Sphere Entertainment Q3 revenue beats estimates on advertising and sponsorships
Overview
Immersive experiences firm's Q3 revenue rose 4%, beating analyst expectations
Adjusted operating income for Q3 rose 8% year-over-year
Revenue growth driven by more Sphere performances and higher concert, advertising, and sponsorship revenues
Outlook
Company expects The Rocky Horror Picture Show to debut at Sphere by end of March 2027
Company highlights new and extended concert residencies at Sphere through 2027
Company says it is making progress on plans for a global network of Sphere venues
Result Drivers
MORE PERFORMANCES - Co said revenue growth was driven by an increase in the number of Sphere Experience performances and higher per-show revenue
CONCERTS - Higher event-related revenue attributed to more concert residency shows at Sphere in Las Vegas
ADVERTISING AND SPONSORSHIPS - Increase in Exosphere advertising, sponsorship and suite license fee revenues contributed to overall revenue growth
Company press release:
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Beat | $274.30 mln | $268.38 mln (10 Analysts) |
Q3 Net Loss | $176.04 mln | ||
Q3 Adjusted Operating Income | $39.20 mln | ||
Q3 Operating Expenses | $143.09 mln | ||
Q3 Operating Income | -$240.60 mln |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 11 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the leisure & recreation peer group is "buy"
Wall Street's median 12-month price target for Sphere Entertainment Co. is $159.00, about 46.1% above its November 4 closing price of $108.85
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)