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Music Festivals plc confirms loss likely for 2012

By | Published on Tuesday 7 August 2012

Music Festivals plc

Vince Power’s publicly listed music festivals company, Music Festivals plc, has told its shareholders that the company expects to make a loss this year, in no small part because of disappointing ticket sales for this year’s Hop Farm Festival, which made a loss overall. In a statement to investors, Music Festivals plc said that its other flagship event, Benicassim, was profitable this year, but at a lower level than 2011.

The statement reads: “The Group’s two main festivals were held in July 2012 and as set out in the announcement dated 3 Jul 2012, tickets sales at that date led the Directors to believe that the Group’s financial results for the year ending 31 Dec 2012 would be significantly lower than market expectations”.

“The Group was particularly impacted by weaker than expected ticket sales at Hop Farm Music Festival which was loss-making. The Benicassim festival continued to be profitable but at a much lower level than 2011. As a result, the Group currently expects to report a material loss for the year ending 31 Dec 2012 and is exploring ways of raising additional working capital”.