NEW YORK, N.Y., February 7, 2023 – Madison Square Garden Sports Corp. (NYSE: MSGS) today reported financial results for the fiscal second quarter ended December 31, 2022.
The New York Knicks (“Knicks”) and New York Rangers (“Rangers”) began their 2022-23 regular seasons in October at the Madison Square Garden Arena (“The Garden”). The Company has continued to experience positive operating momentum across its key revenue categories driven by sustained consumer and corporate demand. For the fiscal 2023 second quarter, average per-game revenues for tickets, suites, sponsorship and food, beverage and merchandise all exceeded results for the prior year period. In addition, local and national media rights fees were higher, primarily due to contractual rate increases.
During the fiscal 2023 second quarter, the Company implemented its plan to return approximately $250 million to shareholders, in light of the Company’s strong financial performance in fiscal 2022 and the trading price of its common stock relative to the intrinsic value of its professional sports teams. The return consisted of a special cash dividend of $7.00 per share (approximately $173 million) and a $75 million accelerated share repurchase (“ASR”) program, which the Company completed in January 2023.
For the fiscal 2023 second quarter, the Company generated revenues of $353.7 million, an increase of $64.1 million, or 22%, as compared to the prior year period. In addition, the Company reported operating income of $51.5 million, an increase of $15.6 million, or 43%, and adjusted operating income of $76.6 million, an increase of $21.0 million, or 38%, both as compared to the prior year period.(1)
Madison Square Garden Sports Corp. Executive Chairman James L. Dolan said, “Our second quarter results reflect ongoing positive momentum across all key areas of our business following last year’s robust financial performance. We are confident in the strength of our sports franchises and our ability to generate long-term value for shareholders.”