Madison Square Garden Sports Corp 10-K for FY2023

Madison Square Garden Sports Corp. (MSGS)

10-K 2023-08-17 For: 2023-06-30

Added on April 10, 2026

About this 10-K

Madison Square Garden Sports Corp filed this 10-K on August 17, 2023, covering the fiscal year ended June 30, 2023 (FY2023).

Headline figures

Fiscal year ended June 30, 2023, as reported in this filing, compared with the same period a year earlier where the filing states it.

Revenue: $887.45M; up 8.0% from $821.35M a year earlier
Net income: $47.79M; down 6.5% from net income of $51.13M a year earlier
Diluted EPS: $1.89; down 10.0% from $2.10 a year earlier

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Delaware						47-3373056
(State or other jurisdiction of incorporation or organization)						(I.R.S. Employer Identification No.)


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Class A Common Stock	MSGS	New York Stock Exchange


Class A Common Stock par value $0.01 per share	—	19,363,843
Class B Common Stock par value $0.01 per share	—	4,529,517


			Page
PART I

Item 1. Business			1

Item 1A. Risk Factors			8

Item 1B. Unresolved Staff Comments			22

Item 2. Properties			22

Item 3. Legal Proceedings			22

Item 4. Mine Safety Disclosures			22

PART II

Item 5. Market for the Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities			23

Item 6. (Reserved)			24

Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations			25

Item 7A. Quantitative and Qualitative Disclosures about Market Risk			43

Item 8. Financial Statements and Supplementary Data			44

Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure			44

Item 9A. Controls and Procedures			44

Item 9B. Other Information			44

Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections			44

PART III

Item 10. Directors, Executive Officers and Corporate Governance			45

Item 11. Executive Compensation			45

Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters			45

Item 13. Certain Relationships and Related Transactions, and Director Independence			45

Item 14. Principal Accountant Fees and Services			45

PART IV

Item 15. Exhibits and Financial Statement Schedules			46

Item 16. Form 10-K Summary			49


	6/30/18		6/30/19		6/30/20		6/30/21		6/30/22		6/30/23
Madison Square Garden Company Sports Corp.	$	100.00	$	90.25	$	66.41	$	78.02	$	68.27	$	89.00
Russell 3000 Index	100.00		108.98		116.10		167.37		114.17		171.49
Bloomberg Americas Entertainment Index	100.00		110.35		89.68		206.40		109.09		129.16


☑			ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934


☐			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934


	Years Ended June 30,				Change
	2023		2022		Amount		Percentage
Revenues	$	887,447	$	821,354	$	66,093	8	%

Direct operating expenses	548,811		500,564		48,247		10	%
Selling, general and administrative expenses	249,885		229,668		20,217		9	%
Depreciation and amortization	3,577		5,042		(1,465)		(29)	%
Operating income	85,174		86,080		(906)		(1)	%
Other income (expense):
Interest expense, net	(20,492)		(11,422)		(9,070)		(79)	%
Miscellaneous income (expense), net	25,239		(726)		25,965		NM
Income before income taxes	89,921		73,932		15,989		22	%
Income tax expense	(44,293)		(25,052)		(19,241)		(77)	%
Net income	45,628		48,880		(3,252)		(7)	%
Less: Net loss attributable to nonredeemable noncontrolling interests	(2,165)		(2,251)		86		4	%


Net income attributable to Madison Square Garden Sports Corp.’s stockholders	$	47,793	$	51,131	$	(3,338)	(7)	%


Increase in pre/regular season ticket-related revenues	$	33,335
Increase in suite revenues	15,237
Increase in sponsorship and signage revenues	9,545
Increase in revenues from local media rights fees	9,303
Increase in pre/regular season food, beverage and merchandise sales	6,086
Decrease in playoff related revenues	(8,625)
Decrease in revenues from league distributions	(211)
Other net increases	1,423
	$	66,093


Increase in team personnel compensation	$	56,040
Increase in other team operating expenses	8,260
Increase in pre/regular season expense associated with merchandise sales	3,743
Increase in net provisions for certain team personnel transactions	2,085
Decrease in net provisions for league revenue sharing expense (net of escrow and excluding playoffs) and NBA luxury tax	(21,340)
Decrease in playoff related expenses	(541)
	$	48,247


	Years Ended June 30,				Increase (Decrease)
	2023		2022
Waivers/contract terminations	$	3,269	$	731	$	2,538
Player trades	1,143		(1,066)		2,209
Season-ending player injuries	—		2,662		(2,662)
Net provisions for certain team personnel transactions	$	4,412	$	2,327	$	2,085


	Years Ended June 30,				Decrease
	2023		2022
Net provisions for league revenue sharing expense (net of escrow and excluding playoffs) and NBA luxury tax	$	36,503	$	57,843	$	(21,340)


	Payments Due by Period
	Total		Year 1		Years 2-3		Years 4-5		More Than 5 Years
Off balance sheet arrangements (a)	$	671,385	$	200,561	$	341,220	$	97,690	$	31,914
Contractual obligations reflected on the balance sheet:
Short-term debt (b)	30,000		30,000		—		—		—
Leases (c)	2,306,023		51,577		103,836		108,435		2,042,175
Long-term debt (d)	295,000		—		—		295,000		—
Contractual obligations (e)	126,341		104,683		9,135		4,984		7,539
	2,757,364		186,260		112,971		408,419		2,049,714
Total (f)	$	3,428,749	$	386,821	$	454,191	$	506,109	$	2,081,628


Goodwill	$	226,523
Indefinite-lived intangible assets	103,644

Property and equipment, net	30,501
	$	360,668


Sports franchises	$	102,564
Photographic related rights	1,080
	$	103,644


	Years Ended June 30,
	2023		2022
Net income	$	45,628	$	48,880
Adjustments to reconcile net income to net cash provided by operating activities	20,571		56,061
Changes in working capital assets and liabilities	86,274		73,115
Net cash provided by operating activities	$	152,473	$	178,056
Net cash used in investing activities	(17,759)		(2,932)
Net cash used in financing activities	(185,273)		(156,142)

Net (decrease) increase in cash, cash equivalents and restricted cash	$	(50,559)	$	18,982


		Page No.
The following documents are filed as part of this report:

1.	The financial statements as indicated in the index set forth on page	F- 1

2.	Financial statement schedule:
	Schedule supporting consolidated financial statements:
	Schedule II — Valuation and Qualifying Accounts	50
	Schedules other than that listed above have been omitted, since they are either not applicable, not required or the information is included elsewhere herein.

3.	Exhibits:


EXHIBIT NO.						DESCRIPTION
32.2						Certification by the Chief Financial Officer Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
101						The following materials from Madison Square Garden Sports Corp. Annual Report on Form 10-K for the year ended June 30, 2023, formatted in Inline Extensible Business Reporting Language (iXBRL): (i) Consolidated Balance Sheets, (ii) Consolidated Statements of Operations, (iii) Consolidated Statements of Comprehensive Income, (iv) Consolidated Statements of Cash Flows, (v) Consolidated Statements of Equity, and (vi) Notes to Consolidated Financial Statements.






104						Cover Page Interactive Data File (formatted in iXBRL and included in Exhibit 101).


Madison Square Garden Sports Corp.

By:	/s/ VICTORIA M. MINK
	Name:	Victoria M. Mink
	Title:	Executive Vice President, Chief Financial Officer and Treasurer


EXHIBIT NO.						DESCRIPTION


2.1						Distribution Agreement, dated as of March 31, 2020, between Madison Square Garden Sports Corp. and Madison Square Garden Entertainment Corp. (incorporated by reference to Exhibit 2.1 to the Company’s Current Report on Form 8-K filed on March 31, 2020).
3.1						Amended and Restated Certificate of Incorporation of Madison Square Garden Sports Corp. (formerly, The Madison Square Garden Company) (incorporated by reference to Exhibit 3.1 to the Company’s Current Report on Form 8-K filed on October 1, 2015).
3.2						Amendment to the Amended and Restated Certificate of Incorporation of Madison Square Garden Sports Corp., dated April 17, 2020 (incorporated by reference to Exhibit 3.1 to the Company’s Current Report on Form 8-K filed on April 23, 2020).
3.3						Amended By-Laws of Madison Square Garden Sports Corp. (incorporated by reference to Exhibit 3.1 to the Company’s Current Report on Form 8-K filed on June 26, 2020).
4.1						Transfer Consent Agreement, dated September 28, 2015 with the NBA (incorporated by reference to Exhibit 4.1 to the Company’s Form 10-K for the fiscal year ended June 30, 2016 filed on August 19, 2016).
4.2						Transfer Consent Agreement, dated September 28, 2015 with the NHL (incorporated by reference to Exhibit 4.2 to the Company’s Form 10-K for the fiscal year ended June 30, 2016 filed on August 19, 2016).
4.3						Registration Rights Agreement, dated as of September 15, 2015, by and among Madison Square Garden Sports Corp. (formerly, The Madison Square Garden Company) and The Charles F. Dolan Children Trusts (incorporated by reference to Exhibit 4.1 to the Company’s Current Report on Form 8-K filed on October 1, 2015).
4.4						Registration Rights Agreement, dated as of September 15, 2015, by and among Madison Square Garden Sports Corp. (formerly, The Madison Square Garden Company) and The Dolan Family Affiliates (incorporated by reference to Exhibit 4.2 to the Company’s Current Report on Form 8-K filed on October 1, 2015).
4.5						Description of Capital Stock (incorporated by reference to Exhibit 4.5 to the Company’s Form 10-K for the fiscal year ended June 30, 2021 filed on August 19, 2021).

10 .1						Employee Matters Agreement, dated September 11, 2015, by and between MSG Networks Inc. and Madison Square Garden Sports Corp. (formerly, The Madison Square Garden Company) (incorporated by reference to Exhibit 10.3 to Amendment No. 6 to the Company’s Registration Statement on Form 10 filed on September 11, 2015).
10.2						Madison Square Garden Sports Corp. (formerly, The Madison Square Garden Company) 2015 Employee Stock Plan (incorporated by reference to Exhibit 10.4 to the Company’s Form 10-K for the fiscal year ended June 30, 2016 filed on August 19, 2016). †

10.3						Madison Square Garden Sports Corp. (formerly, The Madison Square Garden Company) 2015 Stock Plan for Non-Employee Directors (incorporated by reference to Exhibit 10.6 to the Company’s Form 10-K for the fiscal year ended June 30, 2016 filed on August 19, 2016). †
10.4						Form of Indemnification Agreement between Madison Square Garden Sports Corp. (formerly, The Madison Square Garden Company) and its Directors and Executive Officers (incorporated by reference to Exhibit 10.8 to Amendment No. 3 to the Company’s Registration Statement on Form 10 filed on July 24, 2015).


EXHIBIT NO.						DESCRIPTION
10.5						Form of Madison Square Garden Sports Corp. (formerly, The Madison Square Garden Company) Non-Employee Director Award Agreement (incorporated by reference to Exhibit 10.9 to Amendment No. 3 to the Company’s Registration Statement on Form 10 filed on July 24, 2015). †
10.6						Madison Square Garden Sports Corp. Executive Deferred Compensation Plan (incorporated by reference to Exhibit 10.1 to the Company’s Current Report on Form 8-K filed on November 19, 2021). †

10.7						Form of Madison Square Garden Sports Corp. (formerly, The Madison Square Garden Company) Restricted Stock Units Agreement (2019) (incorporated by reference to Exhibit 10.14 to the Company’s Form 10-K for the fiscal year ended June 30, 2019 filed on August 20, 2019). †




10.8						Form of Madison Square Garden Sports Corp. (formerly, The Madison Square Garden Company) Performance Restricted Stock Units Agreement (2019) (incorporated by reference to Exhibit 10.15 to the Company’s Form 10-K for the fiscal year ended June 30, 2019 filed on August 20, 2019). †
10.9						Form of Madison Square Garden Sports Corp. (formerly, The Madison Square Garden Company) Option Agreement (incorporated by reference to Exhibit 10.4 to the Company’s Form 10-Q for the quarter ended December 31, 2017 filed on February 8, 2018). †
10.1 0						Form of Performance Restricted Stock Units Agreement Under the 2015 Employee Stock Plan (incorporated by reference to Exhibit 10.3 to the Company’s Current Report on Form 8-K filed on April 25, 2023). †
10.11						Form of Restricted Stock Units Agreement Under the 2015 Employee Stock Plan (incorporated by reference to Exhibit 10.4 to the Company’s Current Report on Form 8-K filed on April 25, 2023). †
10.12						Form of Stock Option Agreement Under the 2015 Employee Stock Plan (incorporated by reference to Exhibit 10.5 to the Company’s Current Report on Form 8-K filed on April 25, 2023). †
10.1 3						Employment Agreement dated as of November 17, 2021, between Madison Square Garden Sports Corp. and Victoria M. Mink (incorporated by reference to Exhibit 10.2 to the Company’s Current Report on Form 8-K filed on November 19, 2021). †
10.1 4						Employment Agreement dated as of December 16, 2021, between Madison Square Garden Sports Corp. and Andrew Lustgarten (incorporated by reference to Exhibit 10.1 to the Company’s Current Report on Form 8-K filed on December 21, 2021). †
10.15						E mployment Agreement dated as of December 27, 2021 between Madison Square Garden Sports Corp. and James L. Dolan, as amended and restated as of April 20, 2023 (incorporated by reference to Exhibit 10.1 to the Company’s Current Report on Form 8-K filed on April 25, 2023). †






10.16						Employment Agreement dated as of March 17, 2022, between Madison Square Garden Sports Corp. and Jamaal Lesane (incorporated by reference to Exhibit 10.1 to the Company’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2022 filed on May 5, 2022). †
10.17						Employment Agreement dated as of September 9, 2022, between Madison Square Garden Sports Corp. and David Hopkinson (incorporated by reference to Exhibit 10.1 to the Company’s Current Report on Form 8-K filed on September 9, 2022). †
10.18						Employment Agreement dated as of June 15, 2023, between Madison Square Garden Sports Corp. and David Granville-Smith. †

10.19						Employment Agreement dated as of April 25, 2023 between Madison Square Garden Sports Corp. and Alex Shvartsman (incorporated by reference to Exhibit 10.2 to the Company’s Current Report on Form 8-K filed on April 25, 2023). †
10.20						Option Agreement, dated December 15, 2017, between Madison Square Garden Sports Corp. (formerly, The Madison Square Garden Company) and Andrew Lustgarten (incorporated by reference to Exhibit 10.2 to the Company’s Current Report on Form 8-K filed on December 18, 2017). †

10.21						Amended and Restated Credit Agreement, dated as of November 6, 2020, by and among New York Knicks, LLC, JPMorgan Chase Bank, N.A. as administrative agent and collateral agent, and the lenders party thereto (incorporated by reference to Exhibit 10.1 to the Company’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2020 filed on November 9, 2020).
10.22						Amendment No. 2 to Amended and Restated Credit Agreement, dated as of December 14, 2021, by and among New York Knicks, LLC, JPMorgan Chase Bank, N.A., as administrative agent and collateral agent, and the lenders party thereto (incorporated by reference to Exhibit 10.1 to the Company’s Current Report on Form 8-K filed on December 16, 2021).


EXHIBIT NO.						DESCRIPTION
10.23						Security Agreement, dated as of September 30, 2016, between New York Knicks, LLC and JPMorgan Chase Bank, N.A., as collateral agent (incorporated by reference to Exhibit 10.2 to the Company’s Current Report on Form 8-K filed on October 6, 2016).


10.2 4						Amended and Restated Credit Agreement, dated as of November 6, 2020, by and among New York Rangers, LLC, JPMorgan Chase Bank, N.A. as administrative agent and collateral agent, and the lenders party thereto (incorporated by reference to Exhibit 10.4 to the Company’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2020 filed on November 9, 2020).
10.2 5						Amendment No. 2 dated as of March 19, 2021, to the Credit Agreement, dated as of January 25, 2017, by and among New York Rangers, LLC, the lenders party thereto and JPMorgan Chase Bank N.A., as agent (incorporated by reference to Exhibit 10.1 to the Company’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2021 filed on May 6, 2021).
10.2 6						Amendment No. 3 to Amended and Restated Credit Agreement, dated as of December 14, 2021, by and among New York Rangers, LLC, JPMorgan Chase Bank, N.A., as administrative agent and collateral agent, and the lenders party thereto (incorporated by reference to Exhibit 10.2 to the Company’s Current Report on Form 8-K filed on December 16, 2021).
10.2 7						Security Agreement, dated as of January 25, 2017, between New York Rangers, LLC and JPMorgan Chase Bank, N.A., as collateral agent (incorporated by reference to Exhibit 10.2 to the Company’s Current Report on Form 8-K filed on January 27, 2017).
10.2 8						Contribution Agreement, dated as of March 31, 2020, between Madison Square Garden Sports Corp., MSG Entertainment Group, LLC and Madison Square Garden Entertainment Corp. (incorporated by reference to Exhibit 10.1 to the Company’s Current Report on Form 8-K filed on March 31, 2020).

10.2 9						Tax Disaffiliation Agreement, dated as of March 31, 2020, between Madison Square Garden Sports Corp. (formerly, The Madison Square Garden Company) and Madison Square Garden Entertainment Corp. (formerly, MSG Entertainment Spinco, Inc.) (incorporated by reference to Exhibit 10.3 to the Company’s Current Report on Form 8-K filed on March 31, 2020).
10.30						Employee Matters Agreement, dated March 31, 2020, between Madison Square Garden Sports Corp. (formerly, The Madison Square Garden Company) and Madison Square Garden Entertainment Corp. (formerly, MSG Entertainment Spinco, Inc.) (incorporated by reference to Exhibit 10.4 to the Company’s Current Report on Form 8-K filed on March 31, 2020).
10.31						Arena License Agreement, dated April 15, 2020, between MSG Arena, LLC and New York Knicks, LLC (incorporated by reference to Exhibit 10.69 to the Company's Annual Report on Form 10-K for the year ended June 30, 2020 filed on August 31, 2020).*
10.3 2						Arena License Agreement, dated April 15, 2020, between MSG Arena, LLC and New York Rangers, LLC (incorporated by reference to Exhibit 10.70 to the Company's Annual Report on Form 10-K for the year ended June 30, 2020 filed on August 31, 2020).*
10.3 3						NBA Transaction Agreement, dated April 15, 2020, with the NBA and Madison Square Garden Entertainment Corp. (formerly, MSG Entertainment Spinco, Inc.) (incorporated by reference to Exhibit 10.71 to the Company's Annual Report on Form 10-K for the year ended June 30, 2020 filed on August 31, 2020).
10.3 4						NHL Transaction Agreement, dated April 15, 2020, with the NHL and Madison Square Garden Entertainment Corp. (formerly, MSG Entertainment Spinco, Inc.) (incorporated by reference to Exhibit 10.72 to the Company’s Annual Report on Form 10-K for the year ended June 30, 2020 filed on August 31, 2020).
10.35						Madison Square Garden Sports Corp. Policy Concerning Certain Matters Relating to Madison Square Garden Entertainment Corp., Sphere Entertainment Co. and AMC Networks Inc., including Responsibilities of Overlapping Directors and Officers.




10.3 6						Sponsorship Sales and Service Representation Agreement, dated April 15, 2020, between Knicks Holdings, LLC and MSG Entertainment Group, LLC (incorporated by reference to Exhibit 10.76 to the Company’s Annual Report on Form 10-K for the year ended June 30, 2020 filed on August 31, 2020). *
10.3 7						Sponsorship Sales and Service Representation Agreement, dated April 15, 2020, between New York Rangers, LLC and MSG Entertainment Group, LLC (incorporated by reference to Exhibit 10.77 to the Company’s Annual Report on Form 10-K for the year ended June 30, 2020 filed on August 31, 2020). *

21.1						Subsidiaries of the Registrant.

23.1						Consent of Deloitte & Touche LLP.
24.1						Powers of Attorney (included on the signature page to this Annual Report on Form 10-K).
31.1						Certification by the Chief Executive Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2						Certification by the Chief Financial Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1						Certification by the Chief Executive Officer Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.


			(Additions) / Deductions
	Balance at Beginning of Period		Charged to Costs and Expenses		Charged to Other Accounts			Deductions		Balance at End of Period
Year ended June 30, 2023
Allowance for doubtful accounts	$	—	$	—	$	—		$	—	$	—
Deferred tax valuation allowance	—		(2,728)		—			—		(2,728)
	$	—	$	(2,728)	$	—		$	—	$	(2,728)

Year ended June 30, 2022
Allowance for doubtful accounts	$	—	$	—	$	—		$	—	$	—
Deferred tax valuation allowance	—		—		—			—		—
	$	—	$	—	$	—		$	—	$	—

Year ended June 30, 2021
Allowance for doubtful accounts	$	(180)	$	175	$	—		$	5	$	—
Deferred tax valuation allowance	(48,133)		51,496		(3,363)		(a)	—		—
	$	(48,313)	$	51,671	$	(3,363)		$	5	$	—



			Page
Report of Independent Registered Public Accounting Firm (Deloitte & Touche LLP, New York, NY, Auditor Firm ID: 34)			F- 2


Consolidated Balance Sheets as of June 30, 2023 and 2022			F- 5
Consolidated Statements of Operations for the years ended June 30, 2023, 2022 and 2021			F- 7
Consolidated Statements of Comprehensive Income (Loss) for the years ended June 30, 2023, 2022 and 2021			F- 8
Consolidated Statements of Cash Flows for the years ended June 30, 2023, 2022 and 2021			F- 9
Consolidated Statements of Equity for the years ended June 30, 2023, 2022 and 2021			F- 11
Notes to Consolidated Financial Statements			F- 14


MADISON SQUARE GARDEN SPORTS CORP.
CONSOLIDATED BALANCE SHEETS
(in thousands, except per share data)

	June 30,
	2023		2022
ASSETS
Current Assets:
Cash and cash equivalents	$	40,398	$	91,018
Restricted cash	61		—

Accounts receivable, net	40,139		47,240
Net related party receivables	15,969		28,333
Prepaid expenses	24,768		18,810
Other current assets	27,898		19,868

Total current assets	149,233		205,269


Property and equipment, net	30,501		32,892
Right-of-use lease assets	715,283		686,782
Amortizable intangible assets, net	—		636
Indefinite-lived intangible assets	103,644		112,144
Goodwill	226,523		226,955
Investments	67,374		4,736

Other assets	22,459		32,552

Total assets	$	1,315,017	$	1,301,966


See accompanying notes to consolidated financial statements.


MADISON SQUARE GARDEN SPORTS CORP.
CONSOLIDATED BALANCE SHEETS (Continued)
(in thousands, except per share data)

	June 30,
	2023		2022
LIABILITIES AND EQUITY
Current Liabilities:
Accounts payable	$	9,093	$	11,263
Net related party payables	5,842		19,624

Debt	30,000		30,000
Accrued liabilities:
Employee related costs	144,310		119,279
League-related accruals	106,926		75,269
Other accrued liabilities	17,561		6,796
Operating lease liabilities, current	49,745		43,699

Deferred revenue	157,051		132,369

Total current liabilities	520,528		438,299

Long-term debt	295,000		220,000
Operating lease liabilities, noncurrent	746,437		699,587
Defined benefit obligations	4,526		5,005
Other employee related costs	49,070		43,411
Deferred tax liabilities, net	24,024		8,917
Deferred revenue, noncurrent	12,666		31,122
Other liabilities	—		1,002

Total liabilities	1,652,251		1,447,343
Commitments and contingencies (see Note 12)

Madison Square Garden Sports Corp. Stockholders’ Equity:
Class A Common stock, par value $0.01, 120,000 shares authorized; 19,364 and 19,697 shares outstanding as of June 30, 2023 and 2022, respectively	204		204
Class B Common stock, par value $0.01, 30,000 shares authorized; 4,530 shares outstanding as of June 30, 2023 and 2022	45		45
Preferred stock, par value $0.01, 15,000 shares authorized; none outstanding as of June 30, 2023 and 2022	—		—
Additional paid-in capital	16,846		17,573
Treasury stock, at cost, 1,084 and 751 shares as of June 30, 2023 and 2022, respectively	(179,410)		(128,026)
Accumulated deficit	(173,910)		(35,699)
Accumulated other comprehensive loss	(1,009)		(1,186)
Total Madison Square Garden Sports Corp. stockholders’ equity	(337,234)		(147,089)
Nonredeemable noncontrolling interests	—		1,712
Total equity	(337,234)		(145,377)
Total liabilities and equity	$	1,315,017	$	1,301,966


MADISON SQUARE GARDEN SPORTS CORP.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)

	Years Ended June 30,
	2023		2022		2021
Cash flows from operating activities:
Net income (loss)	$	45,628	$	48,880	$	(15,897)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation and amortization	3,577		5,042		5,574

Share-based compensation expense	25,203		24,245		30,437

Provision for (benefit from) deferred income taxes	15,022		24,480		(73,664)

Unrealized (gain)/loss on equity investments with readily determinable fair value and warrants	(26,561)		461		—

Provision for (recovery of) doubtful accounts	—		—		(175)


Other non-cash adjustments	3,330		1,833		1,084
Change in assets and liabilities:
Accounts receivable, net	5,976		26,957		(66,619)
Net related party receivables	11,534		(21,084)		(6,285)
Prepaid expenses and other assets	(5,666)		(8,922)		(22,062)
Investments	(10,575)		(3,197)		—
Accounts payable	(2,081)		8,947		(75)
Net related party payables	(13,927)		2,507		(863)
Accrued and other liabilities	69,019		40,213		49,192
Deferred revenue	7,590		772		34,578
Operating lease right-of-use assets and lease liabilities	24,404		26,922		29,449

Net cash provided by (used in) operating activities	152,473		178,056		(35,326)
Cash flows from investing activities:
Capital expenditures	(1,181)		(932)		(466)
Cash outflow associated with disposal of subsidiary	(3,024)		—		—














Purchases of investments	(13,554)		(2,000)		—

Net cash used in investing activities	(17,759)		(2,932)		(466)

See accompanying notes to consolidated financial statements.


MADISON SQUARE GARDEN SPORTS CORP.
CONSOLIDATED STATEMENTS OF CASH FLOWS (Continued)
(in thousands)

	Years Ended June 30,
	2023	2022	2021
Cash flows from financing activities:


Accelerated share repurchase	(75,060)	—	—
Taxes paid in lieu of shares issued for equity-based compensation	(17,897)	(18,306)	(13,891)

Dividends paid	(170,923)	—	—



Proceeds from NHL advance	—	—	30,000
Proceeds from revolving credit facilities	215,000	—	30,000


Repayment of revolving credit facility	(140,000)	(135,000)	(25,000)
Payments for financing costs	—	(2,836)	(4,562)
Other financing activities	3,607	—	608


Net cash (used in) provided by financing activities	(185,273)	(156,142)	17,155

Net (decrease) increase in cash, cash equivalents and restricted cash	(50,559)	18,982	(18,637)
Cash, cash equivalents and restricted cash from beginning of period	91,018	72,036	90,673


Cash, cash equivalents and restricted cash at end of period	40,459	91,018	72,036



Non-cash investing and financing activities:


Capital expenditures incurred but not yet paid	256	128	165


MADISON SQUARE GARDEN SPORTS CORP.
CONSOLIDATED STATEMENTS OF EQUITY

(in thousands)

	Common Stock Issued		Additional Paid-In Capital		Treasury Stock		Accumulated Deficit		Accumulated Other Comprehensive Loss		Total Madison Square Garden Sports Corp. Stockholders’ Equity		Nonredeemable Noncontrolling Interests		Total Equity
Balance as of June 30, 2020	$	249	$	5,940	$	(167,431)	$	(43,605)	$	(2,139)	$	(206,986)	$	3,551	$	(203,435)
Net loss	—		—		—		(13,954)		—		(13,954)		(1,943)		(15,897)
Other comprehensive income	—		—		—		—		112		112		—		112
Comprehensive loss			—		—		—		—		(13,842)		(1,943)		(15,785)

Share-based compensation	—		30,437		—		—		—		30,437		—		30,437
Tax withholding associated with shares issued for equity-based compensation	—		(11,023)		—		(2,868)		—		(13,891)		—		(13,891)
Common stock issued under stock incentive plans	—		(1,418)		20,697		(18,471)		—		808		—		808



Adjustments to noncontrolling interests	—		(834)		—		—		—		(834)		834		—




Balance as of June 30, 2021	$	249	$	23,102	$	(146,734)	$	(78,898)	$	(2,027)	$	(204,308)	$	2,442	$	(201,866)

See accompanying notes to consolidated financial statements.


Fiscal year ending June 30, 2024	$	141,327
Fiscal year ending June 30, 2025	97,893
Fiscal year ending June 30, 2026	57,568
Fiscal year ending June 30, 2027	30,551
Fiscal year ending June 30, 2028	13,098
Thereafter	13,255
	$	353,692


	As of
	June 30, 2023		June 30, 2022		June 30, 2021		June 30, 2020
Captions on the consolidated balance sheets:
Cash and cash equivalents	$	40,398	$	91,018	$	64,902	$	77,852
Restricted cash (a)	61		—		7,134		12,821
Cash, cash equivalents and restricted cash on the consolidated statements of cash flows	$	40,459	$	91,018	$	72,036	$	90,673


	Line Item in the Company’s Consolidated Balance Sheet	June 30, 2023		June 30, 2022
Right-of-use assets:
Operating leases	Right-of-use lease assets	$	715,283	$	686,782
Lease liabilities:
Operating leases, current (a)	Operating lease liabilities, current	49,745		43,699
Operating leases, noncurrent (a)	Operating lease liabilities, noncurrent	746,437		699,587
Total lease liabilities		$	796,182	$	743,286


	June 30, 2023		June 30, 2022		Estimated Useful Lives
Land	$	5,153	$	5,153
Buildings	51,465		51,444		Up to	45 years
Equipment	21,587		21,042		2 years	to	20 years
Furniture and fixtures	631		786		4 years	to	10 years
Leasehold improvements	564		1,072		Shorter of term of lease or life of improvement
Construction in progress	218		189
	79,618		79,686
Less accumulated depreciation and amortization	(49,117)		(46,794)
	$	30,501	$	32,892


June 30, 2022	Gross		Accumulated Amortization		Net
Trade names	$	2,300	$	(2,262)	$	38
Non-compete agreements	2,400		(2,360)		40
Other intangibles	1,200		(642)		558
	$	5,900	$	(5,264)	$	636


	June 30, 2023
Equity method investments:
NRG	$	11,948
Equity investments with readily determinable fair values:
Xtract One Technologies Inc. (“Xtract One”) common stock	22,408
Other equity investments with readily determinable fair values	14,406
Equity investments without readily determinable fair values(a)	5,514
Derivative instruments:
Xtract One warrants	13,098
Total investments	$	67,374


	June 30, 2023
	Cost Basis		Carrying Value / Fair Value
Xtract One common stock	$	6,783	$	22,408
Other equity investments with readily determinable fair values	13,772		14,406
	$	20,555	$	36,814


	Fair Value Hierarchy	June 30,
		2023		2022
Assets:

Money market accounts	I	$	17,330	$	26,018
Time deposit	I	1,457		56,082
Equity investments	I	36,814		2,736
Warrants	III	13,098		—
Total assets measured at fair value		$	68,699	$	84,836


	June 30, 2023
Expected term	2.34 years
Expected volatility	74.43	%
Risk-free interest rate	4.68	%


	Year Ended June 30,
	2023
Balance at beginning of period	$	—
Purchase of warrants	3,257
Unrealized gains on warrants	9,841
Balance at ending of period	$	13,098