XML 60 R38.htm IDEA: XBRL DOCUMENT
v3.24.2.u1

Discontinued Operations (Tables) | 12 Months Ended
--- | ---
Jun. 30, 2024
Discontinued Operations and Disposal Groups [Abstract] |
Schedule of Discontinued Operations | The tables below sets forth, for the periods presented, the operating results of the disposal groups. Amounts presented below differ from historically reported results for the MSG Entertainment and Tao Group Hospitality business segments in order to reflect discontinued operations presentation.
|  |  |  |  |  |  |  | Year Ended June 30, 2023
|  |  |  |  |  |  | MSG Entertainment |  | Tao Group Hospitality |  | Eliminations (a) |  | Total
Revenues |  |  |  |  |  |  |  | $ | 731,299 |  |  | $ | 447,929 |  |  | $ | (1,761) |  |  | $ | 1,177,467 |
Direct operating expenses |  |  |  |  |  |  |  | (421,440) |  |  | (263,200) |  |  | 1,371 |  |  | (683,269) |
Selling, general, and administrative expenses |  |  |  |  |  |  |  | (119,032) |  |  | (151,271) |  |  | (195) |  |  | (270,498) |
Depreciation and amortization |  |  |  |  |  |  |  | (49,423) |  |  | (23,236) |  |  | — |  |  | (72,659) |
Impairment and other gains, net |  |  |  |  |  |  |  | 4,361 |  |  | 473 |  |  | — |  |  | 4,834 |
Restructuring charges |  |  |  |  |  |  |  | (7,435) |  |  | — |  |  | — |  |  | (7,435) |
Operating income |  |  |  |  |  |  |  | 138,330 |  |  | 10,695 |  |  | (585) |  |  | 148,440 |
Interest income |  |  |  |  |  |  |  | 2,880 |  |  | 149 |  |  | — |  |  | 3,029 |
Interest expense |  |  |  |  |  |  |  | (1,031) |  |  | (2,551) |  |  | — |  |  | (3,582) |
Other income, net |  |  |  |  |  |  |  | 11,456 |  |  | 665 |  |  | — |  |  | 12,121 |
Income from discontinued operations before income taxes |  |  |  |  |  |  |  | 151,635 |  |  | 8,958 |  |  | (585) |  |  | 160,008 |
Income tax expense |  |  |  |  |  |  |  | (5,517) |  |  | (33,695) |  |  | — |  |  | (39,212) |
Income (loss) from discontinued operations, net of taxes |  |  |  |  |  |  |  | 146,118 |  |  | (24,737) |  |  | (585) |  |  | 120,796 |
Gain on disposal before income taxes |  |  |  |  |  |  |  | — |  |  | 213,877 |  |  | — |  |  | 213,877 |
Income tax expense |  |  |  |  |  |  |  | — |  |  | (1,020) |  |  | — |  |  | (1,020) |
Gain on disposal, net of taxes |  |  |  |  |  |  |  | — |  |  | 212,857 |  |  | — |  |  | 212,857 |
Net income from discontinued operations |  |  |  |  |  |  |  | 146,118 |  |  | 188,120 |  |  | (585) |  |  | 333,653 |
Less: Net income attributable to redeemable noncontrolling interests |  |  |  |  |  |  |  | — |  |  | 3,925 |  |  | — |  |  | 3,925 |
Less: Net loss attributable to nonredeemable noncontrolling interests |  |  |  |  |  |  |  | (553) |  |  | (464) |  |  | — |  |  | (1,017) |
Net income from discontinued operations attributable to Sphere Entertainment Co.’s stockholders |  |  |  |  |  |  |  | $ | 146,671 |  |  | $ | 184,659 |  |  | $ | (585) |  |  | $ | 330,745 |
|  |  |  |  |  |  |  | Year Ended June 30, 2022
|  |  |  |  |  |  | MSG Entertainment |  | Tao Group Hospitality |  | Eliminations (a) |  | Total
Revenues |  |  |  |  |  |  |  | $ | 632,612 |  |  | $ | 484,649 |  |  | $ | (2,698) |  |  | $ | 1,114,563 |
Direct operating expenses |  |  |  |  |  |  |  | (417,108) |  |  | (270,728) |  |  | 2,077 |  |  | (685,759) |
Selling, general, and administrative expenses |  |  |  |  |  |  |  | (110,288) |  |  | (154,923) |  |  | — |  |  | (265,211) |
Depreciation and amortization |  |  |  |  |  |  |  | (69,564) |  |  | (32,503) |  |  | — |  |  | (102,067) |
Impairment and other gains, net |  |  |  |  |  |  |  | — |  |  | 2,800 |  |  | — |  |  | 2,800 |
Restructuring charges |  |  |  |  |  |  |  | (1,286) |  |  | — |  |  | — |  |  | (1,286) |
Operating income |  |  |  |  |  |  |  | 34,366 |  |  | 29,295 |  |  | (621) |  |  | 63,040 |
Interest income |  |  |  |  |  |  |  | 612 |  |  | 23 |  |  | — |  |  | 635 |
Interest expense |  |  |  |  |  |  |  | (25,453) |  |  | (1,702) |  |  | — |  |  | (27,155) |
Other expense, net |  |  |  |  |  |  |  | (84,690) |  |  | (82) |  |  | — |  |  | (84,772) |
(Loss) income from operations before income taxes |  |  |  |  |  |  |  | (75,165) |  |  | 27,534 |  |  | (621) |  |  | (48,252) |
Income tax benefit (expense) |  |  |  |  |  |  |  | 14,069 |  |  | (18,114) |  |  | — |  |  | (4,045) |
Net (loss) income |  |  |  |  |  |  |  | (61,096) |  |  | 9,420 |  |  | (621) |  |  | (52,297) |
Less: Net income attributable to redeemable noncontrolling interests |  |  |  |  |  |  |  | — |  |  | 7,739 |  |  | — |  |  | 7,739 |
Less: Net loss attributable to nonredeemable noncontrolling interests |  |  |  |  |  |  |  | (2,864) |  |  | (627) |  |  | — |  |  | (3,491) |
Net (loss) income from discontinued operations attributable to Sphere Entertainment Co.’s stockholders |  |  |  |  |  |  |  | $ | (58,232) |  |  | $ | 2,308 |  |  | $ | (621) |  |  | $ | (56,545) |
_________________ (a) Prior to the MSGE Distribution and Tao Group Hospitality Disposition, the Company’s consolidated results of operations included a number of intercompany transactions between MSG Entertainment and Tao Group Hospitality which were presented in the Company’s segment reporting disclosures. As such, these transactions are eliminated for purposes of this disclosure as they will not continue in periods subsequent to the MSGE Distribution and Tao Group Hospitality Disposition, respectively. The table below sets forth, for the periods presented, significant selected financial information related to discontinued activities included in the accompanying consolidated financial statements:
| 2023 |  | 2022 |  |
| MSG Entertainment |  | Tao Group Hospitality (a) |  | MSG Entertainment |  | Tao Group Hospitality |  |  |  |
Non-cash items included in net income (loss): |  |  |  |  |  |  |  |  |  |  |  |
Depreciation and amortization |  | $ | 49,423 |  |  | $ | 23,236 |  |  | $ | 69,564 |  |  | $ | 32,503 |  |  |  |  |
Impairments and other gains, net |  | (4,361) |  |  | (214,350) |  |  | — |  |  | (2,800) |  |  |  |  |
Share-based compensation expense |  | 4,710 |  |  | 7,224 |  |  | 8,480 |  |  | 7,647 |  |  |  |  |
Cash flow from investing activities: |  |  |  |  |  |  |  |  |  |  |  |
Capital expenditures, net |  | 12,832 |  |  | 17,488 |  |  | 15,797 |  |  | 23,309 |  |  |  |  |
Non-cash investing activities: |  |  |  |  |  |  |  |  |  |  |  |
Capital expenditures incurred but not yet paid |  | 780 |  |  | 817 |  |  | 1,585 |  |  | 119 |  |  |  |  |
Investments and loans to nonconsolidated affiliates |  | — |  |  | 113 |  |  | — |  |  | 791 |  |  |  |  |
_________________ (a) Impairments and other gains, net is inclusive of gain on Tao Disposition.

X
- References No definition available. + Details
Name: | us-gaap_DiscontinuedOperationsAndDisposalGroupsAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of information related to a disposal group. Includes, but is not limited to, a discontinued operation, disposal classified as held-for-sale or disposed of by means other than sale or disposal of an individually significant component. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Section 50 -Paragraph 3 -SubTopic 10 -Topic 360 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482099/360-10-50-3 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 205 -SubTopic 20 -Name Accounting Standards Codification -Section 45 -Paragraph 11 -Publisher FASB -URI https://asc.fasb.org/1943274/2147483475/205-20-45-11 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 205 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 3A -Publisher FASB -URI https://asc.fasb.org/1943274/2147483499/205-20-50-3A Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 205 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 4A -Publisher FASB -URI https://asc.fasb.org/1943274/2147483499/205-20-50-4A Reference 5: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 205 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 4B -Publisher FASB -URI https://asc.fasb.org/1943274/2147483499/205-20-50-4B Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 205 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 5A -Publisher FASB -URI https://asc.fasb.org/1943274/2147483499/205-20-50-5A Reference 7: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 205 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 5B -Publisher FASB -URI https://asc.fasb.org/1943274/2147483499/205-20-50-5B Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 205 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 5C -Publisher FASB -URI https://asc.fasb.org/1943274/2147483499/205-20-50-5C Reference 9: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 205 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 5D -Publisher FASB -URI https://asc.fasb.org/1943274/2147483499/205-20-50-5D Reference 10: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 205 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 7 -Publisher FASB -URI https://asc.fasb.org/1943274/2147483499/205-20-50-7 Reference 11: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 360 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 3A -Publisher FASB -URI https://asc.fasb.org/1943274/2147482099/360-10-50-3A Reference 12: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Section 50 -Paragraph 1 -SubTopic 20 -Topic 205 -Publisher FASB -URI https://asc.fasb.org/1943274/2147483499/205-20-50-1 Reference 13: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 3 -Publisher FASB -URI https://asc.fasb.org/1943274/2147483499/205-20-50-3 + Details
Name: | us-gaap_ScheduleOfDisposalGroupsIncludingDiscontinuedOperationsIncomeStatementBalanceSheetAndAdditionalDisclosuresTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration