MSG net income jumps on Fuse music TV network sale; revenue tops expectations
The Madison Square Garden Co., which is mulling splitting into two separate companies, said Friday that its fiscal first-quarter net income soared compared with a year ago as it recorded a gain from selling its music television network Fuse.
Shares of the New York company rose as much as 3 percent Friday, reaching an all-time high.
Earlier this week, MSG said it's considering a plan to split off its entertainment businesses from its media and sports divisions. The entertainment unit hosts live events at its namesake Manhattan venue and Radio City Musical Hall, while the media and sports business owns teams including the New York Knicks and the New York Rangers and regional sports networks. There's no timetable for when the split might happen.
On Friday, MSG said net income rose to $108.1 million, or $1.38 per share, in the quarter ending Sept. 30, up from $23.9 million, or 31 cents per share, in the same quarter a year ago. Its earnings included a $162.4 million gain from the sale of Fuse in July.
Revenue rose 12 percent to $241.7 million from $215.6 million, surpassing Street forecasts. Analysts expected $219 million, according to Zacks.
Shares of MSG rose 79 cents, or 1.1 percent, to $74.87 in morning trading Friday. Earlier, they hit an all-time high of $76.45.
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