NEW YORK, Jan. 10, 2025 /PRNewswire/ -- MSG Networks released the following statement about their dispute with Altice USA: "Altice USA has pulled their last proposal and walked away from negotiations to bring MSG Networks back to its Optimum subscribers. They also just dropped WPIX Channel 11 in New York and other local stations around the country. If you have been waiting, like we have, for them to do right by their customers – don't wait any longer. Now is the time to switch to Verizon Fios who has a spec ...

BURBANK, Calif., Jan. 8, 2025 /PRNewswire/ -- Sphere Entertainment Co. (NYSE: SPHR) announced today that Robert Langer, a seasoned financial leader with over 30 years of experience, will join the Company as Executive Vice President, Chief Financial Officer and Treasurer, effective January 13. In this role, Mr. Langer will work closely with Sphere Entertainment's management team to support the long-term direction of the Company. He will provide strategic financial insight on all facets of the business, from ...

Financial Data and Key Metrics Changes - For Q1 fiscal 2025, the company generated total revenues of approximately $228 million and reported an adjusted operating loss of $10.2 million [16] - The Sphere segment generated revenues of approximately $127 million with an adjusted operating loss of $26.3 million [16] - SG&A expenses for the first quarter were $105 million, reflecting the infrastructure built to support a global network of Spheres [19] Business Line Data and Key Metrics Changes - The original content category within the Sphere experience generated approximately $71 million in revenue across 207 shows [16] - MSG Networks generated $100.8 million in revenues and $16.1 million in adjusted operating income, representing decreases of 9% and 36% respectively compared to the prior year [20] Market Data and Key Metrics Changes - The Sphere in Las Vegas welcomed over 800,000 guests to 225 events during the quarter [16] - The company is seeing positive momentum in advertising campaigns on the Exosphere, particularly in the last few months of the calendar year [18] Company Strategy and Development Direction - The company aims to redefine the live entertainment experience and is focused on optimizing its operating model to maximize revenue while enhancing guest experience [7][10] - Plans to expand globally include a second Sphere venue in Abu Dhabi, which will be funded by the local government and will utilize the company's intellectual property [8][9] - The company is actively developing future productions and plans to introduce new experiences in 2025 [11] Management's Comments on Operating Environment and Future Outlook - Management acknowledges structural issues in Exosphere advertising but is optimistic about improvements and seasonal strength in the upcoming months [24][25] - The company is confident in the long-term outlook for its next-generation medium and is focused on expanding its global footprint [14] Other Important Information - As of September 30, the company had approximately $540 million in unrestricted cash and cash equivalents, with a debt balance of approximately $1.36 billion [21] - MSG Networks is pursuing a refinancing through a workout with its lenders, with a forbearance agreement in place until November 26 [22] Q&A Session Summary Question: Concerns about Exosphere advertising performance - Management identified structural issues and seasonal factors affecting advertising performance but is making progress in understanding and improving the product [24][25] Question: Performance of the immersive concert VU2 - Management views VU2 as a viable product and is still figuring out the best programming and marketing strategies [27][29] Question: Impact of Abu Dhabi agreement on partner conversations - Management is optimistic that the Abu Dhabi deal will catalyze future Sphere announcements and expansion into other markets [31][32] Question: Revenue opportunities from residencies in Las Vegas - Management focuses on maximizing revenue through side-by-side events rather than a fixed number of residencies [38][40] Question: Revenue structure for the Abu Dhabi Sphere - Revenue streams will include both fixed and variable components, with franchise fees and royalties for IP usage [43] Question: Timing for the next original production - Management is not disclosing specific details but assures that the upcoming production will be significant [47] Question: Update on MSG Networks' debt restructuring - Management confirmed the extension of the forbearance period to negotiate a restructuring agreement [48] Question: Timing for Abu Dhabi Sphere construction and opening - Management has not disclosed specific timelines but is focused on preopening services [51]

Sphere Entertainment (SPHR) came out with a quarterly loss of $2.95 per share versus the Zacks Consensus Estimate of a loss of $3.32. This compares to earnings of $1.90 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 11.14%. A quarter ago, it was expected that this company would post a loss of $2.47 per share when it actually produced a loss of $2, delivering a surprise of 19.03%.Over the last four quarters, the company has su ...

Sphere Venue Operations and Expansion - Sphere segment's first venue in Las Vegas opened in September 2023, accommodating up to 20,000 guests and featuring The Sphere Experience, concerts, residencies, and marquee sports events[149] - Sphere Studios supports production with a 68,000-square-foot development facility and a 28,000-square-foot custom dome for immersive content creation[149] - Sphere's Exosphere features nearly 580,000 square feet of programmable LED paneling, the largest LED screen in the world[149] - Sphere Entertainment plans to open a second Sphere venue in Abu Dhabi, UAE, in collaboration with DCT Abu Dhabi[149] - The Company opened Sphere in Las Vegas in September 2023, expecting it to generate substantial revenue and adjusted operating income on an annual basis over time[201] - The Company and DCT Abu Dhabi announced plans to bring the world's second Sphere to Abu Dhabi in October 2024, with DCT Abu Dhabi funding construction and paying a franchise initiation fee[202] - Sphere's operating results rely on the success of original immersive productions and the ability to attract guests and artists to its venues[154] - The Company anticipates that Sphere in Las Vegas will generate significant revenue from various streams, including immersive productions, advertising, and concert residencies[201] MSG Networks Operations - MSG Networks operates regional sports networks and a DTC streaming product, MSG+, now part of the Gotham Sports streaming joint venture with YES Network[150] - MSG Networks broadcasts exclusive live games of NBA and NHL teams, including the New York Knicks and New York Rangers[150] - MSG Networks revenues decreased by $9.387 million (9%), primarily due to a 13% decrease in total subscribers, partially offset by higher affiliation rates[186] - MSG Networks direct operating expenses increased by $553,000 (1%), driven by higher rights fees expense[187] - MSG Networks made a $20,625 required quarterly amortization payment in September 2024[194] - The interest rate on the MSGN Term Loan Facility as of September 30, 2024 was 9.00%[208] Financial Performance and Expenses - Revenues increased by $109.9 million (93%) to $227.9 million for the three months ended September 30, 2024, compared to the same period in 2023[157] - Direct operating expenses increased by $55.2 million (65%) to $139.7 million, primarily due to higher costs associated with Sphere in Las Vegas[157][158] - Depreciation and amortization increased by $67.7 million, driven by assets related to Sphere in Las Vegas placed in service in Q1 2024[159] - Interest expense increased by $26.9 million due to the discontinuation of interest capitalization and the issuance of 3.50% Convertible Senior Notes in December 2023[163] - Adjusted operating loss improved by $47.7 million (82%) to $10.2 million, reflecting better performance in the Sphere segment[168][169] - Sphere segment revenues increased by $119.3 million, driven by 192 performances of The Sphere Experience and 15 performances of V-U2 An Immersive Concert Film[171][174] - Event-related revenues increased by $36.8 million due to a full quarter of concerts and marquee events at Sphere in Las Vegas[175] - Income tax benefit for Q3 2024 was $33.0 million, reflecting an effective tax rate of 24%, higher than the statutory federal rate due to state and local tax benefits[166] - Restructuring charges decreased by $2.5 million (73%) to $913, primarily due to lower termination benefits compared to the prior year[161] - The Company recognized impairment and other losses of $4.0 million, compared to gains of $1.5 million in the prior year, related to fixed assets at Sphere Las Vegas[160] - Revenues increased due to higher Exosphere advertising revenues and suite license fee revenues, reflecting a full quarter of operations compared to a partial quarter in the prior year[176] - Other revenues increased primarily due to the acquisition of Holoplot GmbH in April 2024[177] - Direct operating expenses increased by $54.644 million, driven by higher venue and event-related expenses, including 192 performances of The Sphere Experience and 15 performances of V-U2[178] - Selling, general, and administrative expenses increased by $20.8 million, primarily due to higher employee compensation and related benefits[179] - Depreciation and amortization increased by $67.461 million, mainly due to assets related to Sphere in Las Vegas placed in service at the end of Q1 2024[180] - Operating loss increased by $26.634 million, driven by higher depreciation, direct operating expenses, and selling, general, and administrative expenses[183] - Adjusted operating income improved by $56.768 million, primarily due to increased revenues, partially offset by higher operating expenses[184] Debt and Liquidity Management - The company's unrestricted cash and cash equivalents balance was $539.630 million as of September 30, 2024, with $158.022 million in advance cash proceeds from ticket sales[192] - The principal balance of the Company's total debt outstanding as of September 30, 2024 was $1,362,875, including $829,125 of debt under the MSG Networks Credit Facilities[194] - The total leverage ratio as of September 30, 2024 was 5.39:1.00, and the interest coverage ratio was 2.05:1.00[209] - The LV Sphere Term Loan Facility has an interest rate of 9.57% as of September 30, 2024 and will mature on December 22, 2027[214][215] - Historical and prospective debt service coverage ratios as of September 30, 2024 were 7.21:1.00 and 8.50:1.00, respectively, exceeding the required minimum of 1.35:1.00[216] - The minimum liquidity level for Sphere Entertainment Group is set at $50,000, with $25,000 required to be held in cash or cash equivalents[216] - The company completed a private offering of $258.75 million in aggregate principal amount of 3.50% Convertible Senior Notes on December 8, 2023[219] - The 3.50% Convertible Senior Notes bear interest at 3.50% per year, payable semi-annually, and mature on December 1, 2028[222] - Cash, cash equivalents, and restricted cash totaled $553.217 million as of September 30, 2024, a decrease of $20.016 million compared to June 30, 2024[232] - Net cash from operating activities for Q3 2024 increased by $128.735 million year-over-year, driven by higher collections from customers and fewer payments to vendors[233] - Net cash from investing activities for Q3 2024 decreased by $86.084 million year-over-year, primarily due to the absence of $256.501 million from the sale of MSGE Retained Interest in the prior year[234] - Net cash from financing activities for Q3 2024 decreased by $86.476 million year-over-year, primarily due to the absence of $65 million from the Delayed Draw Term Loan Facility in the prior year[235] - MSGN L.P. entered into a Forbearance Agreement with lenders, extending the Forbearance Period to November 26, 2024[207] Goodwill and Financial Risk Management - Total goodwill as of September 30, 2024 was $470.152 million, with $45.644 million attributed to Sphere and $424.508 million to MSG Networks[238] - The company elected to perform a qualitative assessment of goodwill impairment for both reporting units during Q3 2024, considering macroeconomic conditions, industry trends, and financial performance[239] - The company's reporting units had sufficient safety margins with fair value exceeding carrying value by more than 10%[240] - A hypothetical 200 basis point increase in floating interest rates would increase the company's interest payments by $22,083[243] - The GBP/USD exchange rate fluctuated by approximately 5.53% during the 12 months ended September 30, 2024[244] - A 10% fluctuation in the GBP/USD exchange rate would result in a change of approximately $3,600 in the company's net asset value[244] - The EUR/USD exchange rate fluctuated by approximately 5.43% during the 12 months ended September 30, 2024[245] - A 10% fluctuation in the EUR/USD exchange rate would result in a change of approximately $250 in the company's net asset value[245] - The company may reduce foreign currency translation risk by entering into foreign currency forward exchange contracts[246] - The company does not plan to enter into derivative financial instrument transactions for speculative purposes[246] Share Repurchase and Strategic Investments - The Company's Board of Directors authorized a share repurchase program of up to $350,000 of Class A Common Stock, with no shares repurchased to date[200] - The Company is exploring opportunities to expand its presence in the entertainment industry, with new investments potentially contributing to long-term success[155]

SPHERE ENTERTAINMENT CO. REPORTS FISCAL 2025 FIRST QUARTER RESULTS NEW YORK, N.Y., November 12, 2024 - Sphere Entertainment Co. (NYSE: SPHR) ("Sphere Entertainment" or the "Company") today reported financial results for the fiscal first quarter ended September 30, 2024. Recent Sphere operating highlights include: • In October, the Company and the Department of Culture and Tourism – Abu Dhabi ("DCT Abu Dhabi") announced plans to make Abu Dhabi the next Sphere location under a franchise model; • The Company a ...

NEW YORK, Nov. 12, 2024 /PRNewswire/ -- Sphere Entertainment Co. (NYSE: SPHR) ("Sphere Entertainment" or the "Company") today reported financial results for the fiscal first quarter ended September 30, 2024.Recent Sphere operating highlights include: In October, the Company and the Department of Culture and Tourism – Abu Dhabi ("DCT Abu Dhabi") announced plans to make Abu Dhabi the next Sphere location under a franchise model; The Company announced new multi-year marketing partnerships with Verizon and DCT ...

Group 1 - Sphere Entertainment Co. will host a conference call on November 12, 2024, to discuss its fiscal first quarter results for the period ending September 30, 2024 [1] - The company will issue a press release with the results prior to the market opening on the same day [1] - Participants can join the call via telephone or webcast, with a recording available for those unable to attend live [2] Group 2 - Sphere Entertainment Co. is a leading live entertainment and media company, featuring innovative technologies to enhance the entertainment experience [3] - The first Sphere venue was launched in Las Vegas in September 2023, marking a significant development in the company's offerings [3] - The company also operates MSG Networks, which includes regional sports and entertainment networks, and a streaming service, MSG+, providing diverse live sports content [3]

The market expects Sphere Entertainment (SPHR) to deliver a year-over-year decline in earnings on higher revenues when it reports results for the quarter ended September 2024. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.The earnings report might help the stock move higher if these key numbers are better than expectations. On the other han ...

NEW YORK and ABU DHABI, United Arab Emirates, Oct. 15, 2024 /PRNewswire/ -- Sphere Entertainment Co. (NYSE: SPHR) ("Sphere Entertainment") and the Department of Culture and Tourism – Abu Dhabi ("DCT Abu Dhabi") announced today that they will work together to bring the world's second Sphere to Abu Dhabi, United Arab Emirates. This next-generation entertainment medium is expected to be a landmark addition to this premier international capital city, elevating the entertainment offerings for residents and visit ...