Atlanta Braves Holdings, Inc. Q1 FY2024 earnings call

• Liberty SiriusXM: LSXM SIRI transaction on track for Q3 close. SiriusXM continuing cost optimization, expecting net adds improvement in H2 2024 and fiscal '24 vs '23. New app showing promising metrics, SIRI exclusive content attracting new customers, 360L rollout progressing.
• Formula One Group: Acquired MotoGP, 2024 season off to great start with close racing, return to China successful, Miami GP had sellout crowd and large TV audience. F1 Academy growing, new docuseries with Netflix and Hello Sunshine.
• Live Nation: Global fan demand surge, revenue and sponsorship growth, international markets and Venue Nation strategy successful, opening major global venues.
• Atlanta Braves: Strong season start, renovations at Truist Park generating incremental revenue, new sponsors announced, leveraging demand for renewals on existing partnerships.

Liberty SiriusXM Group: Revenue up 1%, EBITDA up 4% in Q1. Attributed cash and liquid investments were $64 million, excluding $71 million at SiriusXM. Formula One Group: Acquired MotoGP, with strong race performances across the first 4 races, high attendance at events like Portuguese GP and Spanish GP. Live Nation: Global fan demand surged, first quarter revenue up 21%, AOI up 15%, sponsorship up 24%. Atlanta Braves Holdings: Off to a great start to the season, multiple sellouts, renovations at Truist Park generating incremental revenue, new sponsors announced.

• SiriusXM: Expect net adds improvement in second half of 2024 and fiscal '24 versus '23.
• Formula One Group: Expect to close MotoGP acquisition by year-end.
• Live Nation: Indicators point to another record year.

Regulatory risks for the LSXM SIRI transaction; Uncertainties in media rights renewals across different regions

Q: Can you talk about the trajectory of team payments as a percentage of pre-team EBITDA?

A: Over the past few years, as F1 has grown pre-team share EBITDA and EBIT, the payout to teams has decreased as a percentage through various bands of pre-team share EBITDA, and we expect to continue to have leverage in team payments as a percent of pre-team share EBIT this year but not at the incremental rate seen from '22 to '23.

Q: Jeff Wlodarczak asked about Live Nation and Sirius. Greg Maffei responded on Live Nation's DOJ investigation and SiriusXM's app and subscriber growth.

A: On Live Nation, DOJ investigation is focused on specific business practices, not the merger. On SiriusXM, early days for the new app, hoping for positive impact and learnings over time, and believe the app will help get back to growth path.

Q: David Karnovsky asked about F1 TV and Quint. Stefano Domenicali and Greg Maffei responded on F1 TV's positive user experience and Quint's strategic value and drivers.

A: F1 TV has seen encouraging numbers, no negative comment on price increase. Quint's drivers include helping Formula One sell better, working with promoters, and adding new sports/events.

Q: Ben Swinburne asked about MotoGP acquisition and Concorde Agreement. Gregory Maffei and Stefano Domenicali responded on MotoGP acquisition plans and Concorde Agreement discussions.

A: On MotoGP, plans being formulated but can't act concretely until regulatory approval. On Concorde Agreement, discussing with teams for a stronger future.

Q: Stephen Laszczyk asked about F1 media rights renewals. Gregory Maffei responded on positive renewals and strong demand for F1 media rights.

A: Happy with renewals and interest seen, continue to see strong demand and interesting ways F1 TV can work with media partners.

Q: Barton Crockett asked about Braves' TV rights. Derek Schiller responded on monitoring Diamond Holdings and optimism about Braves' TV rights future.

A: Monitoring bankruptcy proceedings, Diamond Bally fulfilling terms, and optimistic about Braves' TV rights in their large territory.

Q: Bryan Kraft asked about Sirius closing and Vegas ticket sales. Renee Wilm responded on Sirius closing progress and Vegas ticket sales details.

A: SIRI closing on track, ready to file within weeks, Vegas ticket sales showing last-minute market trend with new product offerings.

Q: David Joyce asked about expenses and Quint accounting. Brian Wendling responded on team payments and Quint's revenue accounting.

A: Team payments are largest straight-line expense, Quint revenue related to Formula One flows through team payment calculation.

Q: Matthew Harrigan asked about Braves' rule changes. Derek Schiller responded on successful rule changes in baseball enhancing the game.