Madison Square Garden Sports Corp. (NYSE: MSGS) reported financial results for the fiscal second quarter ended December 31, 2024, showing revenue growth but declining profitability. The company generated revenues of $357.8 million, a 9% increase from the prior year, driven by higher ticket-related revenues, suite sales, sponsorship, and media rights fees. The New York Knicks and Rangers played three additional home games at Madison Square Garden, contributing to increased per-game revenues across all key categories.

Despite revenue growth, operating income dropped 54% to $13.3 million, and adjusted operating income fell 45% to $20.2 million, primarily due to higher team personnel costs, NBA luxury tax expenses, and increased league revenue-sharing provisions. Direct operating expenses rose 19% to $275.8 million, while selling, general, and administrative expenses increased 4% to $67.9 million. CEO James L. Dolan expressed confidence in the company's long-term growth potential, citing strong fan and corporate demand.