NYSE$SPHR

Sphere Entertainment Co · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

Reported financial results for the fiscal third quarter as a standalone company, following its spin-off from Madison Square Garden Sports Corp.

MSG Entertainment reported a 20% decrease in revenue to $199.9 million and an operating loss of $145.5 million, which includes $102.2 million in impairment charges related to Tao Group Hospitality, due to the COVID-19 pandemic and venue closures.

  • Revenues decreased by 20% compared to the prior year period, primarily due to lower event-related revenues and the temporary closure of venues due to COVID-19.
  • Operating loss increased by $126.9 million to $145.5 million, including $102.2 million in non-cash impairment charges related to Tao Group Hospitality.
  • Adjusted operating income decreased by $25.2 million to a loss of $7.2 million.
  • The COVID-19 pandemic led to the temporary closure of MSG Entertainment’s performance venues in March 2020, with virtually all events postponed or canceled through June.

Headline financials

Total Revenue

$200M

Previous: $250M-20.1%
EPS (adj)

-$5.52

Previous: -$0.50-1010.2%
Adjusted Operating Income

-$7.23M

Previous: $17.9M-140.3%
Capital Expenditures

-$327M

No prior period
Free Cash Flow

-$455M

No prior period
Net Income

-$129M

Previous: -$11.9M-977.9%
Operating Income

-$146M

Previous: -$18.6M-681.7%
Gross Profit

-$133M

Previous: $91.3M-245.5%
Cash & Equivalents

$1B

No prior period
Total Assets

$3.83B

No prior period
Stock-Based Comp

$8.84M

No prior period

Revenue & EPS history

Sphere Entertainment Co · Revenue · Quarterly

$200M

Q3 2020-20.1%vs Q3 2019
Beat estimate in 4 of 10 quarters(40%)
ActualEstimate

Revenue by segment

Sphere Entertainment Co · $110M total across 1 segment · Q1 2024

  • MSG Networks
    $110M-10.0%

Forward guidance

MSG Entertainment faces uncertainty due to COVID-19, which has led to venue closures and event cancellations, impacting revenue and construction projects.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports

Historical avg

+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

Earnings price reactions
QuarterReport dateReaction (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