NYSE$SPHR
Sphere Entertainment Co · Q1 2023 earnings
Q1 2023 earnings · · Investor relations
Briefing
Reported an increase in revenue and a decrease in operating loss, driven by strong performance in the Entertainment and Tao Group Hospitality segments and improvement in MSG Networks.
Madison Square Garden Entertainment Corp. reported a 36% increase in revenue to $401.2 million and an improved operating loss of $44.8 million, reflecting robust demand and successful events.
- Revenues increased by $106.7 million, or 36%, compared to the prior year quarter.
- Operating loss improved by $38.5 million, or 46%, year-over-year.
- Adjusted operating income decreased by $7.5 million, or 73%, compared to the prior year period.
- MSG Sphere in Las Vegas is on track to open in the second half of calendar 2023, with an adjusted construction cost estimate of approximately $2.175 billion.
Headline financials
Revenue & EPS history
Sphere Entertainment Co · Revenue · Quarterly
$401M
Revenue by segment
Sphere Entertainment Co · $122M total across 1 segment · Q1 2023
- MSG Networks$122M-13.4%100.0%
Forward guidance
MSG Entertainment expects fiscal 2023 to be a defining year, with progress toward the completion of MSG Sphere in Las Vegas and a potential spin-off.
Tailwinds
- Completion of MSG Sphere in Las Vegas.
- Potential spin-off of traditional live entertainment and MSG Networks businesses.
- Expected delivery of long-term value for shareholders.
- MSG Networks began airing its full regular season telecast schedules for its five professional sports teams across both the NBA and NHL.
- Christmas Spectacular production returns for its 2022 holiday season run at Radio City Music Hall with new immersive technology elements and 181 planned shows.
Headwinds
- Increase in the construction cost estimate for MSG Sphere due to inflation, supply chain pressures, and project complexity.
- Decrease in adjusted operating income compared to the prior year quarter.
- Non-renewal of MSG Networks’ carriage agreement with Comcast.
- Decrease in subscribers of MSG Networks (excluding the impact of the non-renewal with Comcast).
- Higher direct operating expenses and selling, general and administrative expenses for Tao Group Hospitality.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q1 2023
+1.5%
Avg return
Earnings day
+2.6%
Avg return
5 days after
+2.7%
Avg return
30 days after
46%
12 / 26 earnings
Positive
+22.1%
Q4 2025
Best reaction
-15.1%
Q3 2023
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q4 2025 | +22.1% | +21.0% | +11.5% | |
| Q3 2026 | +4.7% | +16.2% | +24.8% | |
| Q1 2026 | +4.7% | +16.2% | +24.8% | |
| Q1 2025 | +9.2% | +26.1% | +26.5% | |
| Q2 2026 | -2.0% | -18.8% | -23.3% | |
| Q4 2024 | +0.7% | +21.5% | +3.6% | |
| Q3 2024 | +0.9% | -8.4% | -11.0% | |
| Q2 2024 | -0.3% | +13.8% | +35.9% | |
| Q1 2024 | +2.2% | +2.9% | -2.2% | |
| Q4 2023 | +4.0% | -7.9% | -1.1% | |
| Q3 2023 | -15.1% | -25.9% | -11.3% | |
| Q2 2023 | +8.3% | +13.8% | +6.6% | |
| Q1 2023 | -2.2% | -4.0% | -9.3% | |
| Q4 2022 | -7.1% | -3.3% | -12.3% | |
| Q2 2022 | -7.1% | -3.3% | -12.3% | |
| Q3 2022 | -11.3% | -11.9% | -5.0% | |
| Q1 2022 | -8.5% | -9.8% | -17.3% | |
| Q4 2021 | +17.9% | +26.7% | +21.7% | |
| Q2 2021 | +17.9% | +26.7% | +21.7% | |
| Q3 2021 | +5.2% | -3.2% | +4.2% | |
| Q1 2021 | -1.2% | -4.3% | +0.1% | |
| Q1 2020 | -1.2% | -4.3% | +0.1% | |
| Q2 2020 | -0.3% | +4.8% | -8.8% | |
| Q4 2020 | -0.3% | -8.3% | +6.1% | |
| Q4 2019 | -1.6% | -3.9% | -2.2% | |
| Q3 2020 | -1.6% | -3.9% | -2.2% | |
| Q3 2019 | — | — | — |
Discussion
Share your read of this quarter. Sign-in carries your eToro identity.
Join the conversation
Sign in with eToro to post your read of this quarter and vote on others'.
Sign in with eToro