Vivid Seats Inc. Q4 FY2025 Earnings Call

Good day, everyone, and thank you for being here. Welcome to the Vivid Seats Fourth Quarter 2025 Earnings Webcast and Conference Call. I would now like to introduce your host for today's presentation, Mr. Austin Arnett. Sir, please start.

Good morning, and welcome to the Vivid Seats Fourth Quarter 2025 Earnings Call. I'm Austin Arnett, Vivid Seats General Counsel. I'm joined today by Larry Fey, Chief Executive Officer; and Joe Thomas, Chief Financial Officer. By now, everyone should have access to the earnings press release we issued earlier this morning. The release, as well as supplemental earnings slides, are available on our Investor Relations website at investors.vividseats.com. Today's call will include forward-looking statements within the meaning of federal securities laws. These statements are subject to risks and uncertainties that could cause actual results to differ materially, including those discussed in our earnings release, our annual report on Form 10-K, and our other filings with the SEC. Today's call will also include references to adjusted EBITDA and net debt, which are non-GAAP financial measures that provide useful information to investors. To the extent reasonably available, a reconciliation of these non-GAAP financial measures to their most directly comparable GAAP measures can be found in our earnings release and supplemental earnings slides. And now I'll turn the call over to Larry.

Good morning, everyone, and thank you for joining us today. I'm excited to share what we are working on as we chart a refreshed course for Vivid Seats in 2026 and beyond. We believe we have the right team and the right strategy to drive innovation, thought leadership, and profitable growth in the coming quarters and years. I'd like to begin with an update on our leadership team. Austin Arnett, who provided opening remarks for this call, was named General Counsel in December. Austin previously led our corporate legal team after prior roles at Latham & Watkins and McDonald's. Austin steps into the GC role with extensive legal expertise and substantial familiarity with our business. I'd also like to introduce Joe Thomas, our new Chief Financial Officer. Joe, who joined us in January, is an accomplished executive with a strong track record of driving financial discipline through data-driven decisions while supporting long-term growth initiatives. I'm excited to join forces with both of them as we embark on this new chapter for Vivid Seats. I'd also like to thank Ted Pikes, who served as our interim CFO during this transition. Ted's deep institutional knowledge and steady hand were critical during a pivotal period for the company. I'm grateful for his continued partnership as our Chief Accounting Officer. With our new team in place, we have refined our long-term strategy and have quickly begun executing against it. Our strategy builds and expands upon Vivid Seats' foundational strength, our leading technology, our unique data, a relentless focus on efficiency, and an increasingly compelling and differentiated value proposition to customers. I will spend a few minutes touching on our efforts across each of these foundational elements. Starting with our technology and product, we are redoubling our focus on product innovation and efficiency and expect this to benefit our results as we move through 2026. Across both our web and app properties, we are bringing a renewed focus on our core customer funnel to ensure a seamless user experience. Beyond this foundational focus, we are continuing to innovate in an increasingly AI-driven world. In 2023, Vivid Seats became the first company in the live events industry to launch a live events plug-in for OpenAI's ChatGPT. That early partnership underscored our commitment to innovating at the intersection of technology and live entertainment. Building on that foundation, we recently introduced a dedicated Vivid Seats app within ChatGPT, further advancing our AI-driven shopping capabilities. This new app is designed to capture real-time consumer intent and transform event discovery by making it more personalized, intuitive, and efficient while reinforcing our position as a leader in shaping the future of how fans discover and access live events. This launch is an example of our continuous efforts to evolve our platform in a highly dynamic environment. Our path forward will combine innovation with a disciplined focus on efficiency. As previously announced, we significantly expanded our cost reduction program, increasing our initial fixed cost savings target from $25 million to $60 million. We have now achieved our increased target of $60 million of annualized savings with reductions in spending on marketing, G&A, and stock-based compensation. These savings position us to reinvest selectively in growth initiatives, such as our enhanced app value proposition, while improving our operating leverage as we return to growth. We also executed our corporate simplification early in the fourth quarter, which included the termination of our tax receivable agreement and the collapse of our dual-class share structure. This meaningfully reduces complexity, improves transparency, and generates both immediate and long-term financial benefits. Taken together, our cost reduction program and corporate simplification are creating a more efficient, agile organization that can invest strategically for growth while maintaining financial discipline. Moving to the compelling and differentiated value proposition we present to customers. Vivid Seats is the most rewarding ticket company. We are centering the Vivid Seats message and experience around that simple but powerful fact. No one rewards fans more than we do. We're sharpening our messaging to highlight how Vivid Seats delivers more value at every step of the journey, from rewarding prices to a seamless, stress-free shopping experience to tangible rewards that deepen loyalty over time. By delivering the most rewarding experience in ticketing, we seek to build long-term relationships with our customers and our app ecosystem. App users return more frequently, convert at higher rates, and rely less on paid performance marketing channels. We believe the combination of our rewards program and our lowest price guarantee represents the most compelling value proposition in ticketing. We are seeing encouraging trends as we pursue this strategy. App GOV is up over 20% year-over-year through the first two months of 2026. Since launching our enhanced app value proposition during the third quarter of last year, we have seen app share of GOV increase by more than 500 basis points. We also remain confident that information transparency will only increase as AI continues to reshape how consumers discover and evaluate offerings across the Internet. We believe we are well positioned to benefit as AI-guided consumers increasingly gravitate towards platforms that are delivering the most value to them. While we are early in our execution journey, the trends we are seeing thus far in Q1 indicate we are making substantial progress and that our strategy is gaining traction. Accordingly, we are reaffirming our 2026 outlook. We continue to expect marketplace GOV in the range of $2.2 billion to $2.6 billion and adjusted EBITDA in the range of $30 million to $40 million. In addition, we are providing Q1 2026 guidance of $570 million to $620 million of GOV, $8 million to $10 million of adjusted EBITDA, and a cash balance of $125 million to $135 million. Turning to the fourth quarter. While our results were challenging, they were largely in line with what we anticipated as we work through a transitional period for the business. As we shared last quarter, a softer Q4 industry backdrop, private label declines, and ongoing execution of our strategic realignment were expected to pressure results. While these pressures played out as expected, we were encouraged by emerging momentum across our own properties. In particular, our app performance remained a bright spot, reflecting the impact of our ongoing product investments and enhanced value proposition. The trends we are seeing thus far in the first quarter confirm the actions taken by this new team are translating to tangible progress. These indicators reinforce our belief that the path forward we have put in place is the right one, and that the investments we are making will enable us to return to growth in the second half of 2026 and deliver sustainable, profitable growth for many years to come.

Thank you, Larry, and good morning, everyone. I'm excited to join Vivid Seats and help shape the company's next phase of growth. The business has a strong foundation and significant opportunity. I look forward to working closely with Larry and the leadership team to deliver long-term value. Turning to the results. In Q4 2025, we generated $581 million of marketplace GOV compared with $994 million in the prior year period. Q4 2025 total marketplace orders were down 32% year-over-year, with the average order size down to $329 from $380 in Q4 2024. According to our SkyBox data, industry volumes were down double digits in Q4, primarily due to less content on sales and a difficult World Series comparison, which pressured results when combined with the loss of a large private label customer that occurred in early Q3 2025. Q4 2025 revenues were $127 million, compared to prior year revenues of $200 million. Our Q4 2025 marketplace take rate was 16.8%, up slightly from 16.6% in Q4 2024. We expect our near-term take rates to stay in the 16% range. Adjusted EBITDA for the quarter was $1 million, reflecting the impact of lower volume and negative operating leverage. Importantly, we achieved our annualized cost reduction target of $60 million during the quarter. While we saw a partial benefit from these efforts in Q4 2025, we anticipate the full benefit starting in Q1 2026, allowing for improved operating leverage moving forward. We ended the fourth quarter with $103 million of cash and $390 million of debt, resulting in net debt of $287 million. As a reminder, the fourth quarter brings seasonally lower working capital flow, with that reduction accounting for a majority of our cash outflows in the quarter. Q1 2026 is seasonally stronger in terms of cash inflow, which supports our guidance for a cash balance range of $125 million to $135 million by the end of Q1 2026. We expect Q1 2026 marketplace GOV in the range of $570 million to $620 million. This GOV level is consistent with Q4 2025, despite the fourth quarter traditionally being the strongest volume quarter of the year, which reflects sequential improvement in share. We expect Q1 2026 adjusted EBITDA in the range of $8 million to $10 million. This represents a substantial improvement relative to Q4 2025 EBITDA and reflects consistent volumes, improved unit economics, and the full impact of our cost reduction efforts. For fiscal year 2026, we continue to expect marketplace GOV in the range of $2.2 billion to $2.6 billion and adjusted EBITDA in the range of $30 million to $40 million. This outlook reflects an expectation of modest industry growth and continued competitive pressures, but also benefits from our cost reduction program and strategic investments into an enhanced customer value proposition. Back to you, Larry.

In closing, the positive trends we are seeing in the first quarter support our belief that we are now on the right path. We are seeing encouraging progress across numerous leading indicators, pointing to a return to volumetric growth across the business outside of private labels. We are particularly excited about the app trajectory and believe the combination of a return to growth, a streamlined cost structure, and a more efficient tax profile positions us to deliver growing profitability and cash flow as we execute our strategy. We are confident that Vivid Seats' foundational advantages—our leading technology, unique data, best-in-class efficiency, and differentiated customer value proposition—remain strong. And with disciplined execution, we will support our return to profitable growth. With that, operator, please open the call for questions.

Our first question or comment comes from Ryan Sigdahl from Craig-Hallum Capital Group.

Welcome, Joe. Larry, I want to start; you've dealt with unfavorable competitive dynamics for the better part of two years now. We've heard from them that they plan to focus more on customer acquisition efficiency in 2026, a nice change, a fairly big change, I guess, compared to the user acquisition blitz they have been going through. I'm curious if you've seen any of that and how you think about the competitive dynamics heading into 2026 or as we start and how you plan to balance your customer acquisition efficiency versus the value proposition, the app, direct traffic, etc.

Yes. Thanks, Ryan. In terms of competitive landscape and competitive intensity, I think we have seen a degree of moderation, particularly as it relates to some of the peak intensity from StubHub, in particular. I think others in the space continue to be pretty aggressive and I think there continues to be a meaningful priority placed on GOV and volume across a number of our competitors relative to fundamental unit economics and profitability. But I think we continue to see that over time economics play out, and financial realities ultimately win. So I think we will stay the course that we've been on for the last couple of years where there is certainly inherent tension between volume and profitability, but we're going to stay true to our unit economics. In particular, the focus on the app ecosystem and the focus on the app value proposition is trying to enhance our lifetime value which enables you—if you know you are keeping people in your ecosystem longer with a longer relationship and more repeat rates—you can still solve your unit economic question while being more aggressive on the customer acquisition front. So we think we can try to accomplish both: stay true to our unit economic frameworks and enable ourselves to drive better volumetric performance as we continue to execute against that.

Very good. Then just you mentioned the ChatGPT plug-in in 2023. Your main competitor press released, I guess, a relationship and partnership with ChatGPT a few months ago. I'm curious how you fit within your competitive set. I think you also have perplexity that you didn't mention, but just talk broadly speaking about LLM if you're willing to quantify kind of the percentage of whether it's customers or GMV or anything there; that would be helpful.

Yes. AI, as you can imagine, is top of mind in an incredibly dynamic space. We haven't yet seen consumer behavior in our space reflect that height, right? It's still a pretty small percentage, very small percentage; probably 1% is the best estimate I would put out there for what we're seeing in terms of direct traffic through the AI channel today. That said, I think we are fundamentally of the belief that this is a one-way street where AI will have more, not less, impact and that there are fundamental unlocks that AI can bring for the benefit of consumers in our space and across e-commerce with better information transparency. So we've been in a space where, for many years, being at the top of a search was critical to driving customer awareness and you could charge, in many instances, premium pricing to facilitate that. So it hasn't changed yet, but we are making the bet that there will be evolution there where customers will be better able to surface differentiated value propositions over time and better able to research and compare. We do think there's still a place in ticketing where the seat you're in, the angle of your view, the size of the stadium—there's a lot of deeply personal preferences. So the desire to do detailed shopping, detailed comparisons in an app, we think will be a longer-term home for a lot of customers. But AI at the top of the funnel, when people are researching their options and understanding the choices out there, we think will be meaningfully disruptive over the coming quarters.

Our next question comment comes from the line of Cameron Mansson-Perrone from Morgan Stanley.

One follow-up on the industry trends. Just curious, there's a competitive dynamic, but there have also been some potentially favorable dynamics happening as well. Have you seen any benefit or have seen anything in the marketplace in conjunction with the changes that Ticketmaster has made around its resale platform and activity? And as we look forward to 2026, I'm wondering how you're framing your thinking about the World Cup and any expectations around participating in that resale activity this summer.

Yes. Thanks, Cameron. On the industry front, Q4 was not a great quarter. We saw it down double digits; I think we mentioned a tough MLP comp, but in particular, concert on sales were down dramatically year-over-year. Those on-sales picked back up in Q1, whether that was just normal variation in timing or something reflective of some other planning or considerations on the Ticketmaster side, is not clear to us. We haven't seen any meaningful impact beyond that in terms of Ticketmaster's overall posture and level of aggressiveness in the space. So I'd say those rumored changes or adjustments have not had a measurable impact. But we'll continue to keep an eye on it. For the broader industry overall, the last time when we gave guidance, we had pointed to expectations of flat growth over the year. I think with the Q1 on sales, we continue to feel equally as good, if not a little bit better with World Cup volumes also expected to improve. So I think stable to slight growth in the industry is our new estimate. And as we look at the World Cup, if you think of the benchmarks or the goalposts—goalposts as a typical A-List tour would be 1% of GOV for the year; Taylor Swift would be on the other side of that at mid- to high single digits, as a percentage of it—I think the World Cup is an event that will end up somewhere in between. Where in between will be dictated by whether you have great matchups, such as if the U.S. plays Mexico in the semifinals. That would be a dream. But we think it will be substantial, a couple of hundred basis points of GOV is our best guess.

Our next question comment comes from the line of Dan Kurnos from Benchmark.

Great. Thanks. Good morning. Welcome, Joe. For— I guess, Larry, just as we think about your customer acquisition strategy around the app, I know we've talked about it a little bit, but I don't know if you want to take a second to flesh out, obviously without giving away any trade secrets, how you're thinking about driving incremental traffic beyond just pointing to the value prop? Like are you thinking about different marketing channels? Are you thinking about more efficient ways to help people understand the message?

Yes. I think the last thing you said—having people clearly understand the value prop—is a critical threshold element where, if we don't do that successfully, we have no reason to believe people will come back more often and build a lifetime relationship. We're mid-flight on it, but you should see continued improvements in the journey as an app customer. So your onboarding experience plays a critical role. How do we build that initial rapport? If you make it feel like a win-win where you're providing us your information, and we're providing you something of value in return, it kicks off on the right foot. We'll be implementing well-situated messaging to drive home not only the everyday pricing but the ongoing rewards and benefits for loyalty and repeat purchasers, such that if you are a customer who has intentions of going to multiple live events per year for presumably decades to come, you can have peace of mind that you've completed your research. You will do the research and depth, compare pricing, and validate claims, and once that validation is complete, you can, with peace of mind, buy from us. I think the second dimension, beyond making sure that once you arrive at the app, it’s very clear what we're doing and why we are making claims about our value proposition, is that we have a very large database of people who have purchased from us over the years. So we will be thoughtfully targeting and messaging that database of folks while continuing to use growing AI capabilities to send personalized messages that resonate with the right message at the right time. I think that's the second major dimension. And then, over time, we will continue to explore complementary marketing channels outside of that core paid search funnel, whether it's social or other adjacencies. There continues to be an opportunity there, but it has been a relatively long-term play to build that awareness, and so that will be a steady as she goes element.

Got it. That's super helpful. And then I'll just ask if you care to opine on— I know we've already had sort of the competitive question, but clearly, while you guys aren't in primary, we've had movement from the DOJ and live now, and there are always knock-on effects for competitors that are maybe hybrid or trying to enter that space. You guys have tested the waters in primary in small doses in the past. I'm just curious how you think about regulatory effects either from that perspective or the bulk seller stuff, and how that might impact overall industry dynamics or consolidation; just anything you would like to opine on how you think the broader group adjusts to some of the regulatory issues.

Yes. I mean, we've certainly been through the term sheet. I think the devil in the details is probably the operative phrase here. So we'll wait for more to come out, and it's probably premature for us to comment in too much depth given the lack of detail on some pretty important provisions in the term sheet. From everything we've seen, I can't see anything that would be deemed or even considered potentially adverse to our position in the marketplace. At least from our perspective, I don't see a lot that will change anything meaningfully. But let's put the devil in the details aside for now, and we'll see if there's more to it.

Our next question comment comes from the line of Maria Ripps from Canaccord.

Welcome, Joe. First, I just wanted to follow up on your comments. Can you talk about the type of consumer you're attracting within ChatGPT and their conversion rates? And do you maintain the customer profile or customer data after that initial engagement?

Yes. Thanks, Maria. I think the ChatGPT app is a good example of needing to play in traffic while this world situates itself. As it sits today, finding apps in the LLM journey requires someone who's looking for the app or you need to come in with a targeted search and seek out, whether it's ours or a competitor's app, and that opens up a different use case, but I don't think it's gone mainstream. I don’t think most people have unlocked how to access apps within the LLM journey. And, as a result, what you do see is folks who come through LLM and through that app convert at structurally higher rates. What is probably too early to tell is whether that is because you have a selection bias—those folks who are doing that are the most intent-filled, thoughtful, tech-savvy users—or if it's revealing that their intent versus the tool is fundamentally changing their behavior journey. So we're looking at all the data with eager anticipation, but I don't think we have clear answers yet on that. Separately, to the broader question on customer personalization, the more interactions you have with someone—say when you see someone login in Chicago searching for Cubs tickets and then six months later they search their tickets again—you can start to create a profile of a Chicago-based sports fan and ensure that they see content aligned with those sports preferences, perhaps deemphasizing comedy shows if they've never shown interest. Over time, we are figuring out ways to round out that profile, and there's numerous sources we’re increasingly focusing on capturing more customer information to create a more bespoke experience. One of the exciting elements over the intermediate term—aside from the top of the funnel that AI offers—is how to create a fundamentally better experience for your users as you ingest more customer information. And at the core of that, I think is thoughtful personalization built around a growing dataset.

Got it. That's very helpful. And then can you give us a little more color on what you're seeing on the supply side in concerts this year? And to what extent is that a factor for improving trends and returning to growth in the second half of the year?

Yes. Yeah. There is a pretty nice lineup of on-sales that has come out in Q1. BTS is probably the highest profile of those, but a steady stream of meaningful artists has come out in January and February, such as Harry Styles, Noah Khan, etc. This is welcome because the Q4 lineup was underwhelming. When you sum up Q4 and Q1, we’ve seen this before where timing moves a little bit between the quarters. It was a solid concert lineup, and I think it’s consistent with what we've heard from Live Nation, where they continue to point to steady growth—perhaps double digits for them across their global footprint—but still continued growth in North America on the lower end of that range. I think everything we've seen from the supply side continues to support that perspective, and we had a little bit of hesitation based on how Q4 industry trends were shaping up. But it's been refreshing to see Q1 strengthen from there.

Our next question comment comes from the line of Thomas Forte from Maxim Group.

So I also want to welcome Joe to the call. One question, one follow-up. Can you talk about your ability to capitalize on record recurring sporting events that are not always held on an annual basis, including the World Cup, Olympics, and World Baseball Classic in particular? When this type of event is in one of your geographies, how confident are you in your ability to achieve a similar share of GOV as in other sports—baseball, football, etc.?

Yes. Thanks, Tom. Those intermittent sporting events are really interesting hybrids because, as a general statement, if you were to look at sports versus our concert and theater customer journey—if you're a Cubs fan, you're a Cubs fan. You're going to a Cubs game this year; you're probably going to a Cubs game next year and probably the year after that. Same with baseball and football—pick your sport as your preference. The proclivity for repeat is just higher on sports, whereas concerts are more episodic. Even if you're a lifelong die-hard Taylor Swift fan, she's in town once every five years, right? And maybe you're going to take that one time, and you're not in town the next time. So you see our events as once-in-a-lifetime. And the interest in Taylor Swift may or may not map to Sabrina Carpenter or Pop Star X. It's a different relationship. It's a bit more intermittent across all things concert, comedy, theater relative to that more continuous sports relationship. And these intermittent events straddle those. It's pretty hard to say, like what, on any individual customer basis, their soccer preferences or their World Cup preferences would be. And whatever we learn about them probably won't be that valuable going forward, given it's going to be 30 years before we get the World Cup here again. But we can leverage folks who are MLS soccer fans and target those folks in a thoughtful way. But we actually see the number of World Cup folks who end up being more new customers than you would see in a typical sports league because there is that intermittent element. But it's less so than concerts because you do have that stable base of sports fans who know where they want to come and buy a ticket from.

And then for a follow-up, can you give your thoughts on cash conversion and free cash flow generation for the full year 2026?

Yes. I appreciate that question. So our major cash obligations, or CapEx, interest expense, and taxes, sum to fall between $35 million and $40 million. The majority of that amount would be our net interest expense, as our CapEx in cash software we estimate will be in the $15 million range. And then post-tax simplification, taxes will be quite a bit lower to low single-digit millions. Therefore, we need $35 million to $40 million of EBITDA before considering working capital to be cash flow neutral or generative. As we've demonstrated in spades over the past few quarters, if you are growing GOV, working capital can be a source of cash, and the inverse is also true. So as we project a return to growth, which we're feeling quite good about as we approach the second half of the year on a year-over-year basis, and equally good earlier in the year on a sequential basis, working capital shifts to become a source of cash, and thus we expect to be modestly cash generative in 2026. Thank you.

Our next question comes from the line of Andrew Marok from Raymond James.

One on the comps. I know you called out a difficult World Series this year as a headwind. As we're looking forward into the 2026 trajectory, how are the 2025 championships and perhaps special events and sports playing out from a comp perspective as we look into the model?

Yes. Great question, Andrew. I think if we were to just go through the calendar, we've already seen some benefit from a, call it, up, down, up in the Super Bowl. So 2024 sort of peaks with Vegas, while 2025 with the kind of repeat participants in New Orleans has been underwhelming, yet there's been a much stronger performance anticipated for the Super Bowl in 2026. As we look at the rest of the year, I'd say there's nothing daunting in terms of expectations regarding volume. I'd say it ranges from slightly below to slightly above average matchups. NCAA tournament was relatively strong last year; we'll see how that goes in the next few weeks. Nothing of note in terms of NBA or NHL I love that Oklahoma City has 47 traffics over the next couple of years, except for the fact that Oklahoma City is not the most dynamic market from a secondary standpoint. So we’ll see if anyone topples them on the MBA side. Major League Baseball was off the peak Yankees Dodgers levels, but Yankees Blue Jays wasn't bad. I would say that the MLB comp is probably the most daunting of the remaining major championships coming through the rest of the year.

Our next question comment comes from the line of Benjamin Black from Deutsche Bank.

This is Jeff on for Ben. Can you just talk a little bit about the puts and takes to getting to the high and low end of your guidance, particularly in GOV? Would you need to see the competitive dynamics kind of continue to soften from here? Or could you get to the high end with just better performance from events in the industry?

Yes, that's a great question. Our presumption is that we can get to the high end of our GOV and EBITDA range through our own execution. Steady performance from industry volumes consistent with current competitive intensity and continued delivery of a pipeline of product enhancements that we're really excited about, which we think will start coming out over the next couple of months and have a meaningful portion of the year to benefit from in terms of back-half contributions. If we deliver these enhancements and they flow through as expected, that's the path to the top end of the range. Yet if there's better industry volume and/or a further shift in the competitive landscape that makes it easier, that would provide a path to outperforming.

Understood. Got it. And then maybe just one quick follow-up on the app share growth in the gains. You talked about the increase in the FPD. Is that more driven by bringing new customers to the app? Or is it sort of just increasing the velocity or the repeat purchases of existing customers already using the app?

I'm happy to say yes to that. So it is across both dimensions. We are seeing app sessions increasing year-over-year. We are seeing app repeat rates increase double digits when we're looking at our cohort subsequent to these changes. One of the things we talk about a lot over here is that when you're playing a longer game with trying to build lifetime relationships to drive long-term repeat, the toughest day of that journey is the first day because you feel all the pain on the enhanced value proposition. We haven't given folks an opportunity to come back and repeat, so we feel like we started the snowball down the hill, and now, as we move through subsequent quarters and years, that benefit will compound. We’re seeing all the underlying—we talk about leading indicators that flash and are positive. That’s a perfect example. These repeat rates, the growing size of the cohort, and the growing proclivity to repeat within them are the types of leading indicators that, if stacked over time, become a really powerful trend.

Next question or comment comes from the line of Ralph Schackart from William Blair.

Larry, you talked about entering Q2 with a refined strategy. Maybe talk about your top one or two key priorities or adjustments to that strategy? I know you talked about the APPRA new focus; I'm not sure if that's one of them. But just maybe if you could sort of highlight or underscore what those are, in progress to date, and kind of how that progresses through 2026.

Yes. Thanks, Ralph. I think as you noted, parts of the strategy were starting to roll out in the back half of last year, executed throughout Q4, and will continue. And so the efficiency and cost reduction program was the starting point for that, reinvesting some of those savings into the structurally enhanced value proposition. I think when you look at what incrementally we're pursuing, there is a refreshed focus on the core customer journey. When someone decides that they want to attend an event, it's critical to have a relentless focus on making that journey as quick, efficient, and pleasurable as possible for the customer. We shouldn't distract them with superfluous information, but rather make sure all of the relevant information is in front of them and that every step of the journey works efficiently, without introducing undue friction. That has been an area where we were pursuing a lot of different paths and distracting a little bit. Ultimately, that will manifest in what I believe will enhance our conversion profile, particularly on our web journey. We're very excited about that. I won't go into too much detail on this, but I think there are some enhancements we are making to our private label philosophy and approach aimed at getting that business line returning to growth as we lap the tough comps starting in Q3. They're a little more operational in nature. But if I were to summarize it, getting back to being operationally elite is the core focus in addition to the cost efficiency and the app value proposition, each of which has its own sub-elements where we’ll continue to build on the early gains and wins.

I'm showing no additional questions in the queue at this time. Ladies and gentlemen, this concludes today's program. Thank you for your participation. You may now disconnect. Everyone, have a wonderful day.