Adele's sell-out concerts help profits soar at 3Arena firm
Sell-out shows by mega-stars Adele and Justin Bieber at the 3Arena in Dublin last year contributed to pre-tax profits at the arena business jumping by 14pc to £5.9m (€6.7m).
New accounts lodged by the Live Nation-owned Apollo Leisure Group Ltd (ALGL) show that revenues increased by 4pc, going from £15.6m to £16.26m.
The UK-based group enjoyed the jump in revenues and profits in spite of the number of patrons attending the 3Arena declining by 17pc from 666,318 to 554,422 in 2016.
During the year, Adele's box office over two nights clocked up €2.4m, while Justin Bieber enjoyed a box office of €2.1m that is shared between the venue, promoter and artist.
Other stars to shine brightly at the 3Arena last year included long-time rocker Rod Stewart, who took in €1.83m at the box office with two gigs.
Andrea Bocelli, earned €1.13m at the box office for one gig last September, and Macklemore and Ryan Lewis enjoyed a combined box office of €1.85m for three gigs at the venue in April.
The number of shows at the arena last year totalled 79, compared with 78 in 2015.
The consistently strong profits being recorded by the venue group resulted in its paying a dividend to its parent firm last year of £3.95m.
Last year, attendances at the 3Arena resulted in the venue being ranked by trade industry journal Pollstar as the 23rd best attended arena in the world.
According to ALGL's directors' report, the group "is profit making and has a considerable cash balance.
The group's forecasts project that it will continue to trade profitably and be in a strong liquidity position".
The sharp rise in pre-tax profits arose from the group reducing its costs of sales from £3.7m to £3.6m, while the firm's administrative expenses increased only marginally, going from £6.1m to £6.2m.
The group recorded an operating profit of £6.37m and net interest payments of £446,122 reduced the firm's profits to £5.93m. Accumulated profits at the group last year increased from £28.5m to £33m.
The group's profits take account of non-cash depreciation costs of £1.4m.
Numbers employed by the group last year increased from 44 to 46 with staff costs increasing from £2.09m to £2.49m.
The cash pile at the group increased from £6.85m to £9.17m.
Music giant Live Nation purchased the remaining 50pc stake in the 3Arena Amphitheatre Ireland Ltd firm from NAMA for £29.3m (€33.3m) in 2013.
The Pollstar figures for 2016 show that the average percentage attendance at each gig at 3Arena was 93pc - the same figure as 2015.