Companies

Seaport Entertainment Posts First Adjusted Profit in Two Years

The Tip Desk · August 5, 2026 · 3 min read

Non-GAAP adjusted net income attributable to common stockholders was $0.32 million, or $0.02 a share, after a $17.88 million adjusted loss in the first quarter.

Seaport Entertainment Group (SEG), the entertainment and hospitality company that owns and develops assets in New York City and Las Vegas, reported non-GAAP adjusted net income attributable to common stockholders of $0.32 million, or $0.02 a share, for the three months ended June 30, 2026, a 104.3% year-over-year improvement from a $7.42 million adjusted loss a year earlier.

That swing reversed the first-quarter trajectory, when the adjusted loss was $17.88 million, or $1.41 a share. President and Chief Executive Officer Matt Partridge said the second quarter was the company’s strongest to date, with each business segment profitable for the first time in its two-year history.

Total revenues were $34.29 million, down 13.8% from $39.80 million a year earlier. That decline was slower than the 20.7% year-over-year drop to $12.74 million in the first quarter. Net loss attributable to common stockholders narrowed 29.2% to $10.46 million, or $0.82 a share, from $14.77 million, or $1.16 a share, a year earlier. Operating loss narrowed to $11.10 million from $16.01 million.

Hospitality revenue fell to $7.02 million from $15.18 million a year earlier, and hospitality costs fell to $6.87 million from $17.85 million. Entertainment revenue was $19.64 million versus $19.91 million a year earlier, with entertainment costs of $16.06 million versus $15.28 million. Rental revenue rose to $7.05 million from $4.23 million. Other revenue was $578 thousand.

Lease termination fee income was $2.09 million in the quarter, versus $190 thousand a year earlier. On April 28, 2026, the company and Nike entered into a lease termination agreement that accelerated the end of the Pier 17 lease to April 30, 2026. Nike paid the remaining contractual termination balance plus a separately negotiated $1.7 million discounted rent payment, for $3.7 million in accelerated rent and termination fees in total. The company regained possession of the space and began buildout of the Pier 17 Event Space.

The company opened Sadie’s and Sadie’s Garden Bar in the Seaport, with Sadie’s Garden Bar generating a 125% increase in year-over-year revenue compared with non-SEG-managed operations in the prior year. It hosted the 50th annual Macy’s 4th of July Fireworks at the Seaport as part of America’s 250th anniversary celebrations. The Las Vegas Aviators clinched a spot in the 2026 Pacific Coast League Playoffs, their second consecutive appearance in the MiLB Triple-A Playoffs. Leased or programmed occupancy of the Seaport neighborhood was 89%.

As of June 30, 2026, cash, cash equivalents and restricted cash stood at $127.0 million, and debt outstanding was $38.1 million at a fixed rate of 4.9%, asset-specific and maturing in 2038. In February 2026, the company completed the sale of the 250 Water Street development site for $143.0 million, generating net proceeds of $76.1 million after repaying $61.3 million of variable-rate debt and closing costs. It executed a five-year lease with Lux Entertainment to open the U.S. flagship of Balloon Museum in the Tin Building and announced a 10-year management and lease agreement with Public Service.

Partridge said the upcoming opening of Balloon Museum, the Aviators’ playoff positioning, and a pipeline of new concepts in New York and Las Vegas were building momentum.