Sphere turns corner on profitability with higher number of shows

Sphere Entertainment Co. has finally started hitting the financial groove that company officials have talked about since they opened Las Vegas’ immersive, spherical venue in 2023.

The company, which owns the $2.3 billion Sphere Las Vegas and is on the verge of building a similar facility in Abu Dhabi, United Arab Emirates, on Monday reported net income of $151.8 million, $3.39 a share, on revenue of $282.7 million for the quarter that ended June 30.

During the same period last year, the company booked a net loss of $46.6 million, a loss of $1.31 a share, on revenue of $273.4 million.

“As we said from the start, our goal is to design and operate a venue that’s busy 365 days a year with multiple events on most days. And while we started in Las Vegas, our strategy has always included a global network of Sphere venues,” Sphere Entertainment Chairman and CEO James Dolan said in a conference call with investors on Monday.

“This year, our priorities have been to continue enhancing our operating model in Las Vegas, drive long-term profitability for the business, and advance our plans to bring Sphere to Abu Dhabi and additional markets around the world,” he said.

A big part of that goal will be realized Aug. 28 when an immersive version of “The Wizard of Oz” debuts at the venue in Las Vegas.

Using the cutting-edge technologies the building is famous for, Sphere will present an immersive experience around the original 1939 film.

127,000 ‘Oz’ tickets sold

Dolan said the company already has sold more than 127,000 tickets for “The Wizard of Oz,” with ticket sales expected to ramp up to 200,000 as the opening approaches.

Dolan said the company has entered into construction, development and operations agreements with the United Arab Emirates’ Department of Culture and Tourism to begin work on the Abu Dhabi project.

He also said the company has completed its design and business model for small-scale spheres, adding they could be built faster and at a lower cost.

Dolan has said the small spheres would seat around 5,000 people compared with the 17,500 capacity in Las Vegas. The small spheres would feature the same content as the large venues. Overall, Sphere Las Vegas is slated to host 100 concerts this year, up from 70 in 2024, he said.

Sphere recently completed the venue’s first country act, Kenny Chesney, with a 15-show run in May and June, which followed the continuation of residencies from the Eagles and Dead &Company. In July, it started a residency by the Backstreet Boys that is continuing this month.

‘From the Edge’ is coming

The company also noted that in June it sold its 4 millionth ticket for “Postcard From Earth,” the inaugural film that demonstrates all of Sphere’s technological capabilities.

Dolan said another film is in production: “From the Edge,” directed by Academy Award-winning E. Chai Vasarhelyi and Jimmy Chin, featuring five extreme sports athletes, free diver Alenka Artnik, skier Markus Eder, rock climber Alex Honnold, BASE jumper Katie Hansen Lajeunesse, and surfer Kai Lenny.

Filming is underway in Jordan, Dubai, Switzerland, the Bahamas, Austin, Maui and Las Vegas. The film is scheduled to debut in 2026.

Sphere is continuing to serve as a venue for corporate meetings and hosted Hewlett Packard for the second straight year. It recently announced it would host a keynote address for Lenovo at CES 2026 in January.

The company said revenue from sponsorship, signage, exosphere advertising and suite license fees declined by $500,000 as compared to the quarter last year.

It cited lower exosphere advertising revenue that was partially offset by an increase in sponsorship and suite license fees.

Contact Richard N. Velotta at rvelotta@reviewjournal.com or 702-477-3893. Follow @RickVelotta on X.