NYSE$SPHR
Sphere Entertainment Co · Q3 2023 earnings
Q3 2023 earnings · · Investor relations
Briefing
Reported a modest revenue increase but posted a net loss for the quarter
Sphere Entertainment Co. delivered higher revenues in Q3 2023 driven by growth in the Entertainment segment, but recorded a net loss due to higher operating expenses and merger-related costs.
- Revenues rose 3% year-over-year to $363.3 million.
- Entertainment segment revenues increased by 4%, boosted by higher arena-related revenues and event sales.
- MSG Networks revenues declined 4% due to lower subscription fees despite higher advertising sales.
- Net loss widened to $56.8 million driven by higher SG&A expenses and restructuring costs.
Headline financials
Revenue & EPS history
Sphere Entertainment Co · Revenue · Quarterly
$363M
Revenue by segment
Sphere Entertainment Co · $161M total across 1 segment · Q3 2023
- MSG Networks$161M-3.7%100.0%
Forward guidance
The company remains focused on the launch of Sphere in Las Vegas, with events planned for late 2023, and anticipates long-term value creation.
Tailwinds
- Sphere Las Vegas construction in final phases with opening scheduled for September 2023.
- U2 residency to launch Sphere's debut events.
- Postcard from Earth immersive production set to run year-round starting October 2023.
- Formula 1 Las Vegas Grand Prix will feature a multi-day takeover of Sphere.
- Company holds significant liquidity including $230M in cash and valuable equity stakes.
Headwinds
- Increased construction cost estimates for Sphere to $2.3 billion due to project complexity.
- Higher SG&A expenses driven by spin-off and Sphere-related costs.
- Ongoing operating losses in the Entertainment segment.
- Declining subscriber base for MSG Networks affecting affiliation fee revenues.
- Restructuring charges continue to impact profitability.
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 Q3 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 | — | — | — |
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