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The Madison Square Garden Company Reports Results for the Fiscal 2013 Third Quarter

The Madison Square Garden Company Reports Results for the Fiscal 2013 Third
Quarter

Third quarter revenues of $412.4 million, a 3% increase compared to prior year
                                   quarter

  Third quarter AOCF of $91.7 million, a 14% increase compared to prior year
                                   quarter

  Third quarter operating income of $63.8 million, up 20% versus prior year
                                   quarter

NEW YORK, May 3, 2013 (GLOBE NEWSWIRE) -- The Madison Square Garden Company
(Nasdaq:MSG) today reported financial results for the fiscal third quarter
ended March 31, 2013.

Fiscal 2013 third quarter revenues of $412.4 million grew 3%, as compared to
the prior year quarter, primarily due to an increase in revenues in the MSG
Media segment, partially offset by a decrease in revenues in the MSG Sports
segment. Adjusted operating cash flow ("AOCF")^(1) of $91.7 million increased
14%, as compared to the prior year quarter, primarily due to an increase in
AOCF in the MSG Media segment, partially offset by a decrease in AOCF in the
MSG Sports segment. Fiscal 2013 third quarter operating income of $63.8
million grew 20% and net income of $38.4 million ($0.49 per diluted share)
increased 24%, both as compared to the prior year quarter.

Results for the fiscal 2013 third quarter were impacted by the shortened NHL
regular season as a result of the NHL work stoppage, which delayed the start
of the 2012-13 regular season by approximately three months to January 19,
2013 and led to a shortened 48-game regular season. As a result, the New York
Rangers (as well as other NHL teams whose games are telecast on MSG Networks)
played fewer regular season home and away games during the fiscal 2013 third
quarter as compared to the prior year quarter.

In addition, the comparability of fiscal 2013 third quarter results to the
prior year quarter was impacted by last year's NBA work stoppage, which
resulted in a shortened 66-game 2011-12 regular season, with those games
primarily taking place in the fiscal 2012 third quarter. As a result of last
year's compressed regular season schedule, the New York Knicks played fewer
regular season home and away games during the fiscal 2013 third quarter as
compared to the prior year quarter.

President and CEO Hank Ratner said: "Our company delivered strong AOCF results
in our fiscal third quarter, as we successfully managed our business through
the NHL work stoppage. The final phase of the Transformation project will
begin following the end of the Knicks' and Rangers' seasons, and we look
forward to the successful completion of this historic project in the fall.
With the approaching conclusion of this significant capital investment,
long-term NBA and NHL collective bargaining agreements now in place, our
recurring and increasing affiliation fee revenue base and a strong balance
sheet, we believe our company is well-positioned to drive continued growth."


Results from Operations

Segment results for the quarters ended March 31, 2013 and 2012 are as follows:

             
             Revenues             AOCF                     Operating Income
                                                            (Loss)
$ millions    F'Q3   F'Q3   %      F'Q3   F'Q32012 %      F'Q3   F'Q3   %
              2013   2012   Change 2013              Change 2013   2012  Change
MSG Media     $184.7 $166.2 11 %  $95.4  $65.3      46 %  $89.8  $58.5  53 %
MSG           35.5   34.3   3 %   (13.1) (12.8)     (2) %  (17.1) (16.4) (4) %
Entertainment
MSG Sports    208.1  216.1  (4) %  11.6   29.3       (60) % 8.1    25.4   (68) %
Other
(includes     (15.8) (16.2) 2%    (2.2)  (1.7)      (33) % (17.0) (14.2) (20) %
eliminations)
Total Company $412.4 $400.5 3 %   $91.7  $80.2      14 %  $63.8  $53.3  20 %
Note: Does not foot due to rounding
1. See definition of adjusted operating cash flow ("AOCF") included in
the discussion of non-GAAP financial measures below.

MSG Media

For the fiscal third quarter, MSG Media revenues of $184.7 million grew 11%,
as compared to the prior year period.Affiliation fee revenue increased $16.8
million, as compared to the prior year quarter.This increase was primarily
attributable to MSG Networks being carried by a key affiliate for the entire
quarter versus approximately half of the prior year quarter, and higher
affiliation rates, partially offset by the impact of revenue recognized in the
prior year quarter related to this affiliate's carriage of Fuse during
calendar 2011.Advertising revenue increased $1.8 million, as compared to the
prior year quarter, primarily due to higher advertising revenue at Fuse.
Advertising revenue at MSG Networks decreased slightly as compared to the
prior year quarter, primarily due to the impact of fewer NBA telecasts as a
result of the Knicks' compressed schedule in the prior year quarter, combined
with the impact of fewer NHL telecasts as a result of the NHL work stoppage,
as well as other advertising revenue decreases, largely offset by higher
Knicks per-game advertising revenue.

AOCF of $95.4 million increased 46% and operating income of $89.8 million
increased 53%, both as compared to the prior year quarter, primarily due to
higher revenues and lower direct operating and selling, general and
administrative expenses. The decrease in direct operating expenses was
primarily due to lower rights fee expense, mainly a result of the NHL work
stoppage, as well as lower non-rights related programming costs at MSG
Networks, partially offset by an increase in non-rights related programming
costs at Fuse.The decrease in selling, general and administrative expenses
was primarily due to the absence in the fiscal 2013 third quarter of certain
marketing expenses which were incurred in the prior year quarter related to an
affiliate dispute.

MSG Entertainment

For the fiscal third quarter, MSG Entertainment revenues of $35.5 million grew
3%, as compared to the prior year period.The increase was primarily due to
higher event-related revenues at The Theater at Madison Square Garden and the
Beacon Theatre (both primarily due to an increase in the number of events
held) and higher venue-related sponsorship and signage and suite rental fee
revenues. This increase was mostly offset by lower revenues for the Radio
City Christmas Spectacular franchise, as there were no scheduled performances
during the fiscal 2013 third quarter versus performances during the prior year
quarter, as well as lower event-related revenues at Radio City Music Hall and
The Chicago Theatre (both primarily due to a decrease in the number of events
held). 

AOCF loss of $13.1 million increased 2% and operating loss of $17.1 million
increased 4%, both as compared to the prior year quarter, primarily due to an
increase in selling, general and administrative and direct operating expenses,
partially offset by the increase in revenues.The increase in selling, general
and administrative expenses was primarily due to higher employee compensation
and related benefits and allocated corporate general and administrative
expenses.The increase in direct operating expenses was primarily due to
higher venue operating costs, primarily for Radio City Music Hall and the
Forum, the latter of which is not currently open for events, and higher
event-related expenses, partially offset by lower expenses for the Christmas
Spectacular franchise and other net expense decreases.

MSG Sports

For the fiscal third quarter, MSG Sports revenues of $208.1 million decreased
4% as compared to the prior year period.Total segment revenues were
negatively impacted by the New York Rangers' shortened regular season due to
the NHL work stoppage.In addition, the comparability of segment revenues to
the prior year quarter was impacted by the New York Knicks' compressed regular
season schedule in the prior year quarter as a result of the NBA work
stoppage.The impact of these two items was reflected in lower professional
sports team ticket-related revenue, league distributions, and food, beverage
and merchandise revenues, partially offset by an increase in suite rental fee
revenue and sponsorship and signage revenue.In addition, event-related
revenues from other live sporting events and other net revenues decreased, as
compared to the prior year quarter.

AOCF decreased by $17.7 million to $11.6 million and operating income
decreased by $17.2 million to $8.1 million, both as compared to the prior year
quarter, primarily due to higher direct operating expenses and lower
revenues.The increase in direct operating expenses was primarily due to
higher net provisions for certain team personnel transactions and higher team
personnel compensation costs, partially offset by lower event-related expenses
for other live sporting events, expenses associated with food, beverage and
merchandise sales and other net expense decreases.

About The Madison Square Garden Company

The Madison Square Garden Company is a fully-integrated sports, media and
entertainment business. The Company is comprised of three business segments:
MSG Sports, MSG Media and MSG Entertainment, which are strategically aligned
to work together to drive the Company's overall business, which is built on a
foundation of iconic venues and compelling content that the company creates,
produces, presents and/or distributes through its programming networks and
other media assets. MSG Sports owns and operates the following sports
franchises: the New York Knicks (NBA), the New York Rangers (NHL), the New
York Liberty (WNBA), and the Connecticut Whale (AHL). MSG Sports also features
the presentation of a wide variety of live sporting events including
professional boxing, college basketball, bull riding and tennis. MSG Media is
a leader in production and content development for multiple distribution
platforms, including content originating from the Company's venues. MSG
Media's television networks consist of regional sports networks, MSG Network
and MSG+, collectively referred to as MSG Networks; and Fuse, a national
television network dedicated to music.MSG Networks also include
high-definition channels, MSG HD and MSG+ HD, and Fuse includes its
high-definition channel, Fuse HD.MSG Entertainment is one of the country's
leaders in live entertainment. MSG Entertainment creates, produces and/or
presents a variety of live productions, including the Radio City Christmas
Spectacular featuring the Radio City Rockettes.MSG Entertainment also
presents or hosts other live entertainment events such as concerts, family
shows and special events in the Company's diverse collection of venues. These
venues consist of Madison Square Garden, The Theater at Madison Square Garden,
Radio City Music Hall, the Beacon Theatre, the Forum in Inglewood, CA, The
Chicago Theatre, and the Wang Theatre in Boston, MA. More information is
available at www.themadisonsquaregardencompany.com.

The Madison Square Garden Company logo is available at
http://www.globenewswire.com/newsroom/prs/?pkgid=15647

Non-GAAP Financial Measures

We define adjusted operating cash flow ("AOCF"), which is a non-GAAP financial
measure, as operating income (loss) before 1) depreciation, amortization and
impairments of property and equipment and intangible assets, 2) share-based
compensation expense or benefit, and 3) restructuring charges or credits.
Because it is based upon operating income (loss), AOCF also excludes interest
expense (including cash interest expense) and other non-operating income and
expense items. We believe that the exclusion of share-based compensation
expense or benefit allows investors to better track the performance of the
various operating units of our business without regard to either the
distortive effects of fluctuating stock prices or the settlement of an
obligation that is not expected to be made in cash.

We believe AOCF is an appropriate measure for evaluating the operating
performance of our business segments and the company on a consolidated basis.
AOCF and similar measures with similar titles are common performance measures
used by investors and analysts to analyze our performance. Internally, we use
revenues and AOCF measures as the most important indicators of our business
performance, and evaluate management's effectiveness with specific reference
to these indicators. AOCF should be viewed as a supplement to and not a
substitute for operating income (loss), net income (loss), cash flows from
operating activities, and other measures of performance and/or liquidity
presented in accordance with U.S. generally accepted accounting principles
("GAAP"). Since AOCF is not a measure of performance calculated in accordance
with GAAP, this measure may not be comparable to similar measures with similar
titles used by other companies. For a reconciliation of AOCF to operating
income (loss), please see below.

This press release may contain statements that constitute forward-looking
statements within the meaning of the Private Securities Litigation Reform Act
of 1995. Investors are cautioned that any such forward-looking statements are
not guarantees of future performance or results and involve risks and
uncertainties, and that actual results or developments may differ materially
from those in the forward-looking statements as a result of various factors,
including financial community and rating agency perceptions of the Company and
its business, operations, financial condition and the industry in which it
operates and the factors described in the Company's filings with the
Securities and Exchange Commission, including the sections titled "Risk
Factors" and "Management's Discussion and Analysis of Financial Condition and
Results of Operations" contained therein. The Company disclaims any obligation
to update any forward-looking statements contained herein.

Conference Call Information:

The conference call will be Webcast live today at 10:00 a.m. ET at
www.themadisonsquaregardencompany.com

Conference call dial-in number is 877-347-9170 / Conference ID Number 32084162

Conference call replay number is 855-859-2056 / Conference ID Number 32084162
until May 10, 2013

THE MADISON SQUARE GARDEN COMPANY

CONSOLIDATED OPERATIONS DATA AND RECONCILIATION
(In thousands, except per share data)
(Unaudited)
                                                                  
                                       Three Months Ended Nine Months Ended
                                       March 31,          March 31,
                                       2013      2012     2013       2012
                                                                  
Revenues                               $412,406  $400,451 $1,004,458 $951,097
Adjusted operating cash flow           $91,739   $80,230  $263,336   $205,453
Share-based compensation expense       (4,958)   (4,371)  (13,898)   (14,817)
Operating income before depreciation    86,781    75,859   249,438    190,636
and amortization
Depreciation and amortization (incl.    (22,995)  (22,536) (64,439)   (62,994)
impairments)
Operating income                       63,786    53,323   184,999    127,642
Other income (expense):                                            
Interest expense, net                  (1,193)   (1,088)  (3,607)    (3,601)
Miscellaneous                          3,373     6,590    3,475      6,590
Income from operations before income    65,966    58,825   184,867    130,631
taxes
Income tax expense                     (27,517)  (27,750) (78,902)   (52,649)
Net income                             $38,449   $31,075  $105,965   $77,982
Basic earnings per common share        $0.50     $0.41    $1.39      $1.04
Diluted earnings per common share      $0.49     $0.40    $1.36      $1.01
                                                                  
Basic weighted-average number of common 76,537    75,007   76,022     74,717
shares outstanding
Diluted weighted-average number of      78,041    77,612   77,900     77,392
common shares outstanding

  ADJUSTMENTS TO RECONCILE ADJUSTED OPERATING CASH FLOW TO OPERATING INCOME
                                    (LOSS)

The following is a description of the adjustments to operating income (loss)
in arriving at adjusted operating cash flow as described in this earnings
release:

  *Depreciation and amortization.This adjustment eliminates depreciation,
    amortization and impairments of property and equipment and intangible
    assets in all periods.
  *Share-based compensation expense. This adjustment eliminates the
    compensation expense relating to restricted stock, restricted stock units,
    stock options and stock appreciation rights granted under our employee
    stock plans and non-employee director plans in all periods.

THE MADISON SQUARE GARDEN COMPANY
                                                               
CONSOLIDATED OPERATIONS DATA
(Dollars in thousands)
(Unaudited)
                                                               
REVENUES                                                        
                                             Three Months Ended  
                                             March 31,           
                                                               %
                                             2013       2012     Change
                                                               
MSG Media                                    $184,666   $166,180 11%
MSG Entertainment                            35,491     34,342   3%
MSG Sports                                    208,080    216,131  (4)%
Other (including Inter-segment eliminations) (15,831)   (16,202) 2%
Total Madison Square Garden Company.         $412,406   $400,451 3%
                                                               
                                             Nine Months Ended   
                                             March 31,           
                                                               %
                                             2013       2012     Change
                                                               
MSG Media                                    $500,974   $447,218 12%
MSG Entertainment                            217,390    213,168  2%
MSG Sports                                    329,547    333,567  (1)%
Other (including Inter-segment eliminations) (43,453)   (42,856) (1)%
Total Madison Square Garden Company.         $1,004,458 $951,097 6%


ADJUSTED OPERATING CASH FLOW AND OPERATING INCOME (LOSS)
                        Adjusted Operating       Operating Income   
                        Cash Flow                 (Loss)              
                        Three Months Ended       Three Months Ended 
                        March 31,           %      March 31,           %
                        2013      2012      Change 2013      2012      Change
                                                                  
MSG Media               $95,390   $65,347   46%    $89,786   $58,545   53%
MSG Entertainment       (13,078)  (12,764)  (2)%   (17,102)  (16,415)  (4)%
MSG Sports               11,649    29,316    (60)%  8,143     25,381    (68)%
All other               (2,222)   (1,669)   (33)%  (17,041)  (14,188)  (20)%
Total Madison Square     $91,739   $80,230   14%    $63,786   $53,323   20%
Garden Company
                                                                  
                        Adjusted Operating       Operating Income   
                        Cash Flow                 (Loss)              
                        Nine Months Ended        Nine Months Ended  
                        March 31,           %      March 31,           %
                        2013      2012      Change 2013      2012      Change
                                                                  
MSG Media               $267,712  $192,718  39%    $250,982  $168,837  49%
MSG Entertainment       4,399     10,617    (59)%  (6,904)   (644)     --
MSG Sports               (1,374)   8,933     --     (12,279)  (2,949)   --
All other               (7,401)   (6,815)   (9)%   (46,800)  (37,602)  (24)%
Total Madison Square     $263,336  $205,453  28%    $184,999  $127,642  45%
Garden Company

                                                               
THE MADISON SQUARE GARDEN COMPANY
                                                               
CONSOLIDATED BALANCE SHEETS
(In thousands, except per share data)
(Unaudited)
                                                               
                                                 March 31, 2013 June 30,2012
ASSETS                                                          
Current Assets:                                                 
Cash and cash equivalents                        $228,417       $206,500
Restricted cash                                  4,948          5,789
Accounts receivable, net of allowance for         174,844        126,565
doubtful accounts of $2,063 and $2,434
Net related party receivables                    27,193         27,277
Prepaid expenses                                 35,699         29,700
Other current assets                             17,474         19,980
Total current assets                             488,575        415,811
Property and equipment, net                      1,092,694      969,528
Amortizable intangible assets, net               93,305         101,814
Indefinite-lived intangible assets               158,636        158,636
Goodwill                                         742,492        742,492
Other assets                                     94,845         136,403
                                                 $2,670,547     $2,524,684
                                                               
                                                               
LIABILITIES AND STOCKHOLDERS' EQUITY                            
Current Liabilities:                                            
Accounts payable                                 $6,956         $33,048
Net related party payables                       737            362
Accrued liabilities:                                            
Employee related costs                           67,056         82,886
Other accrued liabilities                        212,760        188,410
Deferred revenue                                 240,219        211,639
Total current liabilities                        527,728        516,345
Defined benefit and other postretirement          64,644         58,817
obligations
Other employee related costs                     44,236         36,689
Other liabilities                                57,708         60,438
Deferred tax liability                           539,371        532,382
Total liabilities                                1,233,687      1,204,671
Commitments and contingencies                                  
Stockholders' Equity:                                           
Class A Common stock, par value $0.01, 360,000
shares authorized; 63,262 and 62,016 shares       638            628
outstanding.
Class B Common stock, par value $0.01, 90,000     136            136
shares authorized; 13,589 shares outstanding
Preferred stock, par value $0.01, 45,000 shares   --             --
authorized; none outstanding
Additional paid-in capital                       1,069,261      1,070,046
Treasury stock, at cost, 597 and 927 shares      (14,191)       (22,047)
Retained earnings                                401,377        295,412
Accumulated other comprehensive loss             (20,361)       (24,162)
Total stockholders' equity                       1,436,860      1,320,013
                                                 $2,670,547     $2,524,684

                                                              
THE MADISON SQUARE GARDEN COMPANY
                                                              
SELECTED CASH FLOW INFORMATION
(Dollars in thousands)
(Unaudited)
                                                              
                                                     Nine Months Ended
                                                     March 31,
                                                     2013      2012
Net cash provided by operating activities            $180,762  $235,567
Net cash used in investing activities                (152,551) (356,473)
Net cash used in financing activities                (6,294)   (2,874)
Net increase (decrease) in cash and cash equivalents 21,917    (123,780)
Cash and cash equivalents at beginning of period     206,500   304,876
Cash and cash equivalents at end of period           $228,417  $181,096

CONTACT: Kimberly Kerns
         Senior Vice President
         Communications
         The Madison Square Garden Company
         (212) 465-6442
        
         Ari Danes, CFA
         Vice President
         Investor Relations
         The Madison Square Garden Company
         (212) 465-6072

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