Shares of Sphere Entertainment Co (SPHR) are soaring 5.22% in Tuesday's trading session following the release of its third-quarter 2025 financial results. The company reported better-than-expected earnings and strong revenue growth, driven by the success of its new Sphere Experience.
Sphere Entertainment posted a quarterly loss of $0.99 per share, significantly beating analysts' expectations of a $1.75 loss. Revenue for the quarter ended September 30 reached $262.5 million, marking a 15% increase compared to the same period last year. The company's Sphere segment was a standout performer, generating $174.1 million in revenue, up 37% year-over-year, largely due to the debut of "The Wizard of Oz at Sphere" and additional concert residency shows.
Despite reporting an operating loss of $129.7 million, Sphere Entertainment's adjusted operating income rose by $46.6 million to $36.4 million. The company also demonstrated confidence in its long-term growth potential by repurchasing approximately $50 million of its Class A common stock during the quarter. With Wall Street's median 12-month price target for Sphere Entertainment Co at $68.50, about 3.2% above its last closing price, investors appear optimistic about the company's future prospects in the entertainment industry.
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