Business Analysis of Liberty Media

 Analyze Historical Performance, Strategic Priorities, And Business Improvement Opportunities of Liberty Media

LIBERTY MEDIA

Business Overview

Formula 1, which began in 1950, is an iconic global motorsports business. Formula 1 is part of Liberty Media. Liberty Media Corporation owns interests in subsidiaries and other companies, which are engaged in the media and entertainment industries. The Company's principal businesses and assets include its consolidated subsidiaries Sirius XM Holdings Inc. (SIRIUS XM) and Braves Holdings, LLC (Braves Holdings), and its equity affiliate Live Nation Entertainment, Inc. (Live Nation). The Company's segments are SIRIUS XM, and Corporate and other. SIRIUS XM provides a subscription-based satellite radio service. Through its subsidiaries and affiliates, the Company principally operates in North America. The Company also owns a portfolio of minority equity investments in publicly traded media companies, including Time Warner, Inc. and Viacom, Inc. SIRIUS XM transmits music, sports, entertainment, comedy, talk, news, traffic and weather channels, as well as infotainment services, in the United States on a subscription fee basis through two satellite radio systems.

Liberty Media

Liberty Media


R&P Rank: 494
Sector: Media & Entertainment
Industry:Broadcasting, Cable, and Filmed Entertainment
H.Q Location:Colorado
Website: www.libertymedia.com
Company Address:
12300 LIBERTY BOULEVARD, ENGLEWOOD CO 80112
Ph:720-875-5400

Business Analysis of Liberty Media

The Media & Entertainment Sector is witnessing a major shakeup, new age business models in the industry are transforming both customers and businesses. Faced with this uncertainity, companies are investing resources to transform their business. An in-depth business analysis is a valuable resource to identify and articulate the need for a business model change. At R&P Research we believe, the starting point for a business analysis is Benchmarking. Business benchmarking can be done at various levels: 1) Industry Benchmarking 2) Peer Benchmarking 3) Disruptors Benchmarking. In this report, we share the snapshot of how Liberty Media compares against the industry on the major performance indicators. This analysis, along with peer group/disruptors benchmarking and revenue model understanding can help identify growth and cost optimization opportunities to maximize the value delivered by Liberty Media to its stakeholders. R&P Research Industry Intelligence Platform provides historical data for last 15 years with an easy to use benchmarking interface for an in-depth comparative business analysis.

Here is the performance snapshot of Liberty Media with an interactive chart.

  1. Revenue Growth: Liberty Media reported a revenue growth of 10.0% year-on-year during 2016. Broadcasting, Cable, and Filmed Entertainment Industry grew at 4.6% in the same period
  2. COGS share of Revenues: As a percentage of revenue, Liberty Media spent 35.1% of its total revenues on COGS. Broadcasting, Cable, and Filmed Entertainment industry average (COGS share of revenue) in the same period was 28.0%
  3. R&D share of Revenues: Liberty Media R&D share of Revenues details are not available because either company does not share the data or we do not have it
  4. SG&A share of Revenues: As a percentage of revenue, Liberty Media spent 26.5% of its total revenues on Sales, Marketing, and General Administration (SG&A). Broadcasting, Cable, and Filmed Entertainment industry average SG&A spending in the same period was 43.3%
  5. Inventory share of Revenues: Liberty Media Inventory share of Revenues details are not available because either company does not share the data or we do not have it
  6. Accounts Payable share of Revenues: As a percentage of revenue, Liberty Media invested 18.7% of its total revenues on Accounts Payable (A/P) Broadcasting, Cable, and Filmed Entertainment industry average Accounts Payable investment in the same period was 10.1%
  7. Accounts Receivable share of Revenues: As a percentage of revenue, Liberty Media invested 4.5% of its total revenues on Accounts Receivable (A/R). Broadcasting, Cable, and Filmed Entertainment industry average Accounts Receivable investment in the same period was 17.3%
  8. PP&E share of Revenues: As a percentage of revenue, Liberty Media invested 44.6% of its total revenues on Property, Plants, and Equipments (PP&E). Broadcasting, Cable, and Filmed Entertainment industry average PPE investment in the same period was 29.4%
  9. Intangibles share of Revenues: As a percentage of revenue, Liberty Media invested 475.5% of its total revenues on Intangibles. Broadcasting, Cable, and Filmed Entertainment industry average Intangibles investment in the same period was 113.0%
  10. Net Margins: Liberty Media Net Margins in the year 2016 were 12.9%. Broadcasting, Cable, and Filmed Entertainment industry average Net Margins in the same period were 11.6%

Sector and Industry Association of Liberty Media

For the purpose of performance benchmarking of a company with a sector or industry average, R&P Research associates every company with one sector and one industry. An industry consists of companies with related/similar business models. A sector comprises of a group of related/similar industries.

Liberty Media is associated with Media & Entertainment Sector and Broadcasting, Cable, and Filmed Entertainment Industry.

Media & Entertainment sector is comprised of the following industries: Broadcasting, Cable, and Filmed Entertainment; Media Agency Services; Publishing. The definitions for each of the industries is as follows:

  • Broadcasting, Cable, and Filmed Entertainment industry includes companies that provide radio and television programming. It also includes companies that provide music and filmed entertainment.
  • Media Agency Services industry includes companies that provide advertising, public relations and marketing services. It also includes billboard providers and telemarketers.
  • Publishing industry includes newspapers, magazine, and book publishers.

Industry Ranking of Liberty Media

With $5.3 billion revenues, Liberty Media ranked number 10 of all the companies in the US Broadcasting, Cable, and Filmed Entertainment industry. There were a total of 38 public companies in the US Broadcasting, Cable, and Filmed Entertainment industry that had revenues greater than $50 million during 2016.

The top-10 companies in the US Broadcasting, Cable, and Filmed Entertainment industry by revenues during 2016 were:

  1. Comcast ($80.4 billion)
  2. Walt Disney ($55.6 billion)
  3. Time Warner ($29.3 billion)
  4. Twenty-First Century Fox ($27.3 billion)
  5. CBS ($13.2 billion)
  6. Viacom ($12.5 billion)
  7. Liberty Interactive ($10.6 billion)
  8. News Corp ($8.3 billion)
  9. Discovery Communications ($6.5 billion)
  10. Liberty Media ($5.3 billion)

Business Model Analysis (BMA) Framework

We use the following framework to assess the business model of a company. Business Model Analysis framework can be used by organizations to articulate growth strategies and identify cost optimization opportunities. Technology and consulting companies can use this framework to identify the value drivers and pain points of their targeted customers. Entrepreneurs can use this framework to understand the language of business and identify promising business opportunities. This framework can be used by any professional aspiring to take up a leadership role to better understand the businesses challenges, articulate growth strategy, and monitor the business improvement requirements for the organization.

Next Steps

  • Conduct a holistic benchmarking; to identify and target additional sources of value
  • Get in touch with us to learn more about Business Model Analysis Framework
  • Get free data, charts, and analysis of Liberty Mediaand its peers on select key performance indicators by clicking the reports provided below

Industry Peers and Competitors of liberty-media

Liberty Interactive (QVCA) Business Analysis – Analyze Historical Performance, Strategic Priorities,...

Liberty Interactive Corp with $11 billion revenues in the year 2016 was the number 7 Broadcasting, Cable, and Filmed Entertainment company. Read this report to know the top competitors of Liberty Interactive and identify growth and cost optimization opportunities of Liberty Interactive

News Corp (NWSA) Business Analysis – Analyze Historical Performance, Strategic Priorities,...

News Corp with $8 billion revenues in the year 2016 was the number 8 Broadcasting, Cable, and Filmed Entertainment company. Read this report to know the top competitors of News Corp and identify growth and cost optimization opportunities of News Corp

Discovery Communications (DISCA) Business Analysis – Analyze Historical Performance, Strategic Priorities,...

Discovery Communications, Inc. with $6 billion revenues in the year 2016 was the number 9 Broadcasting, Cable, and Filmed Entertainment company. Read this report to know the top competitors of Discovery Communications and identify growth and cost optimization opportunities of Discovery Communications

Sirius XM Satellite Radio (SIRI) Business Analysis – Analyze Historical Performance,...

Sirius Xm Holdings Inc. with $5 billion revenues in the year 2016 was the number 11 Broadcasting, Cable, and Filmed Entertainment company. Read this report to know the top competitors of Sirius XM Satellite Radio and identify growth and cost optimization opportunities of Sirius XM Satellite Radio

Scripps Networks Interactive (SNI) Business Analysis – Analyze Historical Performance, Strategic...

Scripps Networks Interactive, Inc. with $3 billion revenues in the year 2016 was the number 12 Broadcasting, Cable, and Filmed Entertainment company. Read this report to know the top competitors of Scripps Networks Interactive and identify growth and cost optimization opportunities of Scripps Networks Interactive

Tegna (TGNA) Business Analysis – Analyze Historical Performance, Strategic Priorities, And...

Tegna Inc with $3 billion revenues in the year 2016 was the number 13 Broadcasting, Cable, and Filmed Entertainment company. Read this report to know the top competitors of Tegna and identify growth and cost optimization opportunities of Tegna

Revenues Analysis

Liberty Media (FWONA) Revenues And Revenue Growth From 2012 To 2016

This report provides the last five years revenues and revenue growth of Liberty Media Corp (FWONA) from 2012 to 2016. Liberty Media generated a total of $5.3 billion revenues during 2016. Liberty Media reported a revenue growth of 10% year-over-year during 2016. The revenues and the revenue growth correspond to the fiscal year ending in December.

Liberty Media (FWONA) Revenues And Revenue Growth From 2010 To 2016

This report provides the last seven years revenues and revenue growth of Liberty Media Corp (FWONA) from 2010 to 2016. Liberty Media generated a total of $5.3 billion revenues during 2016. Liberty Media reported a revenue growth of 10% year-over-year during 2016. The revenues and the revenue growth correspond to the fiscal year ending in December.

Liberty Media (FWONA) Revenue Growth Comparison With Industry Growth From 2012...

This report provides a comparison of Liberty Media Corp (FWONA) revenue growth with Broadcasting, Cable, and Filmed Entertainment industry growth during the last five years from 2012 to 2016. Liberty Media reported a revenue growth of 10% year-over-year during 2016. The Broadcasting, Cable, and Filmed Entertainment industry growth was 4.6% year-over-year during 2016. Liberty Media growth was faster than the industry during 2016.

Profit Analysis