NEW YORK (CelebrityAccess) — The Madison Square Garden Company announced that there was little change in its financial position in the second fiscal quarter of 2020, ahead of the planned spinoff of its sports and entertainment divisions.
According to its quarterly financial filing, MSG generated revenues of $628.8 million for the quarter, down by 1% when compared against the same period in 2019.
For Q2, MSG reported an operating income of $80.8 million, an increase of 3%, while adjusted operating income slid to $126.9 million, a decrease of 3%, both as compared to the prior-year quarter.
The company attributed its relatively flat performance for the quarter to lower revenue from concerts, along with decreases in signage and sponsorships with its sports division and the expiration of the booking agreement with the Wang Theatre in Boston Entertainment.
MSG’s Entertainment division also saw little movement on the bottom line. The division reported revenue of $312.7 million, off by about 1% year-over-year, driven by lower event-related revenues from concerts, as well as the impact of the wind-down of Obscura Digital’s third-party production business and the expiration of the booking agreement with the Wang Theatre.
The division’s operating income increased by $2.3 million to $95.5 million and adjusted operating income increased by $2.5 million to $103.6 million for the quarter when compared against results from the previous year.
Revenue for MSG Sports dipped slightly to $316.5 million for the quarter, a decline of about 1% from last year’s Q2 results.
MSG Sports revenues of $316.5 million increased less than 1% as compared to the prior-year period. Second-quarter operating income increased by $7.3 million to $49.2 million and adjusted operating income increased by $6.7 million to $55.3 million when measured against Q2 2019.
“We are making significant progress in readying our Company for its next chapter as the proposed spin-off of our Entertainment business nears completion and MSG Sphere in Las Vegas continues to take shape. We remain confident that the execution of these strategic priorities, coupled with the ongoing strength of our underlying businesses, will set the stage for continued growth and long-term value creation for our shareholders,” said MSG Executive Chairman and CEO James L. Dolan.