and other
matters that are not historical facts. These forward-looking
statements involve many risks and uncertainties that could cause actual
results to differ materially from those expressed or implied by such
statements, including, without limitation, possible changes in market
acceptance of new products or services, regulatory matters affecting our
businesses, the unfavorable outcome of pending or future litigation, the
failure to realize benefits of acquisitions, rapid technological and
industry change, failure of third parties to perform, changes in
consumer protection laws and their enforcement, continued access to
capital on terms acceptable to Liberty Media, and changes in law and
market conditions conducive to stock repurchases. These
forward-looking statements speak only as of the date of this press
release, and Liberty Media expressly disclaims any obligation or
undertaking to disseminate any updates or revisions to any
forward-looking statement contained herein to reflect any change in
Liberty Media’s expectations with regard thereto or any change in
events, conditions or circumstances on which any such statement is
based. Please refer to the publicly filed documents of Liberty Media,
including the most recent Forms 10-K and 10-Q, for additional
information about Liberty Media and about the risks and uncertainties
related to Liberty Media’s business which may affect the statements made
in this press release.
|
LIBERTY MEDIA CORPORATION BALANCE SHEET INFORMATION March 31, 2019 (unaudited) |
||||||||||||||||||||||||||
| Attributed | ||||||||||||||||||||||||||
| Liberty | Formula | |||||||||||||||||||||||||
| SiriusXM | Braves | One | Intergroup | Consolidated | ||||||||||||||||||||||
| Group | Group | Group | Eliminations | Liberty | ||||||||||||||||||||||
| amounts in millions | ||||||||||||||||||||||||||
| Assets | ||||||||||||||||||||||||||
| Current assets: | ||||||||||||||||||||||||||
| Cash and cash equivalents | $ | 98 | 163 | 372 | — | 633 | ||||||||||||||||||||
| Trade and other receivables, net | 592 | 26 | 110 | — | 728 | |||||||||||||||||||||
| Other current assets | 253 | 34 | 84 | — | 371 | |||||||||||||||||||||
| Total current assets | 943 | 223 | 566 |
— |
1,732 | |||||||||||||||||||||
| Intergroup interest in the Braves Group | — | — | 252 | (252 | ) | — | ||||||||||||||||||||
| Investments in debt and equity securities | 456 | 8 | 323 | — | 787 | |||||||||||||||||||||
| Investments in affiliates, accounted for using the equity method | 641 | 97 | 903 | — | 1,641 | |||||||||||||||||||||
| Property and equipment, at cost | 2,560 | 821 | 181 | — | 3,562 | |||||||||||||||||||||
| Accumulated depreciation | (1,174 | ) | (92 | ) | (91 | ) | — | (1,357 | ) | |||||||||||||||||
| 1,386 | 729 | 90 | — | 2,205 | ||||||||||||||||||||||
| Intangible assets not subject to amortization | ||||||||||||||||||||||||||
| Goodwill | 15,791 | 180 | 3,956 | — | 19,927 | |||||||||||||||||||||
| FCC licenses | 8,600 | — | — | — | 8,600 | |||||||||||||||||||||
| Other | 1,262 | 143 | — | — | 1,405 | |||||||||||||||||||||
| 25,653 | 323 | 3,956 | — | 29,932 | ||||||||||||||||||||||
| Intangible assets subject to amortization, net | 1,698 | 37 | 4,632 | — | 6,367 | |||||||||||||||||||||
| Other assets | 596 | 62 | 645 | (57 | ) | 1,246 | ||||||||||||||||||||
| Total assets | $ | 31,373 | 1,479 | 11,367 | (309 | ) | 43,910 | |||||||||||||||||||
| Liabilities and Equity | ||||||||||||||||||||||||||
| Current liabilities: | ||||||||||||||||||||||||||
| Intergroup payable (receivable) | $ | 3 | (35 | ) | 32 | — | — | |||||||||||||||||||
| Accounts payable and accrued liabilities | 1,144 | 39 | 164 | — | 1,347 | |||||||||||||||||||||
| Current portion of debt | — | 13 | — | — | 13 | |||||||||||||||||||||
| Deferred revenue | 1,994 | 95 | 410 | — | 2,499 | |||||||||||||||||||||
| Other current liabilities | 68 | 11 | 23 | — | 102 | |||||||||||||||||||||
| Total current liabilities | 3,209 | 123 | 629 | — | 3,961 | |||||||||||||||||||||
| Long-term debt | 8,361 | 461 | 5,204 | — | 14,026 | |||||||||||||||||||||
| Deferred income tax liabilities | 1,734 | 73 | — | (57 | ) | 1,750 | ||||||||||||||||||||
| Redeemable intergroup interest | — | 252 | — | (252 | ) | — | ||||||||||||||||||||
| Other liabilities | 639 | 200 | 139 | — | 978 | |||||||||||||||||||||
| Total liabilities | 13,943 | 1,109 | 5,972 | (309 | ) | 20,715 | ||||||||||||||||||||
| Equity / Attributed net assets | 10,937 | 378 | 5,392 | — | 16,707 | |||||||||||||||||||||
| Noncontrolling interests in equity of subsidiaries | 6,493 | (8 | ) | 3 | — | 6,488 | ||||||||||||||||||||
| Total liabilities and equity | $ | 31,373 | 1,479 | 11,367 | (309 | ) | 43,910 | |||||||||||||||||||
|
LIBERTY MEDIA CORPORATION STATEMENT OF OPERATIONS Three months ended March 31, 2019 (unaudited) |
|||||||||||||||||||||
| Attributed | |||||||||||||||||||||
| Liberty | Formula | ||||||||||||||||||||
| SiriusXM | Braves | One | Consolidated | ||||||||||||||||||
| Group | Group | Group | Liberty | ||||||||||||||||||
| amounts in millions | |||||||||||||||||||||
| Revenue: | |||||||||||||||||||||
|
SIRIUSXM Holdings revenue |
$ | 1,744 | — | — | 1,744 | ||||||||||||||||
| Formula 1 revenue | — | — | 246 | 246 | |||||||||||||||||
| Other revenue | — | 22 | — | 22 | |||||||||||||||||
| Total revenue | 1,744 | 22 | 246 | 2,012 | |||||||||||||||||
| Operating costs and expenses, including stock-based compensation: | |||||||||||||||||||||
| Cost of services (exclusive of depreciation shown separately below): | |||||||||||||||||||||
| Revenue share and royalties | 492 | — | — | 492 | |||||||||||||||||
| Programming and content(1) | 106 | — | — | 106 | |||||||||||||||||
| Customer service and billing(1) | 113 | — | — | 113 | |||||||||||||||||
| Other(1) | 37 | — | — | 37 | |||||||||||||||||
| Cost of Formula 1 revenue | — | — | 148 | 148 | |||||||||||||||||
| Subscriber acquisition costs | 108 | — | — | 108 | |||||||||||||||||
| Other operating expenses(1) | 54 | 28 | — | 82 | |||||||||||||||||
| Selling, general and administrative(1) | 326 | 30 | 46 | 402 | |||||||||||||||||
| Acquisition and other related costs | 76 | — | — | 76 | |||||||||||||||||
| Depreciation and amortization | 125 | 13 | 110 | 248 | |||||||||||||||||
| 1,437 | 71 | 304 | 1,812 | ||||||||||||||||||
| Operating income (loss) | 307 | (49 | ) | (58 | ) | 200 | |||||||||||||||
| Other income (expense): | |||||||||||||||||||||
| Interest expense | (102 | ) | (7 | ) | (50 | ) | (159 | ) | |||||||||||||
| Share of earnings (losses) of affiliates, net | (4 | ) | 2 | (18 | ) | (20 | ) | ||||||||||||||
| Realized and unrealized gains (losses) on financial instruments, net | 1 | (2 | ) | (97 | ) | (98 | ) | ||||||||||||||
| Unrealized gains (losses) on intergroup interest | — | (26 | ) | 26 | — | ||||||||||||||||
| Other, net | 3 | — | 5 | 8 | |||||||||||||||||
| (102 | ) | (33 | ) | (134 | ) | (269 | ) | ||||||||||||||
| Earnings (loss) from continuing operations before income taxes | 205 | (82 | ) | (192 | ) | (69 | ) | ||||||||||||||
| Income tax (expense) benefit | (113 | ) | 11 | 44 | (58 | ) | |||||||||||||||
| Net earnings (loss) | 92 | (71 | ) | (148 | ) | (127 | ) | ||||||||||||||
| Less net earnings (loss) attributable to the noncontrolling interests | 31 | — | — | 31 | |||||||||||||||||
| Net earnings (loss) attributable to Liberty stockholders | $ | 61 | (71 | ) | (148 | ) | (158 | ) | |||||||||||||
| (1) Includes stock-based compensation expense as follows: | |||||||||||||||||||||
| Programming and content | 7 | — | — | 7 | |||||||||||||||||
| Customer service and billing | 1 | — | — | 1 | |||||||||||||||||
| Other | 1 | — | — | 1 | |||||||||||||||||
| Other operating expenses | 9 | — | — | 9 | |||||||||||||||||
| Selling, general and administrative | 37 | 3 | 7 | 47 | |||||||||||||||||
| Stock compensation expense | $ | 55 | 3 | 7 | 65 | ||||||||||||||||
|
LIBERTY MEDIA CORPORATION STATEMENT OF OPERATIONS Three months ended March 31, 2018 (unaudited) |
|||||||||||||||||||||
| Attributed | |||||||||||||||||||||
| Liberty | Formula | ||||||||||||||||||||
| SiriusXM | Braves | One | Consolidated | ||||||||||||||||||
| Group | Group | Group | Liberty | ||||||||||||||||||
| amounts in millions | |||||||||||||||||||||
| Revenue: | |||||||||||||||||||||
|
SIRIUSXM Holdings revenue |
$ | 1,375 | — | — | 1,375 | ||||||||||||||||
| Formula 1 revenue | — | — | 114 | 114 | |||||||||||||||||
| Other revenue | — | 28 | — | 28 | |||||||||||||||||
| Total revenue | 1,375 | 28 | 114 | 1,517 | |||||||||||||||||
| Operating costs and expenses, including stock-based compensation: | |||||||||||||||||||||
| Cost of services (exclusive of depreciation shown separately below): | |||||||||||||||||||||
| Revenue share and royalties | 310 | — | — | 310 | |||||||||||||||||
| Programming and content(1) | 101 | — | — | 101 | |||||||||||||||||
| Customer service and billing(1) | 94 | — | — | 94 | |||||||||||||||||
| Other(1) | 29 | — | — | 29 | |||||||||||||||||
| Cost of Formula 1 revenue | — | — | 81 | 81 | |||||||||||||||||
| Subscriber acquisition costs | 123 | — | — | 123 | |||||||||||||||||
| Other operating expenses(1) | 31 | 40 | — | 71 | |||||||||||||||||
| Selling, general and administrative(1) | 202 | 23 | 40 | 265 | |||||||||||||||||
| Depreciation and amortization | 89 | 16 | 111 | 216 | |||||||||||||||||
| 979 | 79 | 232 | 1,290 | ||||||||||||||||||
| Operating income (loss) | 396 | (51 | ) | (118 | ) | 227 | |||||||||||||||
| Other income (expense): | |||||||||||||||||||||
| Interest expense | (97 | ) | (6 | ) | (47 | ) | (150 | ) | |||||||||||||
| Share of earnings (losses) of affiliates, net | 1 | 3 | (12 | ) | (8 | ) | |||||||||||||||
| Realized and unrealized gains (losses) on financial instruments, net | 58 | — | 95 | 153 | |||||||||||||||||
| Unrealized gains (losses) on intergroup interest | — | (5 | ) | 5 | — | ||||||||||||||||
| Other, net | 5 | 1 | — | 6 | |||||||||||||||||
| (33 | ) | (7 | ) | 41 | 1 | ||||||||||||||||
| Earnings (loss) from continuing operations before income taxes | 363 | (58 | ) | (77 | ) | 228 | |||||||||||||||
| Income tax (expense) benefit | (81 | ) | 6 | 60 | (15 | ) | |||||||||||||||
| Net earnings (loss) | 282 | (52 | ) | (17 | ) | 213 | |||||||||||||||
| Less net earnings (loss) attributable to the noncontrolling interests | 82 | — | — | 82 | |||||||||||||||||
| Net earnings (loss) attributable to Liberty stockholders | $ | 200 | (52 | ) | (17 | ) | 131 | ||||||||||||||
| (1) Includes stock-based compensation expense as follows: | |||||||||||||||||||||
| Programming and content | 8 | — | — | 8 | |||||||||||||||||
| Customer service and billing | 1 | — | — | 1 | |||||||||||||||||
| Other | 1 | — | — | 1 | |||||||||||||||||
| Other operating expenses | 4 | — | — | 4 | |||||||||||||||||
| Selling, general and administrative | 26 | — | 6 | 32 | |||||||||||||||||
| Stock compensation expense | $ | 40 | — | 6 | 46 | ||||||||||||||||
Contacts
Courtnee Chun
(720) 875-5420
