EX-99.1 2 ex991-earningspressrelease.htm EX-99.1 Document

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Eventbrite Reports First Quarter 2024 Financial Results
First quarter revenue of $86.3 million grew 11% year-over-year
Marketplace revenue from non-ticketing sources exceeded 13% of first quarter revenue
Consumer reach extended to over 27 million with total ticket volume of 65.8 million in Q1

5/2/2024
SAN FRANCISCO -- (BUSINESS WIRE) -- Eventbrite (NYSE: EB), a global marketplace for shared experiences, reported its financial results for the first quarter ended March 31, 2024. The First Quarter 2024 Shareholder Letter can be found on Eventbrite’s Investor Relations website at https://investor.eventbrite.com.
“Eventbrite delivered solid financial results in the quarter and made great progress in executing our consumer marketplace strategy,” said Julia Hartz, Co-Founder and Chief Executive Officer. We are providing powerful marketing tools to our creators while building on our trusted brand in the live experiences community. We believe we are well positioned to reaccelerate top-line growth and meet our financial goals as the year progresses.”


First Quarter 2024 Highlights
•Net Revenue of $86.3 million, up 11% year over year. Marketplace-related revenue from organizer fees and Eventbrite Ads grew to over 13% of total net revenue.
•Total free and paid ticket volume of 65.8 million tickets across 1.4 million events.
•Gross Margin of 71.0% vs 66.1% a year ago.
•Net loss of $4.5 million compared to net loss of $12.7 million in the same period last year.
•Adjusted EBITDA of $10.4 million, which includes $0.1 million of restructuring charges, Net Loss Margin of (5.2%), and Adjusted EBITDA margin of 12.1%1.

1 For more information on these non-GAAP financial measures, please see "―About non-GAAP financial measures" and the tables under "―Reconciliation of GAAP to non-GAAP financial results" included at the end of this release.


The summary of GAAP and non-GAAP consolidated financial results are in the table below (in thousands, except percentages, unaudited):
Three Months Ended March 31,
20242023% Change
Gross ticket sales$853,749 $906,433 (6)%
Net revenue$86,252 $77,914 11 %
Gross profit$61,220 $51,519 19 %
Gross profit margin71 %66 %
Net income (loss)$(4,490)$(12,686)(65)%
Net income (loss) margin(5)%(16)%
Adjusted EBITDA (non-GAAP)$10,413 $2,142 386 %
Adjusted EBITDA margin (non-GAAP)12 %3 %

Operating Highlights
The key operating metrics of our business are summarized below (in thousands, except average ticket value, unaudited):
Three Months Ended March 31,
20242023% Change
Total tickets65,820 74,232 (11)%
Paid tickets21,216 23,178 (8)%
Total events1,393 1,523 (9)%
Paid events524 533 (2)%
Total creators345 381 (9)%
Paid creators170 172 (1)%
Average ticket value (ATV)$40.24 $39.14 3 %
Total ticket buyers27,650 31,593 (12)%




Business Outlook
The company expects second quarter 2024 revenue to be in the range of $84 to $87 million and $360 million to $371 million for fiscal year 2024. Adjusted EBITDA margin is expected to be in the low- to mid-teens for the full year 2024, excluding the impact of restructuring costs, reserve adjustments, and other items.



Earnings Webcast Information
Event: Eventbrite First Quarter 2024 Earnings Conference Call
Date: Thursday, May 2, 2024
Time: 2:00 p.m. Pacific Time (5:00 p.m. Eastern Time)
Live Webcast Site: https://investor.eventbrite.com
An archived webcast of the conference call will be accessible on Eventbrite’s Investor Relations page, https://investor.eventbrite.com.
About Eventbrite
Eventbrite is a global events marketplace that serves event creators and event-goers in nearly 180 countries. Since its inception, Eventbrite has been at the center of the experience economy, transforming how people organize and attend events. The company was founded by Julia Hartz, Kevin Hartz and Renaud Visage, with a vision to build a self-service platform that would make it possible for anyone to create and sell tickets to live experiences. With over 300 million tickets distributed for over 5 million events in 2023, Eventbrite is where people worldwide discover new things to do or new ways to do more of what they love. Eventbrite has also earned industry recognition as a top employer with special designations that include a coveted spot on Fast Company’s prestigious The World’s 50 Most Innovative Companies and Fast Company’s Brands That Matter lists, the Great Place to Work® Award in the U.S., and Inc.'s Best-Led Companies honor. Learn more at www.eventbrite.com.
Eventbrite Investor Relations
investors@eventbrite.com



Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, that involve substantial risks and uncertainties. All statements other than statements of historical fact could be deemed forward-looking, including, but not limited to, statements regarding the future performance of Eventbrite, Inc. and its consolidated subsidiaries (the “Company”); the Company’s business model and investments to support growth, including the impact on results; the Company’s expectations regarding the development of its platform and products; the Company’s long-term growth strategy, creator growth, pursuit of profitability, and value creation; the Company’s expectations with respect to its operating model; and the Company’s expectations described under “Business Outlook” above. In some cases, forward-looking statements can be identified by terms such as “may,” “will,” “appears,” “shall,” “should,” “expects,” “plans,” “anticipates,” “could,” “intends,” “target,” “projects,” “contemplates,” “believes,” “estimates,” “predicts,” “potential,” or “continue,” or the negative of these words or other similar terms or expressions that concern the Company’s expectations, strategy, plans, or intentions. Such statements are subject to a number of known and unknown risks, uncertainties, assumptions, and other factors that may cause the Company’s actual results, performance, or achievements to differ materially from results expressed or implied in this press release, including those more fully described in the Company’s filings with the Securities and Exchange Commission, including the Company’s Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. Further information on potential risks that could affect actual results will be included in the subsequent periodic and current reports and other filings that the Company makes with the Securities and Exchange Commission from time to time. Investors are cautioned not to place undue reliance on these statements. Actual results could differ materially from those expressed or implied. All forward-looking statements are based on information and estimates available to the Company at the time of this release, and are not guarantees of future performance, and reported results should not be considered as an indication of future performance. Except as required by law, the Company assumes no obligation to update any of the statements in this press release.
Disclaimer Regarding Ticketing, Creator and Event Metrics
This press release includes certain measures related to our ticketing business, such as paid tickets, paid creators, and paid events. We believe that the use of these metrics is helpful to our investors as these metrics are used by management in assessing the health of our business and our operating performance. These metrics are based on what we believe to be reasonable estimates for the applicable period of measurement. There are inherent challenges in measuring these metrics, and we regularly review and may adjust our processes for calculating our internal metrics to improve their accuracy. You should not consider these metrics in isolation or as substitutes for analysis of our results of operations as reported under GAAP.




















Condensed Consolidated Balance Sheets
(in thousands; unaudited)
March 31, 2024December 31, 2023
Assets
Current assets
Cash and cash equivalents$579,940 $489,200 
Funds receivable35,290 48,773 
Short-term investments, at amortized cost113,703 153,746 
Accounts receivable, net3,314 2,814 
Creator signing fees, net651 634 
Creator advances, net5,626 2,804 
Prepaid expenses and other current assets11,276 13,880 
Total current assets749,800 711,851 
Creator signing fees, noncurrent1,282 1,303 
Property and equipment, net10,989 9,384 
Operating lease right-of-use assets1,100 177 
Goodwill174,388 174,388 
Acquired intangible assets, net11,223 13,314 
Other assets3,375 2,913 
Total assets$952,157 $913,330 
Liabilities and Stockholders’ Equity
Current liabilities
Accounts payable, creators$356,863 $303,436 
Accounts payable, trade651 1,821 
Chargebacks and refunds reserve8,718 8,088 
Accrued compensation and benefits8,746 17,522 
Accrued taxes7,136 8,796 
Operating lease liabilities1,937 1,523 
Other accrued liabilities19,505 16,425 
Total current liabilities403,556 357,611 
Accrued taxes, noncurrent4,362 4,526 
Operating lease liabilities, noncurrent1,922 1,768 
Long-term debt358,194 357,668 
Total liabilities768,034 721,573 
Stockholders’ equity
Common stock1 1 
Additional paid-in capital1,019,101 1,007,190 
Treasury stock at cost(15,055)— 
Accumulated deficit(819,924)(815,434)
Total stockholders’ equity184,123 191,757 
Total liabilities and stockholders’ equity$952,157 $913,330 



Condensed Consolidated Statement of Operations
(in thousands, except share and per share amounts; unaudited)

Three Months Ended March 31,
20242023
Net revenue$86,252 $77,914 
Cost of net revenue25,032 26,395 
Gross profit61,220 51,519 
Operating expenses:
Product development 26,684 26,564 
Sales, marketing and support20,869 17,060 
General and administrative21,237 21,718 
Total operating expenses68,790 65,342 
Loss from operations(7,570)(13,823)
Interest income7,407 5,453 
Interest expense(2,800)(2,752)
Other income (expense), net(1,253)(953)
Loss before income taxes(4,216)(12,075)
Income tax provision274 611 
Net loss$(4,490)$(12,686)
Net loss per share, basic and diluted$(0.05)$(0.13)
Weighted-average number of shares outstanding used to compute net loss per share, basic and diluted99,109 99,503 



Condensed Consolidated Statements of Cash Flows
(in thousands; unaudited)

Three Months Ended March 31,
20242023
Cash flows from operating activities
Net loss$(4,490)$(12,686)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization3,594 3,531 
Stock-based compensation expense13,962 12,094 
Amortization of debt discount and issuance costs526 498 
Unrealized (gain) loss on foreign currency exchange(1,222)(1,133)
Accretion on short-term investments(1,877)(1,552)
Non-cash operating lease expenses133 1,875 
Amortization of creator signing fees194 210 
Changes related to creator advances, creator signing fees, and allowance for credit losses423 (727)
Provision for chargebacks and refunds5,046 4,717 
Other155 314 
Changes in operating assets and liabilities
Accounts receivable(899)(543)
Funds receivable13,668 17,835 
Creator signing fees and creator advances(3,036)665 
Prepaid expenses and other assets2,142 (237)
Accounts payable, creators52,002 57,699 
Accounts payable(1,151)(125)
Chargebacks and refunds reserve(4,416)(4,621)
Accrued compensation and benefits(8,776)142 
Accrued taxes(2,020)(4,580)
Operating lease liabilities(488)(1,058)
Other accrued liabilities7 2,848 
Net cash provided by operating activities63,477 75,166 
Cash flows from investing activities
Purchases of short-term investments(84,113)(94,679)
Maturities of short-term investments126,033 — 
Purchases of property and equipment(316)(286)
Capitalized internal-use software development costs(2,257)(1,484)
Net cash provided by (used in) investing activities39,347 (96,449)
Cash flows from financing activities
Repurchase of common stock(12,010)— 
Proceeds from exercise of stock options— 463 
Taxes paid related to net share settlement of equity awards(2,612)(1,822)
Principal payments on finance lease obligations— (1)
Net cash used in financing activities(14,622)(1,360)
Effect of exchange rate changes on cash, cash equivalents and restricted cash2,538 1,797 
Net increase in cash, cash equivalents and restricted cash90,740 (20,846)
Cash, cash equivalents and restricted cash
Beginning of period489,200 540,174 
End of period$579,940 $519,328 


Reconciliation of Net Income (Loss) to Adjusted EBITDA and the Calculation of Adjusted EBITDA Margin
(in thousands; unaudited)

Three Months Ended March 31,
20242023
Net loss(1)
$(4,490)$(12,686)
Add:
Depreciation and amortization3,594 3,515 
Stock-based compensation13,962 12,094 
Interest income(7,407)(5,453)
Interest expense2,800 2,752 
Employer taxes related to employee equity transactions427 356 
Other (income) expense, net1,253 953 
Income tax provision (benefit)274 611 
Adjusted EBITDA$10,413 $2,142 
Net revenue$86,252 $77,914 
Adjusted EBITDA margin12 %3 %

(1) Net Loss and Adjusted EBITDA includes restructuring and other costs totaling $0.1 million in the first quarter of 2024 and $7.9 million in the first quarter of 2023.



About Non-GAAP Financial Measures
We believe that the use of Adjusted EBITDA and Adjusted EBITDA margin is helpful to our investors in understanding and evaluating our results of operations and useful measures for period-to-period comparisons of our business performance as they are metrics used by management in assessing the health of our business and our operating performance, making operating decisions, and performing strategic planning and annual budgeting. These measures are not prepared in accordance with GAAP and have limitations as an analytical tool, and you should not consider them in isolation or as a substitute for analysis of our results of operations as reported under GAAP. In addition, other companies may not calculate non-GAAP financial measures in the same manner as we calculate them, limiting their usefulness as comparative measures. You are encouraged to evaluate the adjustments and the reasons we consider them appropriate. Some amounts in this press release may not add due to rounding.
Adjusted EBITDA
We calculate Adjusted EBITDA as net income (loss) adjusted to exclude depreciation and amortization, stock-based compensation expense, interest expense, interest income, employer taxes related to employee transactions, other (income) expense net, which consists of foreign exchange rate gains and losses, and income tax provision (benefit). Adjusted EBITDA should not be considered as an alternative to net income (loss) or any other measure of financial performance calculated and presented in accordance with GAAP.
Some of the limitations of Adjusted EBITDA include (i) Adjusted EBITDA does not properly reflect capital spending that occurs off of the income statement or account for future contractual commitments, (ii) although depreciation and amortization are non-cash charges, the underlying assets may need to be replaced and Adjusted EBITDA does not reflect these capital expenditures and (iii) Adjusted EBITDA does not reflect the interest and principal required to service our indebtedness. In evaluating Adjusted EBITDA, you should be aware that in the future we expect to incur expenses similar to the adjustments in this release. Our presentation of Adjusted EBITDA should not be construed as an inference that our future results will be unaffected by these expenses or any unusual or non-routine items. When evaluating our performance, you should consider Adjusted EBITDA alongside other financial performance measures, including our net income (loss) and other GAAP results.
Adjusted EBITDA Margin
Adjusted EBITDA Margin is defined as Adjusted EBITDA divided by net revenue. Because of the limitations described above, you should consider Adjusted EBITDA and Adjusted EBITDA Margin alongside other financial performance measures, including net income (loss), net income (loss) margin and our other GAAP results.