v3.25.1
Revenue Recognition
 3 Months Ended
Mar. 31, 2025
Revenue Recognition [Abstract]  
Revenue Recognition Revenue Recognition
Contracts with Customers
See Note 2. Summary of Significant Accounting Policies and Note 5. Revenue Recognition, to the Audited Consolidated Financial Statements included in the Form 10-KT, for more information regarding the details of the Company’s revenue recognition policies. All revenue recognized in the condensed consolidated statements of operations is considered to be revenue from contracts with customers in accordance with Accounting Standards Codification (“ASC”) Topic 606, Revenue From Contracts with Customers, except for revenues from subleases that are accounted for in accordance with ASC Topic 842, Leases.
Disaggregation of Revenue
The following tables disaggregate the Company’s revenue by major source and reportable segment based upon the timing of transfer of goods or services to the customer for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Sphere
MSG Networks
Total
Event-related (a)
$134,225 $— $134,225 
Sponsorship, signage, Exosphere advertising, and suite license revenues (b)
17,166 643 17,809 
Media related, primarily from affiliation agreements (b)
— 120,371 120,371 
Other5,650 2,015 7,665 
Total revenues from contracts with customers157,041 123,029 280,070 
Revenues from subleases504 — 504 
Total revenues $157,545 $123,029 $280,574 
Three Months Ended
March 31, 2024
Sphere
MSG Networks
Total
Event-related (a)
$134,835 $— $134,835 
Sponsorship, signage, Exosphere advertising, and suite license revenues (b)
32,942 656 33,598 
Media related, primarily from affiliation agreements (b)
— 148,417 148,417 
Other1,864 1,893 3,757 
Total revenues from contracts with customers169,641 150,966 320,607 
Revenues from subleases723 — 723 
Total revenues $170,364 $150,966 $321,330 
_________________
(a)     Event-related revenues consist of (i) ticket sales and other revenue directly related to the exhibition of The Sphere Experience, (ii) ticket sales and other ticket-related revenues to other events at our venue, (iii) venue license fees from third-party promoters, and (iv) food, beverage and merchandise sales. Event-related revenues are recognized at a point in time. As such, these revenues have been included in the same category in the tables above.
(b)     See Note 2. Summary of Significant Accounting Policies, Revenue Recognition, and Note 5. Revenue Recognition, to the Audited Consolidated Financial Statements included in the Form 10-KT, for further details on the pattern of recognition of sponsorship, signage, Exosphere advertising, suite licenses, and media related revenue.
In addition to the disaggregation of the Company’s revenue by major source based upon the timing of transfer of goods or services to the customer disclosed above, the following tables disaggregate the Company’s consolidated revenues by type of goods or services in accordance with the required entity-wide disclosure requirements of ASC Subtopic 280-10-50-38 to 40 and the disaggregation of revenue required disclosures in accordance with ASC Subtopic 606-10-50-5 for the three months ended March 31, 2025 and 2024:
Three Months Ended
March 31, 2025
Sphere
MSG Networks
Total
Ticketing and venue license fee revenues (a)
$112,978 $— $112,978 
Sponsorship, signage, Exosphere advertising, and suite license revenues
24,174 — 24,174 
Food, beverage, and merchandise revenues
19,889 — 19,889 
Media networks revenues (b)
— 123,029 123,029 
Total revenues from contracts with customers157,041 123,029 280,070 
Revenues from subleases504 — 504 
Total revenues $157,545 $123,029 $280,574 
Three Months Ended
March 31, 2024
Sphere
MSG Networks
Total
Ticketing and venue license fee revenues (a)
$110,655 $— $110,655 
Sponsorship, signage, Exosphere advertising, and suite license revenues
40,511 — 40,511 
Food, beverage, and merchandise revenues
18,475 — 18,475 
Media networks revenues (b)
— 150,966 150,966 
Total revenues from contracts with customers169,641 150,966 320,607 
Revenues from subleases723 — 723 
Total revenues $170,364 $150,966 $321,330 
_________________
(a)    Amounts include ticket sales, other ticket-related revenue, and venue license fees from the Company’s events such as (i) concerts, (ii) The Sphere Experience and (iii) other live entertainment and sporting events.
(b)    Primarily consists of affiliation fees from cable, satellite, fiber-optic and other platforms that distribute MSG Networks’ programming and, to a lesser extent, advertising revenues through the sale of commercial time and other advertising inventory during MSG Networks programming.
Contract Balances
The following table provides information about contract balances from the Company’s contracts with customers as of March 31, 2025 and December 31, 2024:
As of
March 31,
December 31,
20252024
Receivables from contracts with customers, net (a)
$162,882 $154,949 
Contract assets, current (b)
1,500 1,500 
Contract assets, non-current (b)
1,230 1,307 
Deferred revenue, including non-current portion (c)
154,061 138,057 
_________________
(a)    As of March 31, 2025 and December 31, 2024, the Company’s receivables from contracts with customers above included $654 and $325, respectively, related to various related parties. See Note 14 . Related Party Transactions for further details on these related party arrangements.
(b)     Contract assets, current, which are reported as Prepaid expenses and other current assets in the Company’s condensed consolidated balance sheets, primarily relate to the Company’s rights to consideration for goods or services transferred to customers, for which the Company does not have an unconditional right to bill as of the reporting date. Contract assets are transferred to accounts receivable once the Company’s right to consideration becomes unconditional.
(c)    Revenue recognized for the three months ended March 31, 2025 relating to the deferred revenue balance as of December 31, 2024 was $57,740.

Transaction Price Allocated to the Remaining Performance Obligations
As of March 31, 2025, the Company’s remaining performance obligations were $195,289, of which 68% is expected to be recognized over the next two years and 32% of the balance is expected to be recognized thereafter. This primarily relates to performance obligations under sponsorship agreements that have original expected durations longer than one year and for which the respective consideration is not variable. In developing the estimated revenue, the Company applies the allowable practical expedient and does not disclose information about remaining performance obligations that have original expected durations of one year or less.