In the third quarter, and first as a publicly traded company, SFX Entertainment posted a net loss of $28.6 million on revenue of $48.7 million. With less than a month from the initial public offering to the end of a quarter, investors don't have much to judge. SFX's financial performance is a work in progress because the company itself is a work in progress.

A different way to measure of SFX's financial performance is pro-forma revenue and earnings. In the third quarter, SFX's pro forma revenue was $113.8 million, with $65.1 million coming from acquisitions planned prior to last month's initial public stock offering: the promoters ID&T, Made Event, Totem, b2s. Pro forma earnings before income taxes, depreciation and amortization were $12.8 million.

Although investors have little to assess, the earnings sent shares up 10.8% to $9.51 in early trading Friday. SFX's just-announced deal with Rock in Rio could have also influenced its share price. Analysts from UBS, Jeffries and Deutsche Bank have set price targets at either $15 or $16.

SFX is betting it can piece together a multi-faceted business built around EDM culture. In addition to the EDM promoters acquired with a portion of its IPO proceeds, SFX acquired, or plans to acquire, three companies to help improve its digital capabilities: Tunezy, Arc90 and Fame House.

Chairman and CEO Robert Sillerman dedicated much of the earnings call to SFX's opportunity to create sponsorship, advertising and marketing opportunities around its brands, events and online properties. "In the coming weeks," said Sillerman, "I believe you will see actual confirmation and verification of the very specific appeal of what we've put together as exemplified by broad, multi-territory marketing deals."

Sillerman pointed to Rock in Rio as an example of SFX's sponsorship mindset. The company, which hosts a bi-annual festival in Rio de Janiero and has expanded to other markets, engages in year-round marketing and, according to Sillerman, generates more from sponsorships than ticket sales. One example is the way Coca-Cola works with Rock in Rio. Last month, Coco-Cola introduced containers that allow consumers to access exclusive playlists by scanning the container with a smartphone app.

The pro forma group of companies increased their number of festivals to 21 from 16 and had attendance of 900,000, up 40% from the third quarter of 2012. SFX claims the acquired companies had over one billion minutes of online viewing in the third quarter.

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