Industry Overview - The Zacks Media Conglomerates industry is thriving due to the consumer shift towards over-the-top (OTT) content, with major players like Disney, Atlanta Braves Holdings, and Madison Square Garden Entertainment investing heavily in original content to attract Gen Z and millennial subscribers [1][2] - The industry's growth is supported by cost-effective alternative packages, such as skinny bundles, which offer lower prices compared to traditional offerings [1] - Challenges include declining broadcast television ratings, reduced demand for home entertainment sales, and advertisers' cautious spending amid inflation and high interest rates [1][2] Trends Impacting the Industry - Original content is driving growth as media companies adapt to consumer preferences for subscription services over traditional pay-TV, leading to increased opportunities for targeted advertising [3] - The demand for high-speed internet is a key catalyst, enhancing the consumption of high-quality videos and binge-watching trends, particularly in international markets with a growing broadband ecosystem [4] - The industry faces difficulties from cord-cutting trends and the maturation of the pay-TV sector, which has led to increased competition from streaming services [5] Industry Performance - The Zacks Media Conglomerates industry ranks 44 within the broader Zacks Consumer Discretionary sector, placing it in the top 18% of over 245 Zacks industries, indicating positive earnings outlook [6][8] - Despite this ranking, the industry has underperformed compared to the broader sector and the S&P 500, returning 4.9% over the past year versus 15.8% for the sector and 10% for the S&P 500 [9] Valuation Metrics - The industry is currently trading at a trailing 12-month price-to-sales (P/S) ratio of 1.51X, significantly lower than the S&P 500's 5.33X and the sector's 2.28X, suggesting potential undervaluation [12] Company Highlights - **Atlanta Braves Holdings**: Reported a 27% year-over-year revenue growth to $47 million, with baseball revenues up 30% to $29 million. The company has a strong cash position of $244.7 million and access to $275 million in liquidity [15][17] - **Disney**: Achieved profitability for Disney+ and Hulu with a combined subscription base of 180.7 million. The company is trading at a discounted P/E ratio of 19.25, with projected 16% EPS growth for fiscal 2025 [20][22] - **Madison Square Garden Entertainment**: Revenues increased by 6% to $242.5 million, with adjusted operating income surging 50% to $57.9 million. The company is well-positioned for continued growth with diverse revenue streams and strong advance sales for upcoming events [25][27]

For the quarter ended March 2025, Madison Square Garden Entertainment (MSGE) reported revenue of $242.47 million, up 6.2% over the same period last year. EPS came in at $0.33, compared to $0.06 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $231.04 million, representing a surprise of +4.94%. The company delivered an EPS surprise of +32.00%, with the consensus EPS estimate being $0.25.While investors scrutinize revenue and earnings changes year-over-year and how they ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ____________________ FORM 10-Q ________________________ (Mark One) ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2025 For the transition period from to Commission File Number: 001-41627 MADISON SQUARE GARDEN ENTERTAINMENT CORP. (Exact name of registrant as specified in its charter) Delaware 92-0318813 (State or other jurisdiction of incorporation or org ...

MSG Entertainment (MSGE) Q3 2025 Earnings Call May 06, 2025 10:00 AM ET Company Participants Ari Danes - Senior Vice President of Investor Relations, Financial Communications & TreasuryLee Weinberg - SVP - Strategy & Business PlanningDavid Collins - EVP & CFO Conference Call Participants David Karnovsky - Senior Research AnalystCameron Mansson-Perrone - AnalystNone - AnalystStephen Laszczyk - AnalystPeter Henderson - Analyst Operator Good morning. Thank you for standing by, and welcome to the Madison Square ...

MSG Entertainment (MSGE) Q3 2025 Earnings Call May 06, 2025 10:00 AM ET Speaker0 Good morning. Thank you for standing by, and welcome to the Madison Square Garden Entertainment Corp. Fiscal twenty twenty five Third Quarter Earnings Conference Call. At this time, all participants are in a listen only mode. After the speakers' remarks, there will be a question and answer session. I would now like to turn the call over to Ari Daines, Senior Vice President, Investor Relations and Treasury. Please go ahead. Spea ...

Company Performance - Madison Square Garden Entertainment (MSGE) reported quarterly earnings of $0.33 per share, exceeding the Zacks Consensus Estimate of $0.25 per share, and showing a significant increase from earnings of $0.06 per share a year ago, representing an earnings surprise of 32% [1] - The company posted revenues of $242.47 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 4.94%, and an increase from year-ago revenues of $228.31 million [2] - Over the last four quarters, MSGE has surpassed consensus EPS estimates three times and topped consensus revenue estimates three times as well [2] Stock Performance and Outlook - MSGE shares have declined approximately 4.6% since the beginning of the year, compared to a decline of 3.9% for the S&P 500 [3] - The company's earnings outlook is mixed, with the current consensus EPS estimate for the coming quarter at -$0.39 on revenues of $175.19 million, and $1.04 on revenues of $952.32 million for the current fiscal year [7] - The current Zacks Rank for MSGE is 3 (Hold), indicating that the shares are expected to perform in line with the market in the near future [6] Industry Context - The Media Conglomerates industry, to which MSGE belongs, is currently ranked in the bottom 43% of over 250 Zacks industries, suggesting that the outlook for the industry can significantly impact stock performance [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

MAY 2025 FORWARD LOOKING STATEMENTS AND MARKET DATA Madison Square Garden Entertainment Corp. (the "Company" or "MSG Entertainment") has filed with the Securities and Exchange Commission an Annual Report on Form 10-K for the year ended June 30, 2024 (the "Annual Report") and Quarterly Reports on Form 10-Q for the quarters ended September 30, 2024, December 31, 2024 and March 31, 2025 (the "Quarterly Reports"). The Annual Report and the Quarterly Reports contain extensive disclosure about the Company and its ...

Financial Performance - FY25 third quarter revenues reached $242.5 million, an increase of 6% compared to the prior year quarter[3] - FY25 third quarter operating income was $27.3 million, reflecting a 63% year-over-year increase[3] - Adjusted operating income for FY25 third quarter was $57.9 million, up 50% from the prior year quarter[3] - Revenues from entertainment offerings increased by $14.0 million, or 10%, to $160.2 million in FY25 third quarter[6] - The Christmas Spectacular production revenues increased by $4.9 million, primarily due to higher ticket-related revenues[12] - Total revenues for the three months ended March 31, 2025, increased to $242.465 million, up from $228.313 million in the same period of 2024, representing a growth of 6.3%[24] - Net income for the three months ended March 31, 2025, was $8.036 million, compared to $2.795 million in the same period of 2024, reflecting a significant increase of 187.5%[24] - Adjusted operating income for the three months ended March 31, 2025, was $57.871 million, up from $38.537 million in the same period of 2024, marking a growth of 50.4%[27] - Basic earnings per share for the three months ended March 31, 2025, was $0.17, compared to $0.06 for the same period in 2024, reflecting an increase of 183.3%[24] Cash and Assets - Cash, cash equivalents, and restricted cash at the end of the period on March 31, 2025, totaled $89.474 million, a substantial increase from $33.555 million at the beginning of the period[32] - Total current assets increased to $307.594 million as of March 31, 2025, compared to $219.084 million as of June 30, 2024, representing a growth of 40.4%[30] - The company reported a net cash provided by operating activities of $142.308 million for the nine months ended March 31, 2025, compared to $111.054 million for the same period in 2024, indicating a growth of 28.1%[32] Debt and Liabilities - Long-term debt, net of deferred financing costs, was $577.409 million as of March 31, 2025, down from $599.248 million as of June 30, 2024, indicating a reduction of 3.0%[30] - Total liabilities as of March 31, 2025, were $1,729.886 million, compared to $1,575.872 million as of June 30, 2024, representing an increase of 9.8%[30] Share Repurchase - The company repurchased approximately $15 million of its Class A common stock in March 2025, totaling $40 million year-to-date[15][16] - The company has approximately $70 million remaining under its existing share repurchase authorization[16] Operational Efficiency - Direct operating expenses associated with entertainment offerings decreased by $5.0 million, or 4%, to $108.0 million in FY25 third quarter[8] - The company remains on track to deliver solid adjusted operating income growth for the fiscal year[3] - The company incurred impairment of long-lived assets amounting to $9.700 million for the three months ended March 31, 2025[27]

Core Insights - Madison Square Garden Entertainment Corp. announced the appointment of David Collins as Executive Vice President and Chief Financial Officer, effective April 14, 2025 [1][2] Company Overview - Madison Square Garden Entertainment Corp. is a leader in live entertainment, operating renowned venues such as Madison Square Garden, Radio City Music Hall, and The Chicago Theatre, hosting a variety of events for millions annually [6] Leadership and Experience - David Collins brings over 30 years of diverse financial experience, having previously served as CFO and Executive Vice President at Harris Blitzer Sports and Entertainment, overseeing finance and operations for major sports teams and venues [3][4] - Collins has held senior financial positions across various industries, including sports, entertainment, energy, and transportation, and began his career as a senior auditor at Ernst & Young [4][5] Strategic Role - In his new role, Collins will collaborate with the executive management team to provide strategic financial insights and oversee financial planning, analysis, and investor relations [2][3]

Core Insights - Madison Square Garden Entertainment Corp., Madison Square Garden Sports Corp., and Sphere Entertainment Co. have announced a partnership with Liquid Death, designating the beverage company as an Official Partner across their premier sports and entertainment assets [1][2][3] Group 1: Partnership Details - Liquid Death will have a significant brand presence as the Official Sparkling Water Partner across various venues, including Madison Square Garden, Radio City Music Hall, and Sphere in Las Vegas [2][3] - The partnership includes Liquid Death being the Official Iced Tea Partner for several venues, with products available at select concession stands [2][4] - Liquid Death will conduct sweepstakes in collaboration with the MSG Family of Companies' iconic properties [4] Group 2: Brand Engagement and Marketing - The partnership allows Liquid Death to engage with fans through interactive initiatives and bold campaigns, including exposure on the Exosphere, the largest LED screen in the world [3][5] - As the Official Sparkling Water Partner of the New York Rangers, Liquid Death will be featured on GardenVision during home games and will have sampling opportunities for fans [5] Group 3: Company Backgrounds - Madison Square Garden Entertainment Corp. is a leader in live entertainment, operating renowned venues and hosting a variety of events annually [6] - Madison Square Garden Sports Corp. manages professional sports teams, including the New York Knicks and New York Rangers, and operates a training center [7] - Sphere Entertainment Co. focuses on redefining entertainment through innovative technologies, with its first venue opening in Las Vegas in September 2023 [8] Group 4: Liquid Death Overview - Liquid Death is one of the fastest-growing non-alcoholic beverage brands, known for its unique marketing approach that combines health and sustainability [9] - The brand offers a range of products, including mountain water and iced tea, packaged in recyclable cans, and supports initiatives to combat plastic pollution [9]