Madison Square Garden Entertainment Posts First-Quarter Profit

The Tip Desk · November 11, 2026 · 2 min read

Revenue reached $217.1 million, up 37%, as adjusted operating income rose to $34.3 million from $7.1 million a year earlier.

Madison Square Garden Entertainment Corp. (MSGE) reported fiscal 2027 first-quarter revenue of $217.1 million for the three months ended September 30, 2026, up $58.9 million, or 37%, from the year-ago quarter, as a record number of concerts at Madison Square Garden Arena lifted the live-entertainment slate.

Operating income was $9.7 million, a $39.5 million swing from a $29.7 million loss a year earlier. The company said the year-ago quarter included a $13.8 million impairment of long-lived assets and $1.2 million of restructuring charges that did not recur. Adjusted operating income was $34.3 million, up $27.2 million from $7.1 million.

Entertainment offerings generated $174.9 million, up $43.5 million, or 33%. Concert revenues increased $30.1 million on more shows at The Garden and higher per-concert revenue, partially offset by fewer concerts at the company’s theaters. Other live entertainment and sporting events added $11.2 million on more events and higher per-event revenue. Arena license fees and other leasing were $6.6 million, up $2.5 million, or 60%, due to higher other leasing.

Food, beverage and merchandise revenues were $35.7 million, up $12.9 million, or 56%, primarily from $12.5 million of higher food and beverage sales at concerts. Direct operating expenses for entertainment offerings, arena license fees and other leasing were $107.6 million, up $19.1 million, or 22%. Food, beverage and merchandise direct operating expenses were $19.1 million, up $5.3 million, or 39%. Selling, general and administrative expenses were $66.9 million, up $10.3 million, or 18%, primarily from higher employee compensation and related benefits.

Net income was $8.9 million, or $0.19 a share, versus a $21.7 million loss, or $0.46 a share, a year earlier.

Cash, cash equivalents and restricted cash ended the quarter at $194.2 million, down $99.9 million from $294.2 million at June 30, 2026. Operating activities used $26.2 million of cash and financing activities used $60.6 million, including about $25 million of Class A share repurchases that brought total buybacks since the 2023 spin-off to about $230 million. Deferred revenue was $311.0 million at September 30, 2026, up from $284.6 million at June 30.

After quarter-end, the Knicks and Rangers began their 2026-27 regular seasons at The Garden. The Christmas Spectacular at Radio City Music Hall is scheduled for 231 performances versus 215 in fiscal 2026. Executive Chairman and CEO James L. Dolan said the company expects live entertainment offerings to continue benefiting from healthy demand and that it remains well positioned to drive robust growth in both revenue and adjusted operating income this fiscal year.