Madison Square Garden Sports Corp.MSGS

Madison Square Garden Sports Corp. Segments Disclosure

10-KFiled Aug 12, 20252 min read
Segment Information
The Company operates as one operating segment. The Company’s CODM is its Executive Chairman and Chief Executive Officer, who reviews financial information presented on a consolidated basis. The CODM uses consolidated net (loss) income to assess financial performance and allocate resources. Consolidated net (loss) income is used by the CODM to make key operating decisions, such as entering into significant contracts, setting strategic objectives for the Company, and approving annual operating budgets, including approving significant investments in team personnel, and other key executive leadership positions. The CODM does not review segment assets at a different asset level or category than those disclosed in the accompanying consolidated balance sheets.
The following table presents selected financial information with respect to the Company’s single operating segment for the years ended June 30, 2025, 2024 and 2023:
Years Ended June 30,
202520242023
Revenues
$1,039,220 $1,027,149 $887,447 
Significant segment expenses:
Ticketing and sponsorship sales related expenses (a)
(64,272)(62,347)(62,651)
Marketing & event-related expenses (b)
(58,037)(65,993)(60,392)
Corporate & administrative (c)
(113,142)(102,482)(92,071)
Operating lease expenses and other rental expenses associated with the Arena License Agreements (d)
(69,337)(69,288)(69,749)
Team operating expenses (e)
(508,295)(380,027)(365,016)
Depreciation and amortization(3,218)(3,164)(3,577)
Interest income4,034 2,787 2,392 
Interest expense(21,652)(27,589)(22,884)
Miscellaneous (expense) income, net(14,462)(15,568)25,239 
Income tax expense(5,166)(46,897)(44,293)
Other segment items (f)
(208,111)(197,810)(148,817)
Net (loss) income$(22,438)$58,771 $45,628 
_________________
(a)     Ticketing and sponsorship sales related expenses consist of (i) expenses related to selling tickets to our sports teams’ home games and primarily include employee compensation and related benefits, credit card fees, and other general and administrative expenses, and (ii) fees related to the Company’s Sponsorship Sales and Service Representation Agreements and sponsorship fulfillment costs. See Note 17 for further details related to the Sponsorship Sales and Service Representation Agreements.
(b)     Marketing & event-related expenses primarily relate to marketing and production expenses and services provided to the Company by MSG Entertainment pursuant to the Arena License Agreements.
(c)     Corporate & administrative expenses include certain selling, general, and administrative costs.
(d)     Operating lease expenses and other rental expenses associated with the Arena License Agreements primarily consist of operating lease costs, commercial rent tax, and other expenses associated with the Arena License Agreements. See Note 17 for further details related to the Arena License Agreements.
(e)     Team operating expenses primarily consist of team personnel compensation (net of escrow), NBA luxury tax, expenses associated with day-to-day team operations, including for travel, player insurance, and operating costs of the Company’s training center in Greenburgh, NY.
(f)     Other segment items primarily consist of net provisions for league revenue sharing expense (excluding playoffs), league assessments, playoff related expenses, cost of goods sold and commission expense related to merchandise revenues, and share-based compensation expense.

Historical Timeline

Fiscal YearFiled
2025Aug 12, 2025Showing above
2019Aug 20, 2019
2018Aug 17, 2018
2017Aug 17, 2017
2016Aug 19, 2016

About Segments Disclosures

Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.

Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.

Other Available Disclosures

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