Madison Square Garden (MSGS) Q1 2026 Earnings Report

Madison Square Garden Sports Corp (MSGS) reported a notably weak QQ1 2026 quarter, with revenue of $39.454 million and a net loss of $8.798 million, accompanied by negative EBITDA of $22.133 million. The quarter highlights aggressive fixed-cost leverage, with selling, general, and administrative expenses totaling $57.789 million against revenue of $39.454 million, creating a substantial operating loss and a -0.561 EBITDA ratio. Cash flow was deeply negative, as operating activities consumed $84.954 million and free cash flow was negative $85.325 million, driving a harsh liquidity backdrop despite a closing cash position of $57.276 million. On the balance sheet, total liabilities stood at roughly $1.811 billion with negative stockholders’ equity of about $294.178 million and net debt of $1.150 billion, underscoring meaningful financial risk and leverage amid an environment where top-line growth is elusive for this quarter.

The results underscore the company’s exposure to cyclicality in professional sports and venue/entertainment monetization, along with significant fixed-cost gravity. Absent a material uplift in franchise revenues (Knicks, Rangers) or a favorable shift in media rights and sponsorship tranches, the near-term cash burn and leverage profile create a high hurdle for equity holders. The data imply that any near-term improvement will hinge on (1) stabilization or acceleration of franchise-related cash flows, (2) optimization of SG&A and operating cost structure, and (3) potential liquidity initiatives or debt optimization.

Note: The earnings transcript was not provided in the data set, so management commentary and direct quotes could not be incorporated. Where relevant, quantitative results and qualitative implications have been synthesized from the disclosed QQ1 2026 figures and four-quarter historical context to deliver an investor-focused view.