Madison Square Garden Q4 Earnings Exceed Expectations with $204M Revenue, Narrow Loss of $1.8M

Madison Square Garden Co. reported a fiscal Q4 loss of $1.8 million, beating analyst expectations of a loss of 42 cents per share. Revenue was $204 million, exceeding forecasts of $165.7 million. For the year, the company reported a loss of $22.4 million and revenue of $1.04 billion.

Madison Square Garden Sports Corp. (NYSE: MSGS) reported its fiscal fourth-quarter results, which included a loss of $0.07 per share, beating analyst expectations of a loss of $0.14 per share [1]. Revenue for the quarter came in at $204 million, significantly exceeding the consensus estimate of $164.25 million, but down 10% from $227.3 million in the same quarter last year [1].

The revenue decline was primarily attributed to lower playoff-related revenues, as the Rangers failed to qualify for the playoffs this year compared to playing eight home playoff games last year. This was partially offset by the Knicks’ deep playoff run to the Eastern Conference Finals, which included nine home playoff games [1].

For the full fiscal year 2025, MSG Sports generated revenues of $1.04 billion, a slight increase of 1% YoY, while operating income fell 90% to $14.8 million compared to $146 million in the prior year [2].

The company also noted that in June, it amended media rights agreements with MSG Networks (NYSE: MSGN), which included reductions in annual rights fees payable to the Knicks and Rangers by 28% and 18% respectively, effective January 1, 2025 [1].

Despite the mixed results, the company's shares edged up 0.58% in after hours trading following the results [1]. The stock experienced a pre-market increase of 1.46%, trading at $205.44, but closed down 1.32% at $202.48 [2]. This mixed reaction reflects investor caution, balancing the strong earnings performance with concerns over future expenses and declining year-over-year revenues [2].

Looking forward, MSGS anticipates revenue growth across in-arena categories in fiscal 2026, driven by new media rights deals and strategic partnerships. The company expects higher team operating expenses, aligned with increased salary caps in the NBA and NHL [2].

References:
[1] https://www.investing.com/news/earnings/madison-square-garden-sports-stock-edges-up-as-q4-revenue-tops-estimates-93CH-4184862
[2] https://www.investing.com/news/transcripts/earnings-call-transcript-msgs-q4-2025-beats-expectations-with-strong-revenue-93CH-4185616