NEW YORK, Aug. 20, 2019 (GLOBE NEWSWIRE) — The Madison Square Garden Company (NYSE: MSG) today reported financial results for the fourth quarter and fiscal year ended June 30, 2019.
For fiscal 2019, the Company generated revenues of approximately $1.6 billion, which represents an increase of 5% as compared to the prior year, due to growth at both the MSG Entertainment and MSG Sports segments. In addition, the Company generated an operating loss of $13.9 million, as compared to operating income of $23.1 million in fiscal 2018, and adjusted operating income of $169.8 million, a decrease of $28.2 million as compared to fiscal 2018.(1)(2) This was primarily due to increased expenses in Corporate and Other, which reflects higher professional fees including costs related to the proposed spin-off of the Company’s sports business, and higher employee compensation mainly as a result of the Company’s ongoing investment in personnel as it moves forward with its growth plans.
For the fiscal 2019 fourth quarter on a reported basis, the Company generated revenues of $263.6 million, a decrease of 17% as compared with the prior year quarter. In addition, the Company generated an operating loss of $79.9 million as compared to an operating loss of $44.2 million in the prior year quarter and adjusted operating loss of $34.9 million, as compared to an adjusted operating loss of $1.3 million in the prior year quarter.
Excluding the impact of ASC Topic 606, fiscal 2019 fourth quarter revenues would have been $326.2 million, an increase of 3% as compared with the prior year period.(3) In addition, operating loss would have decreased by $2.9 million to a loss of $41.3 million and adjusted operating income would have increased by $5.0 million to $3.7 million, both as compared to the prior year period.(4) For comparative purposes, please note that net provisions for certain team personnel transactions decreased by $21.5 million in the fiscal 2019 fourth quarter, as compared with the prior year quarter.
Executive Chairman and CEO James L. Dolan said, “Ongoing demand for our sports and entertainment assets helped drive a number of operational highlights in fiscal 2019, including continued growth in bookings, productions, suites, marketing partnerships and media rights. Looking ahead, we remain confident in the strength of our core businesses and expect fiscal 2020 to be an important year as we work to complete the proposed sports spin-off and begin to usher in the company’s next chapter, with MSG Sphere in Las Vegas starting to take shape.”