Profits slide at 3Arena in spite of Beyonce sell-outs
Sell-out gigs by pop superstars Beyonce and Ed Sheeran at the 3Arena were not enough to prevent pre-tax profits at the firm that operates the venue falling by 50pc last year.
New accounts from the UK-based and Live Nation-owned Apollo Leisure Group Ltd (ALGL) show that pre-tax profits reduced from £5m to £2.5m (€3.6m).
Revenues fell by 8pc to £15.35m in the 12 months to the end of December last.
An exceptional cost during the year of £1m concerning the write-off of monies due from a connected firm contributed to the sharp fall in profit.
Music giant Live Nation purchased the remaining 50pc stake in the 3Arena Amphitheatre Ireland firm from Nama for £29.3m in 2013.
Figures from trade industry journal 'Pollstar' record that 470,875 music fans flocked to the 14,500 3Arena last year.
However, the detailed 2014 figures don't take account of a number of shows including Elton John, Peter Gabriel and Madness in December or those attended who the Conor McGregor bout last July.
Beyonce generated €1m per night in box office receipts for her four-gig stint at the 3Arena last year while Ed Sheeran generated over €2m in box office receipts from his four sell-out gigs in October.
Last year's gigs attracted an average percentage capacity of 81pc compared to 82pc in 2013.
According to ALGL, the firm's operating profits last year fell by 37pc to £3.3m.
Net interest payments of £773,193 reduced the profits to £2.55m.
The company's accumulated profits totalled £25.2m.
A note attached to the accounts confirms that the company "has significant net assets, 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 profit takes account of non-cash depreciation costs of €1.98m.