The Sphere Entertainment Company reported its first quarter revenue of $386 million was driven by a nearly 40% jump in income from The Wizard of Oz at Sphere and residencies from The Eagles and Illenium‘s Odyssey this week.
Overall company revenue rose 38%, an increase of $105.8 million, in the quarter ending March 31 compared to the same period a year ago, the company reported on Tuesday (May 5). The Sphere segment contributed $266 million to that total on higher per-show-revenues from The Sphere Experience film showings, brand events, concert residencies and sponsorship and suite licensing fees.
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The Wizard of Oz at Sphere has sold nearly 3 million tickets for $370 million in ticket revenue since opening last August, with average ticket prices and per-capita spending holding steady from the fourth quarter despite a contraction in Las Vegas’ tourism, executives said on a call discussing earnings.
Las Vegas tourism was down in 2025 and into January, but rebounded to grow toward the latter half of the first quarter. In good times and bad, however, The Sphere is proving to be a driver of tourism, Jennifer Koester, Sphere’s president and chief operating officer in charge of business operations, said.
“We’re seeing solid demand for The Wizard of Oz from all segments of that market and that includes our cost-conscious consumers,” Koester said on a call discussing the company’s quarterly earnings. “Despite some recent market softness [in Las Vegas tourism], our product remains resilient.”
Koester said they are also seeing strong market demand for Sphere residencies, pointing to Phish selling out its recent nine-show run, Metallica selling out 24 concerts this fall (more than its initially planned 8-show-run) and Backstreet Boys‘ plans for a second 21-show residency this summer. Phish and Metallica’s residencies have contributed to “robust suite sales,” Koester said.
Sphere CEO James Dolan said they’re working on developing more films for the Sphere Experience, including with U2‘s The Edge and other rights holders.
The Las Vegas Sphere remains “the blueprint for [the company’s] global vision,” Dolan said, adding that the next 20,000-seat Sphere slated for Abu Dhabi is on track despite the war in Iran.
“The project has been minimally impacted to date by the conflict in the wider region,” Dolan said, adding that the Abu Dhabi government has selected the venue site and will announce it “at the appropriate time. We look forward to the groundbreaking in Abu Dhabi.”
The National Harbor Sphere in Maryland, a smaller, 6,000-seat version of the Vegas and planned Abu Dhabi Spheres, is proceeding with financing discussions, design finalization and getting necessary approvals from state and county officials. Dolan said they are still targeting an opening within four years.
Despite MSG Networks reporting revenue declined to $120.4 million from $123 million in the year-ago quarter, a decline in advertising revenue and 16% fewer subscribers, Sphere’s stock was up 2.4% over the past 5 days to $143.35.
Earnings snapshot:
-Total revenue: $386.4 million
-Operating income rose $85.8 million compared to last year’s first quarter to $7.2 million.
-Adjusted operating income rose $74 million to $110.0 million.
-The Sphere segment generated $266 million in revenue, up 70% from last year.
-MSG Networks revenue down nearly 2.5% to $120.4 million from $123 million in revenue in 1Q2025.
-Sphere stock is up 4% so far this week to $145.60.
