MSG Entertainment (MSGE) investor relations material

Executive summary

• Fiscal 2026 revenues reached $1.1 billion, up 13% year-over-year, with adjusted operating income of $262.2 million, driven by robust demand for live events, record-setting Christmas Spectacular sales, and a Knicks NBA championship.

• Approximately 6.4 million guests attended nearly 960 live events, including concerts, sports, and family shows.

• Completed spin-off in April 2023, establishing a pure-play live entertainment company with iconic venues and brands.

• Maintains long-term arena license agreements with MSG Sports, securing recurring revenue from marquee sports franchises.

• Owns the enduring Christmas Spectacular brand, a major driver of attendance and revenue.

Financial highlights

• Q4 2026 revenues reached $196.3 million, up 27% year-over-year, with entertainment, food, beverage, and merchandise all contributing.

• Q4 adjusted operating income was $18.6 million, a $19.9 million improvement from a $1.3 million loss in the prior year.

• Fiscal 2026 revenue was $1,060.8 million, with a diversified base: 50% ticketing/venue fees, 26% sponsorship/suites, 15% food/beverage/merchandise, 8% arena license agreements.

• Net income for the year was $37.4 million, compared to $66.2 million in the prior year.

• Cash and equivalents at year-end were $294.2 million, up from $43.5 million a year earlier.

Outlook and guidance

• Fiscal 2027 is expected to see continued growth in event volume, per-event profitability, and record Christmas Spectacular performance.

• Bookings for The Garden are nearly 90% to goal, with concert growth expected to lead gains.

• Management expects continued solid growth in adjusted operating income for fiscal 2027 and remains confident in delivering long-term shareholder value.

• Anticipates strong free cash flow, driven by growing AOI and offset by interest, capex, and working capital timing.

• Ongoing capital return potential, with $45 million remaining under share repurchase authorization.