What changed in this filing

/stocks — the workspaceLOADING

Item 9A. Controls and Procedures

2026-08-13 compared with 2025-08-12 · 409 added, 454 removed, 1183 unchanged (42% of the section changed)

1 unchanged sentence

Evaluation of Disclosure Controls and Procedures

An evaluation was carried out under the supervision and with the participation of the Company’s management, including our Chief Executive Officer and Chief Financial Officer, of the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934) as of the end of the

period covered by this report.

An evaluation was carried out under the supervision and with the participation of the Company’s management, including our Chief Executive Officer and Chief Financial Officer, of the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act) as of the end of the period covered by this report.

Based upon that evaluation, the Company’s Chief Executive Officer and Chief Financial Officer concluded that as of June 30, 2026 the Company’s disclosure controls and procedures were effective.

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Form of Indemnification Agreement between Madison Square Garden Sports Corp.

and its Directors and Executive Officers (incorporated by reference to Exhibit 10.

1 to the Company’s Current Report on Form 8-K on June 1 1, 2025) .

and its Directors and Executive Officers (incorporated by reference to Exhibit 10.1 to the Company’s Current Report on Form 8-K on June 11, 2025).

Form of Madison Square Garden Sports Corp.

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Form of Madison Square Garden Sports Corp.

(formerly, The Madison Square Garden Company) Restricted Stock Units Agreement (2019) (incorporated by reference to Exhibit 10.14 to the Company’s Form 10-K for the fiscal year ended June 30, 2019 filed on August 20, 2019).

Form of Madison Square Garden Sports Corp.

(formerly, The Madison Square Garden Company) Performance Restricted Stock Units Agreement (2019) (incorporated by reference to Exhibit 10.15 to the Company’s Form 10-K for the fiscal year ended June 30, 2019 filed on August 20, 2019).

Form of Madison Square Garden Sports Corp.

(formerly, The Madison Square Garden Company) Option Agreement (incorporated by reference to Exhibit 10.4 to the Company’s Form 10-Q for the quarter ended December 31, 2017 filed on February 8, 2018).

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and Jamaal Lesane (incorporated by reference to Exhibit 10.1 to the Company’s Current Report on Form 8-K filed on July 9, 2024).

Employment Agreement dated as of April 25, 2023 between Madison Square Garden Sports Corp.

and Alex Shvartsman (incorporated by reference to Exhibit 10.2 to the Company’s Current Report on Form 8-K filed on April 25, 2023).

Employment Agreement dated as of October 1, 2024 between Madison Square Garden Sports Corp.

and Bryan Warner.

and Bryan Warner (incorporated by reference to Exhibit 10.18 to the Company’s Annual Report on Form 10-K for the year ended June 30, 2025 filed on August 12, 2025).

Amended and Restated Credit Agreement, dated as of November 6, 2020, by and among New York Knicks, LLC, JPMorgan Chase Bank, N.A.

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Amendment No.

2 dated as of March 19, 2021, to the Credit Agreement, dated as of January 25, 2017, by and among New York Rangers, LLC, the lenders party thereto and JPMorgan Chase Bank N.A., as agent (incorporated by reference to Exhibit 10.1 to the Company’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2021 filed on May 6, 2021).

1 to Second Amended and Restated Credit Agreement, dated as of November 6, 2025, by and among New York Rangers, LLC, JPMorgan Chase Bank, N.A., as administrative agent and collateral agent, and the lenders party thereto (incorporated by reference to Exhibit 10.2 to the Company's Current Report on Form 8-K filed on November 7, 2025).

Amendment No.

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Sponsorship Sales and Service Representation Agreement, dated April 15, 2020, between New York Rangers, LLC and MSG Entertainment Group, LLC (incorporated by reference to Exhibit 10.77 to the Company’s Annual Report on Form 10-K for the year ended June 30, 2020 filed on August 31, 2020).

Insider Trading Polic y (incorporated by reference to Exh ibit 19.1 to the Company ’ s Annual Report on Form 1 0-K for the year ended June 30, 2024 filed on August 13, 2024).

Form of Restricted Stock Units Agreement Under the 2015 Employee Stock Plan, As Amended (incorporated by reference to Exhibit 10.1 to the Company’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2025 filed on October 31, 2025).

Form of Performance Restricted Stock Units Agreement Under the 2015 Employee Stock Plan, As Amended (incorporated by reference to Exhibit 10.

2 to the Company’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2025 filed on October 31, 2025).

Form of Options Agreement Under the 2015 Employee Stock Plan, As Amended (incorporated by reference to Exhibit 10.

3 to the Company’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2025 filed on October 31, 2025).

Amendment No.

1 to Second Amended and Restated Credit Agreement, dated as of November 6, 2025, by and among New York Knicks, LLC, JPMorgan Chase Bank, N.A., as administrative agent and collateral agent, and the lenders party thereto (incorporated by reference to Exhibit 10.1 to the Company's Current Report on Form 8-K filed on November 7, 2025).

Employment Agreement, dated as of November 19, 2025, between Madison Square Garden Sports Corp.

and Christopher Ripp (incorporated by reference to Exhibit 10.1 to the Company's Current Report on Form 8-K filed on November 21, 2025).

Employment Agreement, dated as of April 28, 2026, between Madison Square Garden Sports Corp.

and Paul DiCicco (incorporated by reference to Exhibit 10.1 to the Company's Current Report on Form 8-K filed on May 4, 2026).

Insider Trading Policy, as amended in February 2026.

Subsidiaries of the Registrant.

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Certification by the Chief Financial Officer Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

Clawback Polic y (incorporated by reference to Exhibit 97.1 to the Company ’ s Annual Report on Form 10-K for the year ended June 30, 2024 filed on August 13, 2024).

Clawback Policy (incorporated by reference to Exhibit 97.1 to the Company’s Annual Report on Form 10-K for the year ended June 30, 2024 filed on August 13, 2024).

101 The following materials from Madison Square Garden Sports Corp.

Annual Report on Form 10-K for the year ended June 30, 2026, formatted in Inline Extensible Business Reporting Language (iXBRL):

(i) Consolidated Balance Sheets, (ii) Consolidated Statements of Operations, (iii) Consolidated Statements of Comprehensive (Loss) Income, (iv) Consolidated Statements of Cash Flows, (v) Consolidated Statements of Equity, and (vi) Notes to Consolidated Financial Statements.

(i) Consolidated Balance Sheets, (ii) Consolidated Statements of Operations, (iii) Consolidated Statements of Comprehensive Income (Loss), (iv) Consolidated Statements of Cash Flows, (v) Consolidated Statements of Equity, and (vi) Notes to Consolidated Financial Statements.

104 Cover Page Interactive Data File (formatted in iXBRL and included in Exhibit 101).

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(in thousands)

of Period Charged to Costs and Expenses Charged to Other Accounts Deductions Balance at

Charged to Costs and Expenses

Charged to Other Accounts

Deductions Balance at

Year ended June 30, 2026

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$ ( 2,728 ) $ ( 1,432 ) $ — $ — $ ( 4,160 )

Pursuant to the requirements of the Section 13 or 15(d) the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized, on the 12 th day of August 2025.

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized, on the 13 th day of August 2026.

Madison Square Garden Sports Corp.

/ s / VICTORIA M.

/ s / PAUL DICICCO

Executive Vice President, Chief Financial Officer and Treasurer

POWER OF ATTORNEY

KNOW ALL PERSONS BY THESE PRESENTS, that each person whose signature appears below constitutes and appoints Victoria M.

Mink, Bryan Warner and Mark C.

KNOW ALL PERSONS BY THESE PRESENTS, that each person whose signature appears below constitutes and appoints Paul DiCicco, Bryan Warner and Mark C.

Cresitello, and each of them, as such person’s true and lawful attorneys-in-fact and agents, with full power of substitution and resubstitution, for such person in such person’s name, place and stead, in any and all capacities, to sign this report, and file the same, with all exhibits thereto, and other documents in connection therewith, with the Securities and Exchange Commission, granting unto said attorneys-in-fact and agents, full power and authority to do and perform each and every act and thing requisite and necessary to be done as fully to all intents and purposes as he might or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents or any of them may lawfully do or cause to be done by virtue hereof.

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DOLAN Executive Chairman and Chief Executive Officer (Principal Executive Officer) and Director August 13, 2026

/ s / VICTORIA M.

/ s / PAUL DICICCO

Executive Vice President,

Chief Financial Officer (Principal Financial Officer) and Treasurer August 13, 2026

/ s / ALEXANDER SHVARTSMAN

Senior Vice President, Controller and

Principal Accounting Officer August 12, 2025

Alexander Shvartsman

/ s / CHRISTOPHER RIPP

Senior Vice President, Controller and Principal Accounting Officer August 13, 2026

Christopher Ripp

/ s / CHARLES P.

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Consolidated Statements of Operations for the years ended June 30, 202 6 , 202 5 and 202 4

Consolidated Statements of Comprehensive (Loss) Income for the years ended June 30, 2025, 2024 and 2023

Consolidated Statements of Comprehensive Income (Loss) for the years ended June 30, 202 6 , 202 5 and 202 4

Consolidated Statements of Cash Flows for the years ended June 30, 202 6 , 202 5 and 202 4

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We have audited the accompanying consolidated balance sheets of Madison Square Garden Sports Corp.

and subsidiaries (the "Company") as of June 30, 2025 and 2024, the related consolidated statements of operations, comprehensive (loss) income, cash flows, and equity, for each of the three years in the period ended June 30, 2025, and the related notes and the consolidated financial statement Schedule II listed in the Index at Item 15 (collectively referred to as the "financial statements").

and subsidiaries (the "Company") as of June 30, 2026 and 2025, the related consolidated statements of operations, comprehensive income (loss), cash flows, and equity, for each of the three years in the period ended June 30, 2026, and the related notes and the consolidated financial statement Schedule II listed in the Index at Item 15 (collectively referred to as the "financial statements").

In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of June 30, 2026 and 2025, and the results of its operations and its cash flows for each of the three years in the period ended June 30, 2026, in conformity with accounting principles generally accepted in the United States of America.

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Critical Audit Matter Description

Certain members of the Dolan family, including certain trusts for the benefit of members of the Dolan family (collectively, the “Dolan Family Group”) is the majority beneficial owner of the Company, Sphere Entertainment Co., Madison Square Garden Entertainment Corp., AMC Networks, Inc., and other related entities.

Certain members of the Dolan family, including certain trusts for the benefit of members of the Dolan family are the majority beneficial owner of the Company, Sphere Entertainment Co., Madison Square Garden Entertainment Corp., AMC Global Media Inc., and other related entities.

In addition, there are overlapping directors and executive officers between the entities.

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Our audit procedures related to the Company’s identification of related parties and related party transactions included the following:

• We tested the effectiveness of internal controls over the Company’s related party process, including controls over the identification of the Company’s related party relationships and transactions, the authorization and approval of transactions with related parties, the allocation of revenues and operating expenses among related parties, and the accounting, classification and disclosure of relationships and transactions with related parties in the financial statements;

• Inquired with executive officers including the Company’s internal legal counsel, key members of management, including non-finance and non-accounting personnel, and the Audit Committee of the Board of Directors regarding related party relationships and transactions;

• Read agreements and contracts with and between related parties and, in certain cases third parties, and evaluated whether authorization and approvals were obtained and the terms and other information about transactions are consistent with explanations from inquiries and other audit evidence obtained about the business purpose of the transactions;

• With the assistance of our data specialists, we analyzed the general ledger detail to identify potential undisclosed transactions with related parties;

• With the assistance of our data specialists, we analyzed the general ledger detail to identify potential unidentified transactions with related parties;

• Compared the Company’s reconciliation of applicable accounts to related parties’ records of transactions and balances;

• Received confirmations from related parties, and, in certain cases third parties, and compared responses to the Company’s records;

• Performed the following procedures to identify information related to potential undisclosed transactions between the Company and related parties that may also include third parties:

• Performed the following procedures to identify information related to potential unidentified transactions between the Company and related parties that may also include third parties:

◦ Read the Company’s minutes from meetings of the Board of Directors and related committees of the Board of Directors;

◦ Read agreements and contracts with and between related parties and, in certain cases third parties;

◦ Inspected annual compliance questionnaires completed by the Company’s directors and officers;

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Operating lease liabilities, noncurrent 843,975 841,050

Defined benefit obligations 4,086 4,103

Other employee-related costs 71,984 82,178

Deferred tax liabilities, net — 16,925

Deferred revenue, noncurrent 554 662

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Depreciation and amortization 3,179 3,218 3,164

Restructuring charges 2,078 — —

Operating income 28,868 14,808 146,038

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Interest expense ( 21,085 ) ( 21,652 ) ( 27,589 )

Miscellaneous (expense) income, net ( 14,462 ) ( 15,568 ) 25,239

Miscellaneous income (expense), net 7,261 ( 14,462 ) ( 15,568 )

( 10,885 ) ( 32,080 ) ( 40,370 )

(Loss) income before income taxes ( 17,272 ) 105,668 89,921

Income (loss) before income taxes 17,983 ( 17,272 ) 105,668

Income tax expense ( 10,224 ) ( 5,166 ) ( 46,897 )

Net (loss) income ( 22,438 ) 58,771 45,628

Net loss attributable to nonredeemable noncontrolling interests — — ( 2,165 )

Net (loss) income attributable to Madison Square Garden Sports Corp.’s stockholders $ ( 22,438 ) $ 58,771 $ 47,793

Basic (loss) earnings per common share attributable to Madison Square Garden Sports Corp.’s stockholders $ ( 0.93 ) $ 2.45 $ 1.90

Diluted (loss) earnings per common share attributable to Madison Square Garden Sports Corp.’s stockholders $ ( 0.93 ) $ 2.44 $ 1.89

Net income (loss) $ 7,759 $ ( 22,438 ) $ 58,771

Basic earnings (loss) per common share attributable to Madison Square Garden Sports Corp.’s stockholders $ 0.32 $ ( 0.93 ) $ 2.45

Diluted earnings (loss) per common share attributable to Madison Square Garden Sports Corp.’s stockholders $ 0.32 $ ( 0.93 ) $ 2.44

Weighted-average number of common shares outstanding:

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MADISON SQUARE GARDEN SPORTS CORP.

CONSOLIDATED STATEMENTS OF COMPREHENSIVE (LOSS) INCOME

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

(in thousands)

1 unchanged sentence

2026 2025 2024

Net (loss) income $ ( 22,438 ) $ 58,771 $ 45,628

Other comprehensive income, before income taxes:

Net income (loss) $ 7,759 $ ( 22,438 ) $ 58,771

Other comprehensive (loss) income, before income taxes:

Benefit plans:

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— ( 28 ) 437 81 30 85

Other comprehensive income, before income taxes 81 85 263

Income tax expense related to items of other comprehensive income ( 26 ) ( 28 ) ( 86 )

Other comprehensive income, net of income taxes 55 57 177

Comprehensive (loss) income ( 22,383 ) 58,828 45,805

Comprehensive loss attributable to nonredeemable noncontrolling interests — — ( 2,165 )

Comprehensive (loss) income attributable to Madison Square Garden Sports Corp.’s stockholders $ ( 22,383 ) $ 58,828 $ 47,970

Other comprehensive (loss) income, before income taxes ( 28 ) 81 85

Income tax benefit (expense) related to items of other comprehensive (loss) income 9 ( 26 ) ( 28 )

Other comprehensive (loss) income, net of income taxes ( 19 ) 55 57

Comprehensive income (loss) $ 7,740 $ ( 22,383 ) $ 58,828

See accompanying notes to consolidated financial statements.

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Cash flows from operating activities:

Net (loss) income $ ( 22,438 ) $ 58,771 $ 45,628

Adjustments to reconcile net (loss) income to net cash provided by operating activities:

Net income (loss) $ 7,759 $ ( 22,438 ) $ 58,771

Adjustments to reconcile net income (loss) to net cash provided by operating activities:

Depreciation and amortization 3,179 3,218 3,164

Deferred income taxes 6,054 ( 51,769 ) ( 7,135 )

Share-based compensation expense 21,524 17,935 21,291

(Benefit from) provision for deferred income taxes ( 51,769 ) ( 7,135 ) 15,022

Unrealized loss (gain) on equity investments with readily determinable fair value and warrants 11,536 10,591 ( 26,561 )

Unrealized (gain) loss on equity investments with readily determinable fair value and warrants ( 9,340 ) 11,536 10,591

Other non-cash adjustments 6,684 5,538 7,264

Change in assets and liabilities:

Accounts receivable, net 7,926 6,358 5,976

Accounts receivable ( 26,329 ) 7,926 6,358

Net related party receivables ( 32,521 ) 28,673 ( 16,286 )

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Capital expenditures ( 1,407 ) ( 3,621 ) ( 1,451 )

Cash outflow associated with disposal of subsidiary — — ( 3,024 )

Purchases of investments ( 2,401 ) ( 3,399 ) ( 7,447 )

Distribution from equity method investee 1,602 — —

Other investing activities — 100 —

Net cash used in investing activities ( 2,206 ) ( 6,920 ) ( 8,898 )

See accompanying notes to consolidated financial statements.

MADISON SQUARE GARDEN SPORTS CORP.

CONSOLIDATED STATEMENTS OF CASH FLOWS (Continued)

(in thousands)

Years Ended June 30,

2025 2024 2023

Cash flows from financing activities:

Accelerated share repurchase — — ( 75,060 )

Taxes paid in lieu of shares issued for equity-based compensation ( 11,097 ) ( 11,773 ) ( 8,084 )

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Repayment of NHL advance ( 7,500 ) ( 6,000 ) —

Other financing activities — — 3,607

Payments for financing costs ( 5,065 ) — —

Net cash used in financing activities ( 49,134 ) ( 26,406 ) ( 28,785 )

Net increase (decrease) in cash, cash equivalents and restricted cash 58,281 54,448 ( 50,559 )

Net increase in cash, cash equivalents and restricted cash 11,323 58,281 54,448

Cash, cash equivalents and restricted cash at beginning of period 153,188 94,907 40,459

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(in thousands)

Issued Additional

Capital Treasury

Stock Accumulated Deficit Accumulated

Comprehensive

Loss Total Madison Square Garden Sports Corp.

Stockholders ’ Equity

Nonredeemable

Noncontrolling

Interests Total Equity

Balance as of June 30, 2022 $ 249 $ 17,573 $ ( 128,026 ) $ ( 35,699 ) $ ( 1,186 ) $ ( 147,089 ) $ 1,712 $ ( 145,377 )

Net income (loss) — — — 47,793 — 47,793 ( 2,165 ) 45,628

Other comprehensive income — — — — 177 177 — 177

Comprehensive income (loss) — — — — 47,970 ( 2,165 ) 45,805

Share-based compensation — 25,203 — — — 25,203 — 25,203

Tax withholding associated with shares issued for equity-based compensation

— ( 17,897 ) — — — ( 17,897 ) — ( 17,897 )

Common stock issued under stock incentive plans

— ( 9,179 ) 20,983 ( 8,928 ) — 2,876 — 2,876

Dividends declared ($ 7.00 per share)

Years Ended June 30,

2026 2025 2024

Accelerated share repurchase — 1,649 ( 72,367 ) ( 4,342 ) — ( 75,060 ) — ( 75,060 )

Adjustments to noncontrolling interests — ( 503 ) — — — ( 503 ) 453 ( 50 )

Balance as of June 30, 2023 $ 249 $ 16,846 $ ( 179,410 ) $ ( 173,910 ) $ ( 1,009 ) $ ( 337,234 ) $ — $ ( 337,234 )

See accompanying notes to consolidated financial statements.

MADISON SQUARE GARDEN SPORTS CORP.

CONSOLIDATED STATEMENTS OF EQUITY

(in thousands)

Issued Additional

Capital Treasury

Stock Accumulated Deficit Accumulated

Comprehensive

Loss Total Equity

Balance as of June 30, 2023 $ 249 $ 16,846 $ ( 179,410 ) $ ( 173,910 ) $ ( 1,009 ) $ ( 337,234 )

Net income — — — 58,771 — 58,771

Other comprehensive income — — — — 57 57

Comprehensive income — — — — — 58,828

Common Stock Issued $ 249 $ 249 $ 249

Additional Paid-In Capital

Beginning Balance 15,348 19,079 16,846

Share-based compensation 21,524 17,935 21,291

Tax withholding associated with shares issued for equity-based compensation ( 11,097 ) ( 10,662 ) ( 9,195 )

— ( 9,195 ) — — — ( 9,195 )

Common stock issued under stock incentive plans ( 8,685 ) ( 11,004 ) ( 9,863 )

— ( 9,863 ) 9,863 — — —

Balance as of June 30, 2024 $ 249 $ 19,079 $ ( 169,547 ) $ ( 115,139 ) $ ( 952 ) $ ( 266,310 )

See accompanying notes to consolidated financial statements.

MADISON SQUARE GARDEN SPORTS CORP.

CONSOLIDATED STATEMENTS OF EQUITY

(in thousands)

Issued Additional

Capital Treasury

Stock Accumulated Deficit Accumulated

Comprehensive

Loss Total Equity

Balance as of June 30, 2024 $ 249 $ 19,079 $ ( 169,547 ) $ ( 115,139 ) $ ( 952 ) $ ( 266,310 )

Net loss — — — ( 22,438 ) — ( 22,438 )

Other comprehensive income — — — — 55 55

Comprehensive loss — — — — — ( 22,383 )

Share-based compensation — 17,935 — — — 17,935

Tax withholding associated with shares issued for equity-based compensation — ( 10,662 ) — — — ( 10,662 )

Ending Balance 17,090 15,348 19,079

Treasury Stock

Beginning Balance ( 158,543 ) ( 169,547 ) ( 179,410 )

Common stock issued under stock incentive plans 8,685 11,004 9,863

Ending Balance ( 149,858 ) ( 158,543 ) ( 169,547 )

Accumulated Deficit

Beginning Balance ( 137,596 ) ( 115,139 ) ( 173,910 )

Net income (loss) 7,759 ( 22,438 ) 58,771

Dividends declared ($ 7.00 per share)

( 24 ) ( 19 ) —

Balance as of June 30, 2025 $ 249 $ 15,348 $ ( 158,543 ) $ ( 137,596 ) $ ( 897 ) $ ( 281,439 )

Ending Balance ( 129,861 ) ( 137,596 ) ( 115,139 )

Accumulated Other Comprehensive Loss

Beginning Balance ( 897 ) ( 952 ) ( 1,009 )

Other comprehensive (loss) income ( 19 ) 55 57

Ending Balance ( 916 ) ( 897 ) ( 952 )

Total Equity $ ( 263,296 ) $ ( 281,439 ) $ ( 266,310 )

See accompanying notes to consolidated financial statements.

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The Company’s other professional sports franchises include two development league teams — the Hartford Wolf Pack of the American Hockey League and the Westchester Knicks of the NBA G League.

These professional sports franchises are collectively referred to herein as the “sports teams” or the “teams.” In addition, the Company previously owned a controlling interest in Counter Logic Gaming (“CLG”), a North American esports organization.

In April 2023, the Company sold its controlling interest in CLG to Hard Carry Gaming Inc.

(“NRG”), a professional gaming and entertainment company, in exchange for a noncontrolling equity interest in the combined NRG/CLG company.

The Company also operates a professional sports team performance center — the Madison Square Garden Training Center in Greenburgh, NY.

These professional sports franchises are collectively referred to herein as the “sports teams” or the “teams.” The Company also operates a professional sports team performance center — the Madison Square Garden Training Center in Greenburgh, NY.

The Company operates and reports financial information in one segment.

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Unless the context otherwise requires, all references to MSG Entertainment, Sphere Entertainment and MSG Networks refer to such entity, together with its direct and indirect subsidiaries.

Summary of Significant Accounting Policies

Principles of Consolidation

Potential Spin-off Transaction

On February 18, 2026, the Company’s board of directors (the “Board of Directors”) authorized management to explore a potential spin-off that would separate the Company’s Rangers business from its Knicks business, creating two distinct publicly traded companies.

On April 28, 2026, the Company incorporated MSGS Spinco, Inc., a Nevada corporation and direct, wholly owned subsidiary of the Company (“Spinco”), to hold the Rangers business.

If the Company proceeds with the spin-off transaction, the spin-off is expected to be structured as a tax-free distribution to all Company stockholders and upon completion of the contemplated separation, it is expected that each record holder of Company Class A common stock would receive one share of Spinco Class A common stock for every two shares of Company Class A common stock held, and each record holder of Company Class B common stock would receive one share of Spinco Class B common stock for every two shares of Company Class B Common Stock held, representing a pro-rata distribution of 100 % of the common stock of Spinco.

The Company refers to the potential spin-off as the “Rangers Distribution”.

There can be no assurance that the Rangers Distribution will be completed in the manner described above, or at all.

Completion of the Rangers Distribution would be subject to various conditions, including final approval by the Board of Directors, league approval, receipt of a tax opinion and the filing with the Securities and Exchange Commission (“SEC”) and effectiveness of the Form 10 registration statement.

The Company will

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

maintain the current operating structure and will continue to report the financial results of its Rangers business in continuing operations until the Rangers Distribution is completed.

Basis of Presentation

The Company reports on a fiscal year basis ending on June 30 th .

In these consolidated financial statements, the years ended on June 30, 2026, 2025, and 2024 are referred to as “fiscal year 2026”, “fiscal year 2025”, and “fiscal year 2024”, respectively.

These financial statements reflect the historical results of operations, financial position and cash flows of the Company in accordance with U.S.

generally accepted accounting principles (“GAAP”).

The Company’s financial statements as of and for the fiscal years ended June 30, 2026, 2025 and 2024 are presented on a consolidated basis.

Reclassifications

Certain reclassifications have been made in order to conform to the current period’s presentation and relate to the combination of Defined benefit obligations and Other employee-related costs in non-current liabilities in the accompanying consolidated balance sheets .

Summary of Significant Accounting Policies

Principles of Consolidation

The consolidated financial statements of the Company include the accounts of Madison Square Garden Sports Corp.

and its subsidiaries.

For consolidated subsidiaries where the Company’s ownership is less than 100%, the relevant amounts attributable to investors other than the Company are reflected under “Nonredeemable noncontrolling interests,” “Net loss attributable to nonredeemable noncontrolling interests” and “Comprehensive loss attributable to nonredeemable noncontrolling interests” on the accompanying consolidated balance sheets, consolidated statements of operations and consolidated statements of comprehensive (loss) income, respectively.

All significant intracompany transactions and accounts within the Company’s consolidated financial statements have been eliminated.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

All significant intracompany transactions and accounts within the accompanying consolidated financial statements have been eliminated.

Use of Estimates

The preparation of the accompanying financial statements in conformity with generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions about future events.

The preparation of the accompanying financial statements in conformity with GAAP requires management to make estimates and assumptions about future events.

These estimates and the underlying assumptions affect the amounts of assets and liabilities reported, disclosures about contingent assets and liabilities, and reported amounts of revenues and expenses.

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In addition, estimates are used in revenue recognition, revenue sharing expense (net of escrow), luxury tax expense, income tax expense (benefit), performance and share-based compensation, depreciation and amortization, litigation matters and other matters.

Management believes its use of estimates in the financial statements to be reasonable.

Management believes its use of estimates in the accompanying consolidated financial statements to be reasonable.

Management evaluates its estimates on an ongoing basis using historical experience and other factors, including the general economic environment and actions it may take in the future.

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Direct Operating Expenses

Direct operating expenses include compensation expense for the Company’s sports teams’ players and certain other team personnel, as well as NBA luxury tax, if applicable, NBA and NHL revenue sharing (net of escrow) and league assessments, event costs related to the presentation and production of the Company’s sporting events and other operating expenses, including expenses related to the Arena License Agreements with MSG Entertainment (the “Arena License Agreements”) which require the Company to pay arena license fees to MSG Entertainment in exchange for the right to use The Garden for games of the Knicks and the Rangers for a 35 -year term.

Player Costs and Other Team Personnel Transactions, NBA Luxury Tax, NBA and NHL Escrow System/Revenue Sharing, League Assessments, and Arena License Expenses

Player Costs and Other Team Personnel Transactions

Costs incurred to acquire player contracts, including signing bonuses, are deferred and amortized over the applicable NBA or NHL regular season on a straight-line basis over the fixed contract period of the respective player.

Costs incurred to acquire player contracts, including signing bonuses, are deferred and amortized over the applicable NBA or

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NHL regular season on a straight-line basis over the fixed contract period of the respective player.

The NBA and NHL seasons are typically from mid-October through mid-April and October through mid-April, respectively.

2 unchanged sentences

In instances where a player sustains what is deemed to be a season-ending or career-ending injury, a provision is recorded, when that determination can be reasonably made, for the remainder of the player’s seasonal or contractual salary and related costs, including any associated NBA luxury tax, net of any anticipated insurance recoveries.

When players are traded, waived or contracts are terminated, any remaining unamortized signing bonuses and prepaid salaries are expensed to current operations.

When players are traded, waived or contracts are terminated, any remaining unamortized signing bonuses and prepaid salaries are expensed to current operations while any accrued but unpaid signing bonuses or salaries are recognized as a credit to current operations.

Cash consideration paid or received via trade is recorded to current operations in the period incurred.

Amounts due to these individuals are generally paid over their remaining contract terms.

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The new NBA CBA expires after the 2029-30 season, but each of the NBA and the NBPA has the right to terminate the CBA effective following the 2028-29 season.

The current NHL CBA expires on September 15, 2026 (with the possibility of a one-year extension in certain circumstances).

The current NHL CBA was scheduled to expire on September 15, 2026.

On July 8, 2025, the NHL and the National Hockey League Players’ Association (“NHLPA”) announced that a new four-year CBA had been ratified by the NHL Board of Governors and the NHL players.

The new NHL CBA expires after the 2029-30 season.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

The NBA CBA contains a salary floor (i.e., a floor on each team’s aggregate player salaries with a requirement that the team pay any deficiency to the players on its roster) and a “soft” salary cap (i.e., a cap on each team’s aggregate player salaries but with certain exceptions that enable teams to pay more, sometimes substantially more, than the cap).

The NHL CBA provides for a salary floor (i.e., a floor on each team’s aggregate player salaries) and a “hard” salary cap (i.e., teams may not exceed a stated maximum, which has been adjusted each season thereafter based upon league-wide revenues).

The NHL CBA provides for a salary floor (i.e., a floor on each team’s aggregate player salaries) and a “hard” salary cap (i.e., teams may not exceed a stated maximum), which are adjusted each season based upon league-wide revenues.

NBA Luxury Tax

Amounts in this paragraph are in thousands, except for luxury tax rates.

The NBA CBA generally provides for a luxury tax that is applicable to all teams with aggregate player salaries exceeding a threshold that is set prior to each season based upon projected league-wide revenues (as defined under the NBA CBA), with the amount of luxury tax owed determined based on that season’s luxury tax bracket and tax rates.

The luxury tax bracket for the 2024-25 season was $5,168 and the luxury tax bracket for subsequent seasons will increase annually at the same rate as the NBA salary cap.

Through the 2024-25 season, luxury tax rates for teams with aggregate player salaries above such threshold start at $1.50 for each $1.00 of team salary exceeding the threshold by 0% - 100% of the luxury tax bracket and scale up to $3.25 for each $1.00 of team salary exceeding the threshold by 300% - 400% of the luxury tax bracket.

An additional tax rate increment of $0.50 applies for each additional 100% of the luxury tax bracket of each $1.00 of team salary exceeding the threshold by greater than 400% of the luxury tax bracket.

In addition, through the 2024-25 season, for teams that are taxpayers in at least three of four previous seasons, the above tax rates are increased by $1.00 for each increment.

The amount of luxury tax owed is determined based upon the amount of aggregate player salaries exceeding the season’s luxury tax threshold and tax rates based upon that season’s luxury tax bracket.

The luxury tax brackets for the 2024-25 and 2025-26 seasons were $5,168 and $5,685, respectively, and the luxury tax bracket for subsequent seasons will increase annually at the same rate as the NBA salary cap.

Through the 2024-25 season, luxury tax rates for teams with aggregate player salaries above such threshold started at $1.50 for each $1.00 of team salary exceeding the threshold by 0% - 100% of the luxury tax bracket and scaled up to $3.25 for each $1.00 of team salary exceeding the threshold by 300% - 400% of the luxury tax bracket.

An additional tax rate increment of $0.50 applied for each additional 100% of the luxury tax bracket of each $1.00 of team salary exceeding the threshold by greater than 400% of the luxury tax bracket.

In addition, through the 2024-25 season, for teams that were taxpayers in at least three of four previous seasons, the above tax rates were increased by $1.00 for each increment.

Beginning with the 2025-26 season, luxury tax rates for teams with aggregate player salaries above such threshold start at $1.00 for each $1.00 of team salary exceeding the threshold by 0% - 100% of the luxury tax bracket and scale up to $4.75 for each $1.00 of team salary exceeding the threshold by 300% - 400% of the luxury tax bracket.

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The Company recognizes the estimated amount associated with luxury tax expense or the amount it expects to receive as a non-tax paying team, if applicable, on a straight-line basis over the NBA regular season as a component of direct operating expenses.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NBA and NHL Escrow System/Revenue Sharing

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Additional amounts may also be distributed on a discretionary basis, funded by assessments on playoff ticket revenues and through collective league sources and are recorded as revenues from league distributions.

The NHL CBA provides that each season the players receive as player compensation 50% of that season’s league-wide revenues.

The NHL CBA, applicable prior to the 2026-27 season, provides that each season the NHL players in the aggregate receive as player compensation 50% of that season’s league-wide revenues.

Because the aggregate amount to be paid to the players is based upon league-wide revenues and not on a team-by-team basis, the Company may pay its players a higher or lower percentage of the Rangers’ revenues than other NHL teams pay of their own revenues.

In order to implement the escrow system, NHL teams withhold a portion of each player’s salary and contribute the withheld amounts to an escrow account.

In order to implement the escrow system, NHL teams may withhold a portion of each player’s salary and contribute the withheld amounts to an escrow account.

If the league’s aggregate player compensation for a season exceeds the designated percentage (50%) of that season’s league-wide revenues, the excess is retained by the league.

Any such excess funds are distributed to all teams in equal shares.

The NHL CBA limits the amount of deductions to be withheld from player salaries each year.

If annual excess deductions from player salaries are insufficient to limit league-wide player salaries to 50% of that season’s league-wide revenues, any shortfall will be carried forward to future seasons and remain due from the players to the league.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

The NHL CBA provides for a revenue sharing plan which generally requires the distribution of a pool of funds not more than 6.055% of league-wide revenues to certain qualifying lower-revenue teams.

In addition, the NHL CBA limits the amount of deductions to be withheld from player salaries each year.

If annual escrow deductions from player salaries are insufficient to limit league-wide player salaries to 50% of that season’s league-wide revenues, any shortfall will be carried forward to future seasons and remain due from the players to the league.

If the league’s aggregate player compensation for a season is less than the designated percentage (50%) of that season’s league-wide revenues, the deficiency is collected from the teams and distributed to the players.

The NHL CBA provides for a revenue sharing plan which generally requires the distribution of a pool of funds not more than 6.055% of league-wide revenues to certain qualifying lower-revenue earning teams.

Under the NHL CBA, the pool is funded as follows:

(a) 50% from contributions by the top ten revenue earning teams (based on preseason and regular season revenues) in accordance with a formula;

(a) 50% from contributions by the top ten revenue earning teams (based on preseason and regular season revenues, net of arena costs) in accordance with a formula;

(b) then from payments by teams participating in the playoffs, with each team contributing 35% of its gate receipts for each home playoff game;

and (c) the remainder from centrally-generated NHL sources.

The Rangers are consistently among the top ten revenue teams and, accordingly, have consistently contributed to the top ten revenue teams component of the plan.

The new NHL CBA includes certain changes to league rules and regulations, including replacing one preseason home game with a regular season home game, and changes to the revenue sharing plan which, beginning with the 2026-27 season, will be funded as follows:

The Rangers are consistently among the top ten revenue earning teams and, accordingly, have consistently contributed to the top ten revenue earning teams component of the plan.

The new NHL CBA, which is applicable starting with the 2026-27 season, includes certain changes to league rules and regulations, including replacing one preseason home game with a regular season home game, and changes to the revenue sharing plan which, beginning with the 2026-27 season, will be funded as follows:

(a) 50% from contributions by the top eleven revenue earning teams (based on preseason and regular season revenues, net of arena costs) in accordance with a formula;

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In years when the Knicks or the Rangers participate in the playoffs, the Company recognizes its estimate of the playoff revenue sharing contribution in the periods when the playoffs occur.

As of June 30, 2025 and 2024, the Company had revenue sharing liabilities, recorded within League-related accruals, of $ 135,276 and $ 109,011 , respectively.

As of June 30, 2026 and 2025, the Company had revenue sharing liabilities, recorded within League-related accruals in the accompanying consolidated balance sheets, of $ 151,581 and $ 135,276 , respectively.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

League Assessments

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The Knicks and the Rangers play their home games at The Garden pursuant to the Arena License Agreements with MSG Entertainment, which owns and operates The Garden.

Generally, the financial statements reflect the monthly payments made for the Arena License Agreements throughout the contract year in equal installments, and straight-line rent expense recorded by each team equally over each team’s individual event days.

Generally, the financial statements reflect the monthly payments made for the Arena License Agreements throughout the contract year in equal installments, and straight-line rent expense recorded equally as pre/regular season home games are played.

See Note 8 for more information on the accounting for leases.

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Advertising costs are typically charged to expense when incurred.

Total advertising costs classified in selling, general and administrative expenses were $ 5,730 , $ 8,180 and $ 7,279 for the years ended June 30, 2025, 2024 and 2023, respectively.

Total advertising costs classified in selling, general and administrative expenses within the accompanying consolidated statements of operations were $ 6,513 , $ 5,730 and $ 8,180 for fiscal years 2026, 2025 and 2024, respectively.

The Company accounts for income taxes in accordance with ASC Topic 740, Income Taxes .

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The Company’s ability to realize its deferred tax assets depends upon the generation of sufficient future taxable income to allow for the realization of its deductible temporary differences.

If such estimates and related assumptions change in the future, the Company may be required to record valuation allowances against its deferred tax assets, resulting in additional income tax expense in the Company’s consolidated statements of operations.

Interest and penalties, if any, associated with uncertain tax positions are included in income tax expense.

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The Company accounts for forfeitures as they occur.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

In addition, for the Company’s stock option awards, the Company applies the fair value recognition provisions of ASC Topic 718, Compensation — Stock Compensation .

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The Company has opted to use the simplified method for stock options the Company granted in fiscal year 2019 because management believes that the Company does not have sufficient historical exercise data to provide a reasonable basis upon which to estimate the expected term.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

Earnings (Loss) Per Common Share

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For the periods when a net loss is reported, the computation of diluted EPS equals the basic EPS calculation since common stock equivalents were antidilutive due to losses from operations.

Holders of Class A Common Stock and Class B Common Stock are entitled to receive dividends equally on a per-share basis if and when such dividends are declared.

Holders of Class A Common Stock, par value $ 0.01 per share (“Class A Common Stock”) and Class B Common Stock, par value $ 0.01 per share (“Class B Common Stock”) are entitled to receive dividends equally on a per-share basis if and when such dividends are declared.

As the holders of Class A and Class B common stock are entitled to identical dividend and liquidation rights, the undistributed earnings are allocated on a proportionate basis to each class of common stock and the resulting basic and diluted net earnings (loss) per share attributable to common stockholders are, therefore, the same for both Class A and Class B common stock on both an individual and combined basis.

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The Company’s restricted cash includes cash deposited in escrow accounts.

Cash is required to be withheld from player salaries and deposited in an escrow account which is in the name of the Company pursuant to the NHL CBA.

Cash may be required to be withheld from player salaries and deposited in an escrow account which is in the name of the Company pursuant to the NHL CBA.

That escrow account will be distributed to the players and NHL teams based on the provisions of the NHL CBA.

The carrying amount of restricted cash approximates fair value due to the short-term maturity of these instruments.

Changes in restricted cash are reflected on the accompanying consolidated statement of cash flows in accordance with Accounting Standards Update (“ASU”) No.

2016-18, Statement of Cash Flows (Topic 230) , which is included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the Company’s consolidated statements of cash flows.

Changes in restricted cash are reflected in the consolidated statement of cash flows in accordance with Accounting Standards Update (“ASU”) No.

Accounts Receivable

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Long-Lived and Indefinite-Lived Assets

The Company’s long-lived and indefinite-lived assets consist of property and equipment, right-of-use (“ROU”) assets, goodwill,

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

indefinite-lived intangible assets and amortizable intangible assets.

The Company’s long-lived and indefinite-lived assets consist of property and equipment, right-of-use (“ROU”) assets, goodwill and indefinite-lived intangible assets.

Property and equipment is stated at cost.

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Goodwill is tested annually for impairment as of August 31 st and at any time upon the occurrence of certain events or changes in circumstances.

The Company has the option to perform a qualitative assessment to determine if an impairment is more likely than not to have occurred.

The Company has the option to perform a qualitative assessment to determine if an impairment is more likely

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

than not to have occurred.

If the Company can support the conclusion that it is not more likely than not that the fair value of a reporting unit is less than its carrying amount, the Company would not need to perform a quantitative impairment test for that reporting unit.

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As required by GAAP, to the extent that there is a basis difference between the cost and the underlying equity in the net assets of an equity investment, the Company allocates such differences between tangible and intangible assets.

The Company’s share of net earnings or losses of the investment, inclusive of amortization expense for intangible assets associated

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

with the investment, will be reflected in equity in earnings (loss) of nonconsolidated affiliates on the Company’s consolidated statements of operations.

The Company’s share of net earnings or losses of the investment, inclusive of amortization expense for intangible assets associated with the investment, are reflected within Miscellaneous income (expense), net in the consolidated statements of operations.

Dividends received from the investee reduce the carrying amount of the investment.

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The Company measures equity investments without readily determinable fair values at cost, less any impairment, adjusted for observable price changes from orderly transactions for identical or similar investments of the same issuer.

Changes in observable price are reflected within Miscellaneous (expense) income, net in the accompanying consolidated statements of operations.

For equity investments with readily determinable fair values, changes in the fair value of those investments are measured at each reporting date and are recorded within Miscellaneous (expense) income, net in the accompanying consolidated statements of operations.

Changes in observable price are reflected within Miscellaneous income (expense), net in the consolidated statements of operations.

For equity investments with readily determinable fair values, changes in the fair value of those investments are measured at each reporting date and are recorded within Miscellaneous income (expense), net in the consolidated statements of operations.

The Company has investments in certain derivative instruments, including warrants, which are measured at fair value using the Black-Scholes option pricing model.

Changes in the fair value of derivative instruments are measured at each reporting date and are recorded within Miscellaneous (expense) income, net in the accompanying consolidated statements of operations.

The Company recognizes the value of the equity method investments, equity investments with and without readily determinable fair values, and derivative instruments within Investments in the accompanying consolidated balance sheets.

Purchases and sales of equity securities with and without readily determinable fair values, except for those equity investments held in trust under the Company’s Executive Deferred Compensation Plan as described in Note 14, are classified as investing activities in the Company’s consolidated statements of cash flows in accordance with ASC subtopic 230-10-45-12(b) and 45-13(b).

The equity securities held in trust are considered trading account securities by the Company and purchases and sales of those securities are classified as operating activities in the Company’s consolidated statements of cash flows in accordance with ASC Subtopic 230-10-45-18 and 45-19.

Changes in the fair value of derivative instruments are measured at each reporting date and are recorded within Miscellaneous income (expense), net in the consolidated statements of operations.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

activities in the consolidated statements of cash flows in accordance with ASC subtopic 230-10-45-12(b) and 45-13(b).

The equity securities held in trust are considered trading account securities by the Company and purchases and sales of those securities are classified as operating activities in the consolidated statements of cash flows in accordance with ASC Subtopic 230-10-45-18 and 45-19.

Contingencies

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This ASU amends certain provisions of ASC 842, Leases that apply to arrangements between related parties under common control.

The Company adopted this standard as of the beginning of fiscal year 2025 and the adoption did not have an impact on the Company’s consolidated financial statements.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

The Company adopted this standard as of the beginning of fiscal year 2025 and the adoption did not have an impact on the consolidated financial statements.

In November 2023, the FASB issued ASU No.

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Segment Information.

Recently Issued Accounting Pronouncements Not Yet Adopted

In December 2023, the FASB issued ASU No.

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The ASU enhances annual disclosures related to the effective income tax rate reconciliation and income taxes paid.

The ASU is effective for the Company’s Annual Report on Form 10-K for the fiscal year ending June 30, 2026 and subsequent interim periods, with early adoption permitted.

The Company is currently evaluating the impact this standard will have on its income tax disclosures.

The Company adopted this standard as of June 30, 2026 and this standard has been applied retrospectively to all prior periods as presented in Note 19.

Income Taxes.

Recently Issued Accounting Pronouncements Not Yet Adopted

In November 2024, the FASB issued ASU No.

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The Company is currently evaluating the impact this standard will have on its disclosures.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

In September 2025, the FASB issued ASU No.

2025-06, Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40) - Targeted Improvements to the Accounting for Internal-Use Software .

The ASU modernizes and clarifies the threshold for when an entity is required to start capitalizing software costs and is based on when (i) management has authorized and committed to funding the software project and (ii) it is probable that the project will be completed and the software will be used to perform the function intended.

The ASU is effective for the Company in the first quarter of the fiscal year ending June 30, 2029.

The Company is currently evaluating the impact this standard will have on its consolidated financial statements.

Revenue Recognition

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All revenue recognized in the consolidated statements of operations is considered to be revenue from contracts with customers in accordance with ASC Topic 606.

For the year ended June 30, 2025, the Company did not have any impairment losses on receivables arising from contracts with customers.

For the year ended June 30, 2025, the Company recorded impairment losses of $ 109 on contract assets arising from contracts with customers.

For the years ended 2024 and 2023, the Company did not have any impairment losses on receivables or contract assets arising from contracts with customers.

For fiscal years 2026 and 2025, the Company recorded impairment losses of $ 445 and $ 109 , respectively on contract assets arising from contracts with customers.

For fiscal year 2024, the Company did not have any impairment losses on contract assets arising from contracts with customers.

For fiscal years 2026, 2025 and 2024, the Company did not have any impairment losses on receivables arising from contracts with customers.

The Company recognizes revenue when, or as, performance obligations under the terms of a contract are satisfied, which generally occurs when, or as, control of promised goods or services are transferred to customers.

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If performance obligations meet the definition of a series, the contractual fees for all years during the contract term are aggregated and the related revenue is recognized proportionately as the underlying performance obligations are satisfied.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

The timing of revenue recognition for each performance obligation is dependent upon the facts and circumstances surrounding the Company’s satisfaction of its respective performance obligation.

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Key factors considered by the Company in developing an estimated standalone selling price for its performance obligations include, but are not limited to, prices charged for similar performance obligations, the Company’s ongoing pricing strategy and policies, and consideration of pricing of similar performance obligations sold in other arrangements with multiple performance obligations.

The Company may incur costs such as commissions to obtain its multi-year sponsorship agreements.

The Company may incur costs to obtain its multi-year sponsorship agreements.

The Company assesses such costs for capitalization on a contract by contract basis.

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The contract asset is amortized over the estimated useful life.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

Principal versus Agent Revenue Recognition

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Because suite and club licenses cover both the Knicks and the Rangers games and events that MSG Entertainment presents at The Garden, suite and club rental revenue is shared between us and MSG Entertainment under Arena License Agreements.

Pursuant to the Arena Licenses Agreements, the Knicks and the Rangers are entitled to 35 % and 32.5 %, respectively, of the revenues received by MSG Entertainment in connection with suite and club licenses.

Pursuant to the Arena Licenses Agreement, the Knicks and the Rangers are entitled to 35 % and 32.5 %, respectively, of the revenues received by MSG Entertainment in connection with suite and club licenses.

The Company accounts for the performance obligation under these types of arrangements as a series and, as a result, the related suite license fees for all years during the license term are aggregated and revenue is recognized proportionately over the license period as the Company satisfies the related performance obligation.

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The resulting transaction price is allocated entirely to the rights provided for the related contract year and revenue is recognized using an output measure of progress toward satisfaction of the Company’s performance obligations within the contract year, as the underlying benefits are conveyed to the licensee.

On June 27, 2025, the media rights agreements between subsidiaries of MSG Networks, on the one hand, and Knicks LLC and

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

Rangers LLC (each as defined below), on the other hand, were amended, as follows:

On June 27, 2025, the local telecast rights agreements between subsidiaries of MSG Networks, on the one hand, and New York Knicks, LLC (“Knicks LLC”) and New York Rangers, LLC (“Rangers LLC”), on the other hand, were amended, as follows:

• New York Knicks:

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◦ an elimination of the annual rights fee escalator;

◦ a change to the contract expiration date to the end of the 2028-29 season, subject to a right of first refusal in favor of MSG Networks;

◦ a change to the contract expiration date to the end of the 2028-29 season, subject to MSG Networks’ right to make a firm offer for an additional term of not less than three seasons and to match a third-party offer unless the third-party offer provides rights fees for the first three years that are at least 110% of the rights fees specified in MSG Networks’ firm offer;

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

• New York Rangers:

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◦ an elimination of the annual rights fee escalator;

◦ a change to the contract expiration date to the end of the 2028-29 season, subject to a right of first refusal in favor of MSG Networks;

Concurrent with the amendments to the media rights agreements, MSG Networks issued penny warrants to the Company exercisable for 19.9 % of the equity interests in MSG Networks.

The amendments were accounted for as a modification under ASC Subtopic 606 with revenue for the year ended June 30, 2025 reflecting the change in the transaction price in the media rights agreements.

Concurrent with the amendments to the local telecast rights agreements, MSG Networks issued penny warrants to the Company exercisable for 19.9 % of the equity interests in MSG Networks.

The amendments were accounted for as a modification under ASC Subtopic 606 with revenue for fiscal year 2025 reflecting the change in the transaction price in the local telecast rights agreements.

The penny warrants issued to the Company were considered non-cash consideration under ASC Subtopic 606 and the fair value of consideration received was included in the change in transaction price as a result of the modification.

Refer to Note 11 for further details regarding the penny warrant investment and corresponding fair value.

The Company’s sports teams also derive revenue from the distribution of league-wide national and international television contracts and other league-wide revenue sources.

The Company’s sports teams also derive revenue from the distribution of league-wide national and international media contracts and other league-wide revenue sources.

The transaction price for each of these revenues is based upon the expected distribution values as communicated by the applicable league.

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Amounts collected in advance of the Company’s satisfaction of its contractual performance obligations are recorded as a contract liability within deferred revenue and are recognized as the Company satisfies the related performance obligations.

The following table disaggregates the Company’s revenues by type of goods or services in accordance with the disclosure requirements per ASC Subtopic 280-10-50-38 to 40 and the disaggregation of revenue required disclosures in accordance with ASC Subtopic 606-10-50-5 for the years ended June 30, 2025, 2024 and 2023:

The following table disaggregates the Company’s revenues by type of goods or services in accordance with the disclosure requirements of ASC Subtopic 280-10-50-38 to 40 and the disaggregation of revenue required disclosures in accordance with ASC Subtopic 606-10-50-5 for fiscal years 2026, 2025 and 2024:

Years Ended June 30,

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(a) Consists of (i) ticket sales and other ticket-related revenues and (ii) food, beverage and merchandise sales at The Garden.

(b) Consists of (i) local media rights fees from MSG Networks, (ii) revenue from the distribution through league-wide national and international television contracts, and (iii) other local radio rights fees.

(b) Consists of (i) local media rights fees from MSG Networks and (ii) revenue from distributions through league-wide national and international media contracts.

MADISON SQUARE GARDEN SPORTS CORP.

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Contract Balances

The timing of revenue recognition, billings and cash collections results in billed receivables, contract assets and contract liabilities on the consolidated balance sheets.

The timing of revenue recognition, billings and cash collections results in billed receivables, contract assets and contract liabilities in the consolidated balance sheets.

The following table provides information about contract balances from the Company’s contracts with customers as of June 30, 2026, 2025 and 2024:

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_________________

(a) Receivables from contracts with customers, which are reported in Accounts receivable, net in the Company’s consolidated balance sheets, represent the Company’s unconditional rights to consideration under its contracts with customers.

As of June 30, 2025, 2024 and 2023, the Company’s receivables from contracts with customers above included no receivables related to various related parties.

(a) Receivables from contracts with customers, net, which are reported in Accounts receivable, net and Other assets in the accompanying consolidated balance sheets, represent the Company’s unconditional rights to consideration under its contracts with customers.

As of June 30, 2026, the Company’s receivables reported above included $ 1,409 related to contracts with customers that are related parties.

As of June 30, 2025 and 2024, the Company’s receivables reported above included no receivables related to contracts with customers that are related parties.

See Note 18 for further details on related party arrangements.

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Deferred revenue is reduced and the related revenue is recognized once the underlying goods or services are transferred to the customer.

There were no deferred revenue balances with related parties as of June 30, 2025, 2024 and 2023, respectively.

(d) Revenue recognized for the year ended June 30, 2025 relating to the deferred revenue balance as of July 1, 2024 was $ 128,632 .

There were no deferred revenue balances with related parties as of June 30, 2026, 2025 and 2024.

(d) Revenue recognized for fiscal year 2026 relating to the deferred revenue balance as of July 1, 2025 was $ 148,149 .

Revenue recognized for fiscal year 2025 relating to the deferred revenue balance as of July 1, 2024 was $ 128,632 .

Transaction Price Allocated to the Remaining Performance Obligations

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In developing the estimated revenue, the Company applies the allowable practical expedient and does not disclose information about remaining performance obligations that have original expected durations of one year or less.

Additionally, the Company has elected to exclude variable consideration from its disclosure related to the remaining performance obligations under its local media rights arrangements with MSG Networks, league-wide national and international television contracts, and certain other arrangements with variable consideration.

Additionally, the Company has elected to exclude variable consideration from its disclosure related to the remaining performance obligations under its local telecast rights arrangements with MSG Networks, league-wide national and international media contracts, and certain other arrangements with variable consideration.

Fiscal year ending June 30, 2027 $ 197,631

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

Computation of (Loss) Earnings per Common Share

The following table presents a reconciliation of (loss) earnings allocated to common shares and a reconciliation of weighted-average shares used in the calculations of basic and diluted (loss) earnings per common share attributable to the Company’s stockholders (“EPS”) and the number of shares excluded from diluted (loss) earnings per common share, as they were anti-dilutive:

Computation of Earnings (Loss) per Common Share

The following table presents a reconciliation of earnings (loss) allocated to common shares and a reconciliation of weighted-average shares used in the calculations of basic and diluted earnings (loss) per common share attributable to the Company’s stockholders (“EPS”) and the number of shares excluded from diluted earnings (loss) per common share, as they were anti-dilutive:

Years Ended June 30,

2026 2025 2024

Net (loss) income allocable to common shares, basic and diluted (numerator):

Net (loss) income attributable to Madison Square Garden Sports Corp.’s stockholders $ ( 22,438 ) $ 58,771 $ 47,793

Net income (loss) allocable to common shares, basic and diluted (numerator):

Net income (loss) attributable to Madison Square Garden Sports Corp.’s stockholders $ 7,759 $ ( 22,438 ) $ 58,771

Dividends to other-than-common stockholders (a)

Net (loss) earnings allocable to common shares, basic and diluted (numerator):

Net earnings (loss) allocable to common shares, basic and diluted (numerator):

$ 7,735 $ ( 22,457 ) $ 58,771

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Weighted-average shares excluded from diluted earnings per share — 82 —

Basic (loss) earnings per common share attributable to Madison Square Garden Sports Corp’s stockholders $ ( 0.93 ) $ 2.45 $ 1.90

Diluted (loss) earnings per common share attributable to Madison Square Garden Sports Corp’s stockholders $ ( 0.93 ) $ 2.44 $ 1.89

Basic earnings (loss) per common share attributable to Madison Square Garden Sports Corp’s stockholders $ 0.32 $ ( 0.93 ) $ 2.45

Diluted earnings (loss) per common share attributable to Madison Square Garden Sports Corp’s stockholders $ 0.32 $ ( 0.93 ) $ 2.44

_________________

(a) Dividends to other-than-common stockholders consists of forfeitable rights to dividends declared and payable to holders of the Company’s unvested restricted stock units and performance restricted stock units.

Restructuring Charges

During fiscal year 2026, the Company recorded restructuring charges related to termination benefits provided as part of a voluntary exit program that the Company implemented during fiscal year 2026.

As a result, the Company recognized restructuring charges of $ 2,078 , which were recognized within accrued employee-related costs in the accompanying consolidated balance sheets.

There were no restructuring charges for fiscal years 2025 and 2024.

Restructuring Liability

June 30, 2025 $ —

Restructuring charges 2,078

Payments ( 891 )

June 30, 2026 $ 1,187

Team Personnel Transactions

Direct operating and selling, general and administrative expenses in the accompanying consolidated statements of operations include net provisions for transactions relating to the Company’s sports teams for (i) waivers/contract termination costs, (ii) player trades and (iii) season-ending injuries (“Team personnel transactions”).

Team personnel transactions were a net provision of $ 49,148 , $ 781 and $ 4,412 for the years ended June 30, 2025, 2024 and 2023, respectively, which were recorded as direct operating expenses in the accompanying consolidated statements of operations.

Cash, Cash Equivalent and Restricted Cash

The following table provides a summary of the amounts recorded as cash, cash equivalents and restricted cash:

Direct operating expenses in the accompanying consolidated statements of operations includes net (credits) provisions for transactions relating to the Company’s sports teams for waivers/contract termination costs, player trades and season-ending injuries (“Team personnel transactions”).

Team personnel transactions were a net credit of $ 25 for fiscal year 2026 and a net provision of $ 49,148 and $ 781 for fiscal years 2025 and 2024, respectively.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

Cash, Cash Equivalents and Restricted Cash

The following table provides a summary of the amounts recorded as cash, cash equivalents and restricted cash as of June 30, 2026, 2025 and 2024:

2026 June 30,

4 unchanged sentences

— 8,571 5,771

Cash, cash equivalents and restricted cash on the consolidated statements of cash flows

Cash, cash equivalents and restricted cash in the consolidated statements of cash flows

$ 164,511 $ 153,188 $ 94,907

1 unchanged sentence

(a) See Note 2 for more information regarding the nature of restricted cash.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

The Company’s leases primarily consist of the lease of the Company’s corporate offices under the Sublease Agreement (as defined below) with MSG Entertainment for the Company’s principal executive offices at Two Pennsylvania Plaza in New York and a lease agreement for an aircraft.

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The Company also determines lease classification as either operating or finance at lease commencement, which governs the pattern of expense recognition and the presentation reflected in the consolidated statements of operations over the lease term.

For leases with a term exceeding 12 months, a lease liability is recorded on the Company’s consolidated balance sheet at lease commencement reflecting the present value of the fixed minimum payment obligations over the lease term.

For leases with a term exceeding 12 months, a lease liability is recorded in the consolidated balance sheet at lease commencement reflecting the present value of the fixed minimum payment obligations over the lease term.

A corresponding ROU asset equal to the initial lease liability is also recorded, adjusted for any prepaid rent and/or initial direct costs incurred in connection with execution of the lease and reduced by any lease incentives received.

The Company includes fixed payment obligations related to non-lease components in the measurement of ROU assets and lease liabilities, as the Company has elected to account for lease and non-lease components together as a single lease component.

ROU assets associated with finance leases are presented separate from operating lease ROU assets and are included within Property and equipment, net on the Company’s consolidated balance sheets.

ROU assets associated with finance leases, if any, are presented separate from operating lease ROU assets and are included within Property and equipment, net in the consolidated balance sheets.

For purposes of measuring the present value of the Company’s fixed payment obligations for a given lease, the Company uses its incremental borrowing rate, determined based on information available at lease commencement, as rates implicit in the underlying leasing arrangements are typically not readily determinable.

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For finance leases, the initial ROU asset is depreciated on a straight-line basis over the lease term, along with recognition of interest expense associated with accretion of the lease liability, which is ultimately reduced by the related fixed payments.

For leases with a term of 12 months or less (“short-term leases”), any fixed lease payments are recognized on a straight-line basis over the lease term and are not recognized on the consolidated balance sheet.

Variable lease costs for both operating and finance leases, if any, are recognized as incurred and such costs are excluded from lease balances recorded on the consolidated balance sheet.

For leases with a term of 12 months or less (“short-term leases”), any fixed lease payments are recognized on a straight-line basis over the lease term and are not recognized in the consolidated balance sheet.

Variable lease costs for both operating and finance leases, if any, are recognized as incurred and such costs are excluded from lease balances recorded in the consolidated balance sheet.

The Company is party to the Sublease Agreement for the Company’s principal executive offices at Two Pennsylvania Plaza in New York.

The sublease ROU assets and liabilities are recorded on the balance sheet at lease commencement based on the present value of minimum base rent and other fixed payments over the reasonably certain lease term.

The sublease ROU assets and liabilities are recorded in the balance sheet at lease commencement based on the present value of minimum base rent and other fixed payments over the reasonably certain lease term.

In November 2021, Sphere Entertainment entered into a new lease for principal executive offices at Two Pennsylvania Plaza in New York, which was assigned to MSG Entertainment in connection with the MSGE Distribution (the “New MSGE Lease Agreement”).

In accordance with the terms of the Prior Sublease Agreement (as defined below) and the New MSGE Lease Agreement, the lease term of the Prior Sublease Agreement was extended until October 31, 2024.

In accordance with the terms of the Prior Sublease Agreement (as defined below) and the New MSGE Lease

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

Agreement, the lease term of the Prior Sublease Agreement was extended until October 31, 2024.

The Company accounted for this extension as a lease remeasurement and remeasured the ROU asset and operating lease liability utilizing the Company’s incremental borrowing rate as of the date of remeasurement.

During the second quarter of fiscal 2025, the Company amended and restated its prior sublease agreement with MSG Entertainment (the “Prior Sublease Agreement”) to enter into a short term lease for new principal executive offices through December 31, 2024.

The Company recorded the short term operating lease costs for this amendment within Selling, general and administrative expenses in the accompanying consolidated statements of operations for the year ended June 30, 2025.

During the second quarter of fiscal year 2025, the Company amended and restated its prior sublease agreement with MSG Entertainment (the “Prior Sublease Agreement”) to enter into a short term lease for new principal executive offices through December 31, 2024.

In January 2025, the Company entered into a new sublease agreement with MSG Entertainment for new principal executive offices at Two Pennsylvania Plaza in New York with a lease term which ends January 31, 2046 (the “New Sublease Agreement” and together with the Prior Sublease Agreement, the “Sublease Agreement”) and fixed lease payment obligations of $ 167,444 over the lease term.

The Company recorded a lease right-of-use asset and liability in the accompanying consolidated balance sheet as of June 30, 2025 based on the present value of minimum fixed lease payments over the lease term utilizing the Company’s incremental borrowing rate as of the lease commencement date.

In addition, the Company entered into a commitment whereby if the MSG Entertainment’s lease for principal executive offices at Two Pennsylvania Plaza in New York were terminated under

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

certain circumstances, the Company would be required to enter into a new lease for executive offices at Two Pennsylvania Plaza directly with the landlord, with a consistent lease term through January 31, 2046.

In addition, the Company is party to long term leases with MSG Entertainment through June 30, 2055 that allow the Knicks and the Rangers to play their home games at The Garden.

In addition, the Company entered into a commitment whereby if the MSG Entertainment’s lease for principal executive offices at Two Pennsylvania Plaza in New York were terminated under certain circumstances, the Company would be required to enter into a new lease for executive offices at Two Pennsylvania Plaza directly with the landlord, with a consistent lease term through January 31, 2046.

In addition, the Company is party to long term leases with MSG Entertainment that end June 30, 2055 that allow the Knicks and the Rangers to play their home games at The Garden.

The Arena License Agreements provide for fixed payments to be made from inception through June 30, 2055 in 12 equal installments during each year of the contractual term.

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While payments are made throughout the contract year in twelve equal installments under each arrangement, the periods of use only span each of the individual team event days.

As such, the Company concluded that the related straight-line operating lease costs should be recorded by each team equally over each team’s individual event days.

As such, the Company concluded that the related straight-line operating lease costs should be recorded equally as pre/regular season home games are played by each team.

In June 2023, the Company entered into a lease agreement for an aircraft with a term through December 30, 2031.

The lease ROU asset and liability were recorded in the Company’s consolidated balance sheet based on the present value of minimum lease fixed payments over the lease term utilizing the Company’s incremental borrowing rate as of the lease commencement date.

The lease ROU asset and operating lease liability were recorded in the consolidated balance sheet based on the present value of minimum lease fixed payments over the lease term utilizing the Company’s incremental borrowing rate as of the lease commencement date.

As of June 30, 2026, the Company’s existing operating leases, which are recorded in the accompanying consolidated financial statements, have remaining lease terms ranging from 6 to 29 years.

2 unchanged sentences

The Company’s lease agreements do not contain material residual value guarantees or material restrictive covenants.

The following table summarizes the ROU assets and lease liabilities recorded on the Company’s consolidated balance sheet as of June 30, 2025 and 2024:

Line Item in the Company’s Consolidated Balance Sheet June 30, 2025 June 30, 2024

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

The following table summarizes the ROU assets and lease liabilities recorded in the accompanying consolidated balance sheets as of June 30, 2026 and 2025:

Line Item in the Consolidated Balance Sheet June 30, 2026 June 30, 2025

Right-of-use assets:

8 unchanged sentences

(a) As of June 30, 2026, Operating lease liabilities, current and Operating leases liabilities, noncurrent included balances of $ 51,255 and $ 818,966 , respectively, that are payable to MSG Entertainment.

As of June 30, 2024, Operating lease liabilities, current and Operating leases liabilities, noncurrent included balances of $ 43,689 and $ 715,507 , respectively, that were payable to Sphere Entertainment.

The following table summarizes the activity recorded within the Company’s consolidated statement of operations for the years ended June 30, 2025, 2024 and 2023:

As of June 30, 2025, Operating lease liabilities, current and Operating leases liabilities, noncurrent included balances of $ 46,040 and $ 811,190 , respectively, that were payable to MSG Entertainment.

The following table summarizes the activity recorded within the accompanying consolidated statements of operations for fiscal years 2026, 2025 and 2024:

Years Ended June 30,

Line Item in the Company’s Consolidated Statement of Operations 2025 2024 2023

Line Item in the Consolidated Statement of Operations 2026 2025 2024

Operating lease cost Direct operating expenses $ 67,619 $ 67,619 $ 67,619

1 unchanged sentence

Short-term lease cost Selling, general and administrative expenses — 3,971 —

Short-term lease cost Direct operating expenses — — 185

Total lease cost $ 82,391 $ 83,409 $ 77,505

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

Supplemental Information

For the years ended June 30, 2025, 2024 and 2023, cash paid for amounts included in the measurement of lease liabilities was $ 51,880 , $ 52,700 and $ 44,986 , respectively.

For the years ended June 30, 2025, 2024 and 2023, non-cash additions to ROU assets and operating lease liabilities were $ 86,201 , $ 789 and $ 45,357 , respectively.

The weighted average remaining lease term for operating leases recorded on the accompanying consolidated balance sheet as of June 30, 2025 and 2024 was 28.1 years and 29.8 years, respectively.

The weighted average discount rate was 7.05 % and 7.10 % as of June 30, 2025 and 2024, respectively, and represented the Company’s estimated incremental borrowing rate, assuming a secured borrowing, based on the remaining lease term at the time of either (i) adoption of the standard or (ii) the period in which the lease term expectation commenced or was modified .

For fiscal years 2026, 2025 and 2024, cash paid for amounts included in the measurement of lease liabilities was $ 54,369 , $ 51,880 and $ 52,700 , respectively.

For fiscal year 2026, there were no non-cash additions to ROU assets and operating lease liabilities.

For fiscal years 2025 and 2024, non-cash additions to ROU assets and operating lease liabilities were $ 86,201 and $ 789 , respectively.

The weighted average remaining lease term for operating leases recorded on the accompanying consolidated balance sheets as of June 30, 2026 and 2025 was 27.2 years and 28.1 years, respectively.

The weighted average discount rate was 7.05 % as of June 30, 2026 and 2025 and represented the Company’s estimated incremental borrowing rate, assuming a secured borrowing, based on the remaining lease term at the time of either (i) adoption of the standard or (ii) the period in which the lease term expectation commenced or was modified .

Maturities of operating lease liabilities as of June 30, 2026 are as follows:

8 unchanged sentences

Total lease liabilities $ 901,809

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

Property and Equipment

9 unchanged sentences

83,036 82,597

Less accumulated depreciation and amortization

( 53,635 ) ( 52,281 )

Less accumulated depreciation ( 55,873 ) ( 53,635 )

$ 27,163 $ 28,962

Depreciation and amortization expense on property and equipment was $ 3,218 , $ 3,164 and $ 3,410 for the years ended June 30, 2025, 2024 and 2023, respectively.

Depreciation expense on property and equipment was $ 3,179 , $ 3,218 and $ 3,164 for fiscal years 2026, 2025 and 2024, respectively.

Goodwill and Intangible Assets

1 unchanged sentence

The Company’s goodwill was $ 226,523 as of June 30, 2026 and 2025.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

The Company’s indefinite-lived intangible assets as of June 30, 2026 and 2025 were as follows:

2 unchanged sentences

During the first quarter of fiscal year 2026, the Company performed its annual impairment test of identifiable indefinite-lived intangible assets and determined that there were no impairments identified.

The Company had no intangible assets subject to amortization as of June 30, 2025 and 2024 as a result of the disposal of CLG in April 2023.

Amortization expense for intangible assets was $ 167 for the year ended June 30, 2023.

The Company’s Investments reported in the accompanying consolidated balance sheets, consisted of the following:

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

The Company’s Investments reported in the accompanying consolidated balance sheets, consisted of the following as of June 30, 2026 and 2025:

2026 June 30,

Equity method investments:

NRG $ 6,607 $ 7,536

Hard Carry Gaming, Inc.

(“HCG”) $ 5,330 $ 6,607

MSG Networks — —

Other equity method investments 4,421 5,038

Other equity method investments (a)

Equity investments with readily determinable fair values:

2 unchanged sentences

Other equity investments with readily determinable fair values held in trust under the Company’s Executive Deferred Compensation Plan 29,145 23,536

Equity investments without readily determinable fair values (a)

Equity investments without readily determinable fair values (b)

Derivative instruments:

2 unchanged sentences

_________________

(a) For the year ended June 30, 2025, the Company recorded impairment charges and reductions in carrying value resulting from observable price changes of $ 894 related to its equity securities without readily determinable fair values in Miscellaneous (expense) income, net within the accompanying consolidated statements of operations.

For the year ended June 30, 2024, the Company did not have any impairment charges or changes in carrying value recorded to its equity securities without readily determinable fair values .

(a) During fiscal year 2026, the Company recorded other than temporary impairments of $ 2,073 related to its other equity method investments in Miscellaneous income (expense), net within the accompanying consolidated statements of operations.

During fiscal year 2025, the Company did not record any impairments related to its other equity method investments.

(b) During fiscal year 2026, the Company did not record any impairment charges or changes in carrying value of its equity securities without readily determinable fair values in the accompanying consolidated statements of operations.

During fiscal year 2025, the Company recorded impairment charges and reductions in carrying value resulting from observable price changes of $ 894 related to its equity securities without readily determinable fair values in Miscellaneous income (expense), net within the accompanying consolidated statements of operations.

Equity Method Investments

The Company determined that it has the ability to exert significant influence over the investee and therefore accounts for these investments under the equity method of accounting.

In April 2023, the Company sold its controlling interest in CLG to NRG, a professional gaming and entertainment company in exchange for a noncontrolling equity interest in the combined NRG/CLG company.

The Company received preferred shares representing approximately 25 % of the capital stock of NRG.

The Company recorded the investment in NRG at fair value as an equity method investment.

The Company deconsolidated the CLG business in the fourth fiscal quarter of 2023 and recorded a loss of $ 1,031 within Miscellaneous (expense) income, net within the Company’s consolidated statement of operations for the year ended June 30, 2023.

For the years ended June 30, 2025 and 2024, the Company recognized losses related to the investment in NRG of $ 929 and $ 4,412 , respectively in Miscellaneous (expense) income, net within the Company’s consolidated statement of operations.

As of June 30, 2025 and 2024, the Company’s ownership in NRG was approximately 25 %.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

On June 27, 2025, the media rights agreements between subsidiaries of MSG Networks, on the one hand, and Knicks LLC and Rangers LLC, on the other hand, were amended as further described in Note 3.

Concurrent with the amendments to the media rights agreements, MSG Networks issued penny warrants to the Company exercisable for 19.9 % of the equity interests in MSG Networks.

The Company holds preferred shares of the capital stock of HCG, an online video production company.

During fiscal years 2026, 2025 and 2024, the Company recognized its net share of income/(losses) of $ 325 , $( 929 ) and $( 4,412 ), respectively, in Miscellaneous income (expense), net within the accompanying consolidated statements of operations.

As of June 30, 2026 and 2025, the Company’s ownership in HCG was approximately 25 %.

In June 2025, the local telecast rights agreements between subsidiaries of MSG Networks, on the one hand, and Knicks LLC and Rangers LLC, on the other hand, were amended as further described in Note 3.

Concurrent with the amendments to the local telecast rights agreements, MSG Networks issued penny warrants to the Company exercisable for 19.9 % of the equity interests in MSG Networks.

The Company has accounted for the penny warrants issued to the Company as in-substance common stock in accordance with ASC Topic 323, Investments — Equity Method and Joint Ventures , and the Company determined that it has the ability to exert significant influence over the investee.

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Principal assumptions utilized, all of which are considered Level III inputs under the fair value hierarchy, include the Company’s estimates of future revenue, estimates of future operating cost, margin assumptions, terminal growth rates and the discount rate applied to estimated future cash flows.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

During fiscal year 2026, the Company recognized its net share of income of $ 1,890 in Miscellaneous income (expense), net within the accompanying consolidated statement of operations.

During fiscal year 2025, the Company recognized no income or loss related to the MSG Networks equity method investment.

During fiscal year 2026, the Company recorded an other than temporary impairment of $ 1,890 related to the MSG Networks equity method investment in Miscellaneous income (expense), net within the accompanying consolidated statements of operations.

During fiscal year 2025, the Company did not record any impairments related to the MSG Networks equity method investment.

Equity Investments with Readily Determinable Fair Values

6 unchanged sentences

The fair value of the Company’s investments in common stock of Xtract One and other investments held in trust are determined based on quoted market prices in active markets, which are classified within Level I of the fair value hierarchy.

The cost basis and carrying value of equity investments with readily determinable fair values are as follows:

The cost basis and carrying value of equity investments with readily determinable fair values as of June 30, 2026 and 2025 were as follows:

June 30, 2026 June 30, 2025

3 unchanged sentences

$ 29,903 $ 43,191 $ 26,984 $ 32,826

The following table summarizes the realized and unrealized gains (losses) on equity investments with readily determinable fair values, recorded within Miscellaneous (expense) income, net within the Company’s consolidated statement of operations for the years ended June 30, 2025, 2024 and 2023:

The following table summarizes the realized and unrealized gains (losses) on equity investments with readily determinable fair values, recorded within Miscellaneous income (expense), net within the accompanying consolidated statements of operations for fiscal years 2026, 2025 and 2024:

Years Ended June 30,

2026 2025 2024

Unrealized (loss) gain - Xtract One common stock $ ( 8,090 ) $ ( 5,966 ) $ 15,625

Unrealized gain (loss) - Xtract One common stock $ 4,756 $ ( 8,090 ) $ ( 5,966 )

Unrealized gain - other equity investments with readily determinable fair values 2,690 1,945 1,694

Realized gain (loss) - other equity investments with readily determinable fair values 250 55 ( 4 )

Realized gain - other equity investments with readily determinable fair values 387 250 55

$ 7,833 $ ( 5,895 ) $ ( 4,217 )

2 unchanged sentences

Fair Value Measurements

The following table presents the Company’s assets that are measured at fair value on a recurring basis, which include cash equivalents:

The following table presents the Company’s assets that are measured at fair value on a recurring basis, which include cash equivalents, as of June 30, 2026 and 2025:

Fair Value Hierarchy June 30,

Money market accounts I $ 147,346 $ 95,367

Time deposits I 48,263 49,510

Equity investments I 43,191 32,826

Time deposits I 15,706 48,263

Warrants III 3,498 1,604

7 unchanged sentences

The Company’s warrants are included within Investments in the accompanying consolidated balance sheets.

Changes in the fair value of derivative instruments are measured at each reporting date and are recorded within Miscellaneous income (expense), net within the accompanying consolidated statements of operations.

The fair value of the Company’s warrants in Xtract One were determined using the Black-Scholes option pricing model.

4 unchanged sentences

Risk-free interest rate 3.98 % 3.85 %

The following table presents additional information about our assets for which we utilize Level III inputs to determine fair value:

The following table presents additional information about our assets as of June 30, 2026 and 2025 for which we utilize Level III inputs to determine fair value:

Years Ended June 30,

Balance at beginning of period $ 1,604 $ 6,995

Purchases of warrants — 215

Unrealized losses on warrants ( 5,391 ) ( 6,318 )

Unrealized gains (losses) on warrants 1,894 ( 5,391 )

Balance at ending of period $ 3,498 $ 1,604

1 unchanged sentence

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

The carrying value and fair value of the Company’s financial instruments reported in the accompanying consolidated balance sheets are as follows:

The carrying value and fair value of the Company’s financial instruments reported in the accompanying consolidated balance sheets as of June 30, 2026 and 2025 were as follows:

June 30, 2026 June 30, 2025

Value Carrying

Debt, current (a)

7 unchanged sentences

(b) The Company’s long-term debt is classified within Level II of the fair value hierarchy as it is valued using quoted indices of similar securities for which the inputs are readily observable.

The fair value of the Company’s long-term debt is the same as its carrying amount as the facilities bear interest at a variable rate indexed to current market conditions.

See Note 13 for more information.

The fair value of the Company’s long-term debt is the same as its carrying amount as the debt bears interest at a variable rate indexed to current market conditions.

See Note 14 for further details.

Commitments and Contingencies

12 unchanged sentences

(a) Consist primarily of the Company’s obligations under employment agreements that the Company has with its sports teams’ personnel that are generally guaranteed regardless of employee injury or termination.

(b) Contractual obligations reflected on the balance sheet consist principally of the Company’s obligations under employment agreements that the Company has with certain of its professional sports teams’ personnel where services have been fully performed and that are being paid on a deferred basis.

(b) Contractual obligations reflected in the balance sheet consist principally of the Company’s obligations under employment agreements that the Company has with certain of its professional sports teams’ personnel where services have been fully performed and that are being paid on a deferred basis.

See Note 15 for further information on the Company’s pension obligations.

In addition, see Note 7 for information on the contractual obligations related to future lease payments, which are reflected on the consolidated balance sheet as lease liabilities as of June 30, 2025.

In addition, see Note 8 for information on the contractual obligations related to future lease payments, which are reflected in the accompanying consolidated balance sheet as lease liabilities as of June 30, 2026.

See Note 14 for further details of the outstanding balances under the Knicks Revolving Credit Facility, the Rangers Revolving Credit Facility and the Rangers NHL Advance Agreement (as defined below).

3 unchanged sentences

The Company is a defendant in various lawsuits.

Although the outcome of these lawsuits cannot be predicted with certainty (including the extent of available insurance, if any), management does not believe that resolution of these lawsuits will have a material adverse effect on the Company.

Although the outcome of these lawsuits cannot be predicted (including the extent of available insurance, if any), management does not believe that resolution of these lawsuits will have a material effect on the Company.

Knicks Revolving Credit Facility

On September 30, 2016, New York Knicks, LLC (“Knicks LLC”), a wholly-owned subsidiary of the Company, entered into a credit agreement (the “2016 Knicks Credit Agreement”) with a syndicate of lenders providing for a senior secured revolving credit facility of up to $ 200,000 with a term of five years to fund working capital needs and for general corporate purposes.

On November 6, 2020, the Company amended and restated the 2016 Knicks Credit Agreement in its entirety (the “2020 Knicks Credit Agreement”).

On September 30, 2016, Knicks LLC, a wholly-owned subsidiary of the Company, entered into a credit agreement (the “2016 Knicks Credit Agreement”) with a syndicate of lenders providing for a senior secured revolving credit facility of up to $ 200,000 with a term of five years to fund working capital needs and for general corporate purposes.

On November 6, 2020, the Company amended and restated the 2016 Knicks Credit Agreement (the “2020 Knicks Credit Agreement”).

On December 14, 2021, Knicks LLC entered into Amendment No.

2 to the 2020 Knicks Credit Agreement, which amended and restated the 2020 Knicks Credit Agreement (as amended and restated, the “2021 Knicks Credit Agreement”).

On November 6, 2025, Knicks LLC entered into Amendment No.

1 to the 2021 Knicks Credit Agreement, which amended and restated the 2021 Knicks Credit Agreement (as amended and restated, the “2025 Knicks Credit Agreement”).

The 2025 Knicks Credit Agreement provides for a senior secured revolving credit facility of up to $ 425,000 (the “Knicks Revolving Credit Facility”) to fund working capital needs and for general corporate purposes.

The maturity date of the Knicks Credit Agreement is December 14, 2026.

The maturity date of the 2025 Knicks Credit Agreement is November 6, 2030.

Amounts borrowed may be distributed to the Company except during an event of default.

All borrowings under the Knicks Revolving Credit Facility are subject to the satisfaction of certain customary conditions, including a representation as to the absence of a bankruptcy event (as defined in the Knicks Credit Agreement) with respect to the obligor under any local media rights agreement.

All borrowings under the Knicks Revolving Credit Facility are subject to the satisfaction of certain customary conditions.

Borrowings under the 2025 Knicks Credit Agreement bear interest at a floating rate, which at the option of Knicks LLC may be either (i) a base rate plus a margin ranging from 0.250 % to 0.375 % per annum or (ii) term Secured Overnight Financing Rate (“SOFR”) plus a credit spread adjustment of 0.100 % per annum plus a margin ranging from 1.250 % to 1.375 % per annum depending on the credit rating applicable to the NBA’s league-wide credit facility.

Knicks LLC is required to pay a commitment fee ranging from 0.250 % to 0.300 % per annum in respect of the average daily unused commitments under the Knicks Revolving Credit Facility.

During the year ended June 30, 2025, the Company made principal repayments of $ 8,000 under the Knicks Revolving Credit Facility.

During fiscal year 2026, the Company made principal repayments of $ 25,000 under the Knicks Revolving Credit Facility.

The outstanding balance under the Knicks Revolving Credit Facility was $ 242,000 as of June 30, 2026, which was recorded as Long-term debt in the accompanying consolidated balance sheet.

The interest rate on the Knicks Revolving Credit Facility as of June 30, 2026 was 4.99 %.

During the years ended June 30, 2025, 2024 and 2023, the Company made interest payments of $ 16,747 , $ 18,481 and $ 13,085 , respectively, in respect of the Knicks Revolving Credit Facility.

During fiscal years 2026, 2025 and 2024, the Company made interest payments of $ 13,793 , $ 16,747 and $ 18,481 , respectively, in respect of the Knicks Revolving Credit Facility.

In addition, on July 22, 2026, the Company borrowed an additional $ 20,000 under the Knicks Revolving Credit Facility.

All obligations under the Knicks Revolving Credit Facility are secured by a first lien security interest in certain of Knicks LLC’s assets, including, but not limited to, (i) the Knicks LLC’s membership rights in the NBA, (ii) revenues to be paid to Knicks LLC by the NBA pursuant to certain U.S.

15 unchanged sentences

Rangers Revolving Credit Facility

On January 25, 2017, New York Rangers, LLC (“Rangers LLC”), a wholly-owned subsidiary of the Company, entered into a credit agreement (the “2017 Rangers Credit Agreement”) with a syndicate of lenders providing for a senior secured revolving credit facility of up to $ 150,000 with a term of five years to fund working capital needs and for general corporate purposes.

On November 6, 2020, the Company amended and restated the 2017 Rangers Credit Agreement in its entirety (the “2020 Rangers Credit Agreement”).

On January 25, 2017, Rangers LLC, a wholly-owned subsidiary of the Company, entered into a credit agreement (the “2017 Rangers Credit Agreement”) with a syndicate of lenders providing for a senior secured revolving credit facility of up to $ 150,000 with a term of five years to fund working capital needs and for general corporate purposes.

On November 6, 2020, the Company amended and restated the 2017 Rangers Credit Agreement (the “2020 Rangers Credit Agreement”).

On December 14, 2021, Rangers LLC entered into Amendment No.

3 to the 2020 Rangers Credit Agreement, which amended and restated the 2020 Rangers Credit Agreement (as amended and restated, the “2021 Rangers Credit Agreement”).

On November 6, 2025, Rangers LLC entered into Amendment No.

1 to the 2021 Rangers Credit Agreement, which amended the 2021 Rangers Credit Agreement (as amended, the “2025 Rangers Credit Agreement”).

The 2025 Rangers Credit Agreement provides for a senior secured revolving credit facility of up to $ 250,000 (the “Rangers Revolving Credit Facility”) to fund working capital needs and for general corporate purposes.

The maturity date of the Rangers Credit Agreement is December 14, 2026.

The maturity date of the 2025 Rangers Credit Agreement is November 6, 2030.

Amounts borrowed may be distributed to the Company except during an event of default.

All borrowings under the Rangers Revolving Credit Facility are subject to the satisfaction of certain customary conditions, including a representation as to the absence of a bankruptcy event (as defined in the Rangers Credit Agreement) with respect to the obligor under any local media rights agreement.

All borrowings under the Rangers Revolving Credit Facility are subject to the satisfaction of certain customary conditions.

Borrowings under the Rangers Revolving Credit Facility bear interest at a floating rate, which at the option of Rangers LLC may be either (i) a base rate plus a margin ranging from 0.375 % to 0.625 % per annum or (ii) term SOFR plus a credit spread adjustment of 0.100 % per annum plus a margin ranging from 1.375 % to 1.625 % per annum depending on the credit rating applicable to the NHL’s league-wide credit facility.

Rangers LLC is required to pay a commitment fee ranging from 0.350 % to 0.400 % per annum in respect of the average daily unused commitments under the Rangers Revolving Credit Facility.

There were no borrowings under the Rangers Revolving Credit Facility as of June 30, 2025 and the Company did not make any interest payments during the year ended June 30, 2025 in respect of the Rangers Revolving Credit Facility.

During the years ended June 30, 2024 and 2023, the Company made interest payments of $ 4,193 and $ 4,911 , respectively, in respect of the Rangers Revolving Credit Facility.

There were no borrowings under the Rangers Revolving Credit Facility as of June 30, 2026.

The Company did not make any interest payments in respect of the Rangers Revolving Credit Facility during fiscal years 2026 and 2025.

During fiscal year 2024, the Company made interest payments of $ 4,193 in respect of the Rangers Revolving Credit Facility.

All obligations under the Rangers Revolving Credit Facility are, subject to the Rangers NHL Advance Agreement (as defined below), secured by a first lien security interest in certain of Rangers LLC’s assets, including, but not limited to, (i) Rangers LLC’s membership rights in the NHL, (ii) revenues to be paid to Rangers LLC by the NHL pursuant to certain U.S.

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and (vi) taking certain actions that would invalidate the secured lenders’ liens on any of Rangers LLC’s assets securing the obligations under the Rangers Revolving Credit Facility.

The Rangers Credit Agreement includes an event of default that is implicated by a bankruptcy event with respect to a material media rights counterparty, including MSG Networks.

The Rangers Revolving Credit Facility requires Rangers LLC to comply with a debt service ratio of at least 1.5 :1.0 over a trailing four quarter period.

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All obligations under the Rangers NHL Advance Agreement are senior to and shall have priority over all secured and other indebtedness of Rangers LLC, Rangers Holdings, LLC and MSG NYR Holdings LLC.

All borrowings under the Rangers NHL Advance Agreement were made on a non-revolving basis and bear interest at 3.00 % per annum, ending on the date any such

All borrowings under the Rangers NHL Advance Agreement were made on a non-revolving basis and bear interest at 3.00 % per annum, ending on the date any such advances are fully repaid.

Advances received under the Rangers NHL Advance Agreement are payable upon demand by the

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

advances are fully repaid.

Advances received under the Rangers NHL Advance Agreement are payable upon demand by the NHL.

It is expected that the remaining advanced amount will be set off against funds that would otherwise be paid, distributed or transferred by the NHL to Rangers LLC.

During the year ended June 30, 2025, the Company made principal repayments of $ 6,000 under the Rangers NHL Advance Agreement.

During fiscal year 2026, the Company made principal repayments of $ 7,500 under the Rangers NHL Advance Agreement.

The outstanding balance under the Rangers NHL Advance Agreement was $ 16,500 as of June 30, 2026 and was recorded as Debt in the accompanying consolidated balance sheet.

During the years ended June 30, 2025, 2024 and 2023, the Company made interest payments of $ 858 , $ 1,125 and $ 675 , respectively, in respect of the Rangers NHL Advance Agreement.

During fiscal years 2026, 2025 and 2024, the Company made interest payments of $ 667 , $ 858 and $ 1,125 , respectively, in respect of the Rangers NHL Advance Agreement.

Deferred Financing Costs

The following table summarizes deferred financing costs, net of amortization, related to the Company’s credit facilities as reported in the accompanying consolidated balance sheets:

2025 June 30,

The following table summarizes deferred financing costs, net of amortization, related to the Company’s credit facilities as reported in the accompanying consolidated balance sheets as of June 30, 2026 and 2025:

Other current assets $ 1,130 $ 1,145

Other assets 3,766 520

_________________

(a) During fiscal year 2026, the Company incurred $ 5,065 in deferred financing costs in connection with the 2025 Knicks Revolving Credit Facility and 2025 Rangers Revolving Credit Facility .

Benefit Plans

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Existing account balances under the Excess Cash Balance Plan are credited with monthly interest in accordance with the terms of the plan.

The following table summarizes the projected benefit obligations and the amounts recorded on the Company’s consolidated balance sheets as of June 30, 2025 and 2024, associated with the Pension Plans based upon actuarial valuations as of those measurement dates:

Change in benefit obligation:

Benefit obligation at beginning of period $ 7,631 $ 7,837

Interest cost 251 272

Actuarial loss (gain) 437 ( 18 )

Benefits paid ( 390 ) ( 248 )

Plan settlements paid ( 3,057 ) ( 212 )

Benefit obligation at end of period $ 4,872 $ 7,631

The actuarial loss of $ 437 , included in the change in benefit obligation for pension benefits in the year ended June 30, 2025, is primarily the result of demographic experience as well as a decrease in the discount rate as of June 30, 2025.

Amounts recognized in the consolidated balance sheets as of June 30, 2025 and 2024 consist of:

The Company recognized net periodic benefit cost of $ 216 , $ 769 and $ 339 for fiscal years 2026, 2025 and 2024, respectively, reported in Miscellaneous income (expense), net within the accompanying consolidated statements of operations.

Amounts recognized in the accompanying consolidated balance sheets as of June 30, 2026 and 2025 consist of:

Current liabilities (included in accrued employee-related costs)

Non-current liabilities (included in Defined benefit obligations) ( 4,086 ) ( 4,103 )

$ ( 802 ) $ ( 786 )

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

Accumulated other comprehensive loss, before income tax, as of June 30, 2025 and 2024 consists of the following amounts that have not yet been recognized in net periodic benefit cost:

Actuarial loss $ ( 377 ) $ ( 458 )

The following table presents components of net periodic benefit cost for the Pension Plans included in the accompanying consolidated statements of operations for the years ended June 30, 2025, 2024 and 2023.

Components of net periodic benefit cost are reported in Miscellaneous (expense) income, net:

Years Ended June 30,

2025 2024 2023

Interest cost $ 251 $ 272 $ 239

Recognized actuarial loss 81 37 18

Settlement loss recognized (a)

Net periodic benefit cost $ 769 $ 339 $ 287

_________________

(a) For the years ended June 30, 2025, 2024 and 2023, lump-sum payments totaling $ 3,057 , $ 212 and $ 253 , respectively, were distributed to vested participants of the Excess Cash Balance Plan, triggering the recognition of settlement losses in accordance with ASC Topic 715.

Due to these pension settlements, the Company was required to remeasure its pension plan liability as of June 30, 2025, 2024 and 2023, respectively.

Assumptions used in calculating the settlement loss recognized include the discount rate used in remeasuring the projected benefit obligation which was 4.99 % as of June 30, 2025, 5.53 % as of June 30, 2024, and 5.57 % as of June 30, 2023.

Settlement charges of $ 437 , $ 30 and $ 30 were recognized in Miscellaneous (expense) income, net for the years ended June 30, 2025, 2024 and 2023, respectively.

Other pre-tax changes in benefit obligations recognized in other comprehensive income for the years ended June 30, 2025, 2024 and 2023 are as follows:

Years Ended June 30,

Non-current liabilities (included in Other employee-related costs)

( 3,914 ) ( 4,086 )

Actuarial (loss) gain, net $ ( 437 ) $ 18 $ 215

Recognized actuarial loss 81 37 18

Settlement loss recognized

Total recognized in other comprehensive income $ 81 $ 85 $ 263

Weighted-average assumptions used to determine benefit obligations (made at the end of the period) as of June 30, 2025 and 2024 are as follows:

Discount rate 5.27 % 5.51 %

Interest crediting rate 4.74 % 4.55 %

Weighted-average assumptions used to determine net periodic benefit cost (made at the beginning of the period) for the years ended June 30, 2025, 2024 and 2023 are as follows:

Years Ended June 30,

$ ( 4,716 ) $ ( 4,872 )

Discount rate - projected benefit obligation 5.51 % 5.44 % 4.60 %

Discount rate - interest cost 5.05 % 5.15 % 4.27 %

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

The discount rates were determined (based on the expected duration of the benefit payments for the plans) from the Willis Towers Watson U.S.

40-90 Discount Rate Model as of June 30, 2025, 2024 and 2023 to select a rate at which the Company believed the plans’ benefits could be effectively settled.

This model was developed by examining the yields on selected highly rated corporate bonds.

Estimated Future Benefit Payments

The following table presents estimated future fiscal year benefit payments:

Fiscal year ending June 30, 2026 $ 804

Fiscal year ending June 30, 2027 433

Fiscal year ending June 30, 2028 433

Fiscal year ending June 30, 2029 430

Fiscal year ending June 30, 2030 427

Fiscal years ending June 30, 2031 – 2035 1,921

Defined Contribution Pension Plans

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In addition, the Company sponsors the MSG Sports LLC Excess Savings Plan (the “Excess Savings Plan”), which provides non-qualified retirement benefits to eligible MSG Sports employees.

Expense related to the 401(k) Plan and Excess Savings Plan was $ 5,207 , $ 5,008 and $ 4,897 for the years ended June 30, 2025, 2024 and 2023, respectively.

Expense related to the 401(k) Plan and Excess Savings Plan was $ 5,394 , $ 5,207 and $ 5,008 for fiscal years 2026, 2025 and 2024, respectively.

Multiemployer Plans

The Company contributes to a number of multiemployer defined benefit pension plans, multiemployer defined contribution pension plans, and multiemployer health and welfare plans that provide benefits to retired union-represented employees under the terms of CBAs.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

Multiemployer Defined Benefit Pension Plans

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However, cessation of participation in a multiemployer defined benefit pension plan and subsequent payment of any withdrawal liability is subject to the collective bargaining process.

The following table outlines the Company’s participation in multiemployer defined benefit pension plans for the years ended June 30, 2025, 2024 and 2023, and summarizes the contributions that the Company has made during each period.

The following table outlines the Company’s participation in multiemployer defined benefit pension plans for fiscal years 2026, 2025 and 2024, and summarizes the contributions that the Company has made during each period.

The “EIN” and “Pension Plan Number” columns provide the Employer Identification Number and the three-digit plan number for each applicable plan.

The most recent Pension Protection Act zone status available as of June 30, 2025 and 2024 relates to the plan’s two most recent years ended which are indicated.

The most recent Pension Protection Act (“PPA”) zone status available as of June 30, 2026 and 2025 relates to the plan’s two most recent years ended which are indicated.

Among other factors, plans in the red zone are generally less than 65% funded, plans in the orange zone are both less than 80% funded and have an accumulated funding deficiency or are expected to have a deficiency in any of the next six plan years, plans in the yellow zone are less than 80% funded, and plans in the green zone are at least 80% funded.

The “FIP/RP Status Pending/Implemented” column indicates whether a funding improvement plan (“FIP”) for yellow/orange zone plans or a rehabilitation plan (“RP”) for red zone plans is either pending or has been implemented by the trustees of such plan.

The zone status and any FIP or RP information is based on information that the Company received from the plan, and

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

the zone status is as certified by the plan’s actuary.

The zone status and any FIP or RP information is based on information that the Company received from the plan, and the zone status is as certified by the plan’s actuary.

The last column lists the expiration date(s) or a range of expiration dates of the CBA to which the plans are subject.

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$ 6,173 $ 5,885 $ 5,462

The Company was not listed as providing more than 5 percent of the total contributions in any Form 5500 for the years ended June 30, 2025, 2024 and 2023.

The Company was not listed as providing more than 5 percent of the total contributions in any Form 5500 for fiscal years 2026, 2025 and 2024.

Multiemployer Defined Contribution Pension Plans and Multiemployer Plans That Provide Health and Welfare Benefits

The Company contributed $ 1,286 , $ 1,296 and $ 1,113 for the years ended June 30, 2025, 2024 and 2023, respectively, to multiemployer defined contribution pension plans.

In addition, the Company contributed $ 417 , $ 270 and $ 274 for the years ended June 30, 2025, 2024 and 2023, respectively, to multiemployer plans that provide health and welfare benefits to retired employees.

The Company contributed $ 1,453 , $ 1,286 and $ 1,296 for fiscal years 2026, 2025 and 2024, respectively, to multiemployer defined contribution pension plans.

In addition, the Company contributed $ 349 , $ 417 and $ 270 for fiscal years 2026, 2025 and 2024, respectively, to multiemployer plans that provide health and welfare benefits to retired employees.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

Executive Deferred Compensation Plan

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Amounts deferred and invested by employees under the Deferred Compensation Plan are placed in an irrevocable trust established by the Company and all assets of the trust are subject to the creditors of the Company in the event of insolvency.

In accordance with ASC Topic 710, Compensation – General (“ASC Topic 710”), the assets of the trust are consolidated with the accounts of the Company and are recognized in the Company’s consolidated balance sheet.

In accordance with ASC Topic 710, the Company remeasures the deferred compensation liability, with a charge (or credit) to compensation cost in the Company’s consolidated statements of operations, to reflect changes in the fair value of the assets owed to the participants of the Deferred Compensation Plan.

The Company remeasures the fair value of the assets held in trust in accordance with ASC Topic 321, Investments – Equity Securities , and recognizes unrealized gains and losses in Miscellaneous (expense) income, net in the Company’s consolidated statements of operations.

The Company recorded compensation expense of $ 2,195 , $ 1,749 and $ 1,091 for the years ended June 30, 2025, 2024 and 2023, respectively, within Selling, general and administrative expenses to reflect the remeasurement of the Deferred Compensation Plan liability.

In addition, the Company recorded gains of $ 2,195 , $ 1,749 and $ 1,091 for the years ended June 30, 2025, 2024 and 2023, respectively, within Miscellaneous (expense) income, net to reflect the remeasurement of the fair value of assets under the Deferred Compensation Plan.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

Amounts recognized in the consolidated balance sheets as of June 30, 2025 and 2024 related to the Deferred Compensation Plan consist of:

June 30, June 30,

In accordance with ASC Topic 710, Compensation – General (“ASC Topic 710”), the assets of the trust are consolidated with the accounts of the Company and are recognized in the consolidated balance sheet.

In accordance with ASC Topic 710, the Company remeasures the deferred compensation liability, with a charge (or credit) to compensation cost in the consolidated statements of operations, to reflect changes in the fair value of the assets owed to the participants of the Deferred Compensation Plan.

The Company remeasures the fair value of the assets held in trust in accordance with ASC Topic 321, Investments – Equity Securities , and recognizes unrealized gains and losses in Miscellaneous income (expense), net in the consolidated statements of operations.

The Company recorded compensation expense of $ 3,077 , $ 2,195 and $ 1,749 for fiscal years 2026, 2025 and 2024, respectively, within Selling, general and administrative expenses to reflect the remeasurement of the Deferred Compensation Plan liability.

In addition, the Company recorded gains of $ 3,077 , $ 2,195 and $ 1,749 for fiscal years 2026, 2025 and 2024, respectively, within Miscellaneous income (expense), net to reflect the remeasurement of the fair value of assets under the Deferred Compensation Plan.

Amounts recognized in the accompanying consolidated balance sheets as of June 30, 2026 and 2025 related to the Deferred Compensation Plan consist of:

Non-current assets (included in investments)

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Unless otherwise provided in an applicable award agreement, options granted under this plan will be fully vested and exercisable upon the date of grant.

Unless otherwise provided in an applicable award agreement, restricted stock units granted under this plan will be fully vested, upon the date of grant and will settle in shares of the Company’s Class A Common Stock (either from treasury or with newly issued shares), or, at the option of the Compensation Committee, in cash, on the first business day after ninety days from the date the director’s service on the Board of Directors ceases or, if earlier, upon the director’s death.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

at the option of the Compensation Committee, in cash, on the first business day after ninety days from the date the director’s service on the Board of Directors ceases or, if earlier, upon the director’s death.

In connection with the Sphere Distribution, pursuant to the terms of the incentive plans and award agreements, (i) each holder of an RSU and PSU granted under the Employee Stock Plan received one Sphere Entertainment RSU or PSU in respect of every one Company RSU or PSU owned on the Record Date and continues to be entitled to a share of the Company’s Class A Common Stock (or cash or other property) for each Company RSU or PSU in accordance with the existing award agreement, (ii) one share of Sphere Entertainment Class A Common Stock was issued under the Sphere Entertainment Non-Employee Director Plan in respect of every one RSU outstanding under the Company’s Non-Employee Director Plan, which remain outstanding and continue to be entitled to a share of the Company’s Class A Common Stock (or cash or other property) in accordance with the existing award agreement, and (iii) each option to purchase the Company’s Class A Common Stock became two options:

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Other than the split of the options and the allocation of the existing exercise price, there were no additional adjustments to the existing options in connection with the Sphere Distribution.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

The Company’s RSUs/PSUs and/or stock options held by individuals who are solely Sphere Entertainment or MSG Entertainment employees will not be expensed by the Company;

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For awards that are graded vesting and subject to performance conditions, in addition to continued employment, the Company uses the graded-vesting method to recognize share-based compensation expense.

Share-based compensation expense was recognized in the consolidated statements of operations as a component of selling, general and administrative expenses.

Share-based compensation expense recorded during the years ended June 30, 2025, 2024 and 2023 was $ 17,935 , $ 21,291 and $ 25,203 , respectively.

There were no costs related to share-based compensation in operations that were capitalized for the years ended June 30, 2025, 2024 and 2023.

Share-based compensation expense was recognized in the accompanying consolidated statements of operations as a component of selling, general and administrative expenses.

Share-based compensation expense recorded during fiscal years 2026, 2025 and 2024 was $ 21,524 , $ 17,935 and $ 21,291 , respectively.

There were no costs related to share-based compensation in operations that were capitalized for fiscal years 2026, 2025 and 2024.

As of June 30, 2026, there was $ 19,270 of unrecognized compensation cost related to unvested RSUs and PSUs held by the Company’s employees.

The cost is expected to be recognized over a weighted-average period of approximately 1.8 years for unvested RSUs and PSUs.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

Restricted Stock Units Award Activity

The following table summarizes activity related to the Company’s RSUs and PSUs, held by the Company, Sphere Entertainment, and MSG Entertainment employees, for the year ended June 30, 2025:

The following table summarizes activity related to the Company’s RSUs and PSUs, held by the Company, Sphere Entertainment, and MSG Entertainment employees, for fiscal year 2026:

Number of Weighted-Average

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Unvested award balance as of June 30, 2026 93 126 $ 196.38

The fair value of RSUs and PSUs that vested during the year ended June 30, 2025 was $ 25,713 .

The fair value of RSUs and PSUs that vested during fiscal year 2026 was $ 24,569 .

Upon delivery, RSUs and PSUs granted under the Employee Stock Plan were net share-settled to cover the required statutory tax withholding obligations.

To fulfill the employees’ statutory minimum tax withholding obligations for the applicable income and other employment taxes, 55 of these RSUs and PSUs, with an aggregate value of $ 10,662 , inclusive of $ 24 related to the Company’s former employees (who vested in the Company’s RSUs), were retained by the Company and the taxes paid are reflected as financing activity in the accompanying consolidated statement of cash flows for the year ended June 30, 2025.

The fair value of RSUs and PSUs that vested during the years ended June 30, 2024 and 2023 was $ 23,463 and $ 40,944 , respectively.

The weighted-average fair value per share at grant date of RSUs and PSUs granted during the years ended June 30, 2024 and 2023 was $ 177.66 and $ 165.33 , respectively.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

To fulfill the employees’ statutory minimum tax withholding obligations for the applicable income and other employment taxes, 52 of these RSUs and PSUs, with an aggregate value of $ 11,097 , inclusive of $ 36 related to the Company’s former employees (who vested in the Company’s RSUs), were retained by the Company and the taxes paid are reflected as financing activity in the accompanying consolidated statement of cash flows for fiscal year 2026.

The fair value of RSUs and PSUs that vested during fiscal years 2025 and 2024 was $ 25,713 and $ 23,463 , respectively.

The weighted-average fair value per share at grant date of RSUs and PSUs granted during fiscal years 2025 and 2024 was $ 207.32 and $ 177.66 , respectively.

Stock Options Award Activity

The following table summarizes activity related to the Company’s stock options for the year ended June 30, 2025:

Time Vesting Options Weighted-Average Exercise Price Per Share (a)

The following table summarizes activity related to the Company’s stock options for fiscal year 2026:

Time Vesting Options

Weighted-Average Exercise Price Per Share (a)

Weighted-Average Remaining Contractual Term (In Years) Aggregate Intrinsic Value

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Stock Repurchase Program

Amounts in this footnote are in thousands, except for the number of shares repurchased and per share data.

Effective as of October 1, 2015, the Company’s board of directors authorized the repurchase of up to $ 525,000 of the Company’s Class A Common Stock.

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The timing and amount of purchases will depend on market conditions and other factors.

On October 6, 2022, the Company’s Board of Directors authorized a $ 75,000 accelerated share repurchase (“ASR”) program under the Company’s existing share repurchase authorization.

On October 28, 2022, the Company entered into a $ 75,000 ASR agreement with JPMorgan Chase Bank, National Association (“JP Morgan”).

Pursuant to the ASR agreement, the Company made a payment of $ 75,000 to JP Morgan and JP Morgan delivered 388,777 initial shares of Class A Common Stock to the Company on November 1, 2022, representing 80 % of the total shares expected to be repurchased under the ASR (determined based on the closing price of the Company’s Class A Common Stock of $ 154.33 on October 28, 2022).

The ASR was completed on January 31, 2023 with JP Morgan delivering 67,681 additional shares of Class A Common Stock to the Company upon final settlement.

The average purchase price per share for shares of Class A Common Stock purchased by the Company pursuant to the ASR was $ 164.31 .

The ASR was accounted for as a repurchase of shares and as an equity forward contract indexed to the Company’s Class A Common Stock.

The equity forward contract was classified as an equity instrument under ASC Subtopic 815-40.

The Company has treated the initial and final shares of Class A Common Stock delivered as treasury shares as of the date the shares were physically delivered in computing the weighted average shares of outstanding Class A Common Stock for both basic and diluted earnings per share.

During the year ended June 30, 2025, the Company did no t repurchase any shares under its share repurchase program.

During fiscal year 2026, the Company did not repurchase any shares under its share repurchase program.

As of June 30, 2026, the Company had $ 184,639 of availability remaining under its stock repurchase authorization.

Related Party Transactions

As of June 30, 2026, certain members of the Dolan family, including certain trusts for the benefit of members of the Dolan family, for purposes of Section 13(d) of the Securities Exchange Act of 1934, as amended, collectively beneficially own 100 %

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

Related Party Transactions

As of June 30, 2025, certain members of the Dolan family, including certain trusts for the benefit of members of the Dolan family (collectively, the “Dolan Family Group”), for purposes of Section 13(d) of the Securities Exchange Act of 1934, as amended, collectively beneficially own 100 % of the Company’s outstanding Class B Common Stock and own approximately 2.6 % of the Company’s outstanding Class A Common Stock.

of the Company’s outstanding Class B Common Stock and own approximately 3.0 % of the Company’s outstanding Class A Common Stock.

Such shares of the Company’s Class A Common Stock and Class B Common Stock, collectively, represent approximately 70.8 % of the aggregate voting power of the Company’s outstanding common stock.

Members of the Dolan family are also the controlling stockholders of Sphere Entertainment, MSG Entertainment and AMC Networks Inc.

(“AMC Networks”).

Members of the Dolan family are also the controlling stockholders of Sphere Entertainment, MSG Entertainment and AMC Global Media Inc.

(formerly known as AMC Networks Inc., “AMC Global Media”).

Current Related Party Arrangements

The Company was party to the following agreements and/or arrangements with MSG Entertainment as of June 30, 2026:

• Arena License Agreements, entered into in April 2020, pursuant to which MSG Entertainment (i) provides the right to use The Garden for games of the Knicks and the Rangers for a 35-year term in exchange for arena license fees, (ii) shares revenues collected for suite and club licenses, (iii) operates and manages the sale of the sports teams’ merchandise at The Garden for a commission, (iv) operates and manages the sales of food and beverage concessions in exchange for 50 % of net profits from sales and catering services during Knicks and Rangers home games, (v) shares revenues collected for the sale of venue indoor signage space and sponsorship rights at The Garden that are not specific to our teams, (vi) provides day of game services, and (vii) provides other general services within The Garden;

• Arena License Agreements, entered into in April 2020, pursuant to which MSG Entertainment (i) provides the right to use The Garden for games of the Knicks and the Rangers for a 35-year term ending June 30, 2055 in exchange for arena license fees, (ii) shares revenues collected for suite and club licenses, (iii) operates and manages the sale of the sports teams’ merchandise at The Garden for a commission, (iv) operates and manages the sales of food and beverage concessions in exchange for 50 % of net profits from sales and catering services during Knicks and Rangers home games, (v) shares revenues collected for the sale of venue indoor signage space and sponsorship rights at The Garden that are not specific to our teams, (vi) provides day of game services, and (vii) provides other general services within The Garden;

• Sponsorship sales and service representation agreements, entered into in April 2020 (the “Sponsorship Sales and Service Representation Agreements”), pursuant to which MSG Entertainment has the exclusive right and obligation to sell the Company’s sponsorships for an initial stated term of 10 years for a commission.

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The Company was also party to the following agreements and/or arrangements with Sphere Entertainment (including through its subsidiary MSG Networks) as of June 30, 2026:

• Media rights agreements between the Company and MSG Networks, as amended in June 2025 and set to expire after the 2028-29 seasons, providing MSG Networks with local telecast rights for Knicks and Rangers games in exchange for media rights fees;

• Local telecast rights agreements between the Company and MSG Networks, as amended in June 2025 and set to expire after the 2028-29 seasons, providing MSG Networks with local telecast rights for Knicks and Rangers games in exchange for media rights fees;

• An agreement with MSG Networks pursuant to which the Company was issued penny warrants exercisable for 19.9 % of the equity interests in MSG Networks, as further described in Note 11;

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

• An agreement with MSG Networks pursuant to which the Company was issued penny warrants exercisable for 19.9 % of the equity interests in MSG Networks, as further described in Note 10;

• Arrangements with MSG Networks pursuant to which the Knicks and the Rangers have allocated revenues with MSG Networks related to virtual advertising inventory;

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Prior to April 1, 2024, the Company was also party to arrangements with MSG Entertainment and Sphere Entertainment pursuant to which the Company provided certain sponsorship services in exchange for services fees.

The Company is also party to time-sharing and dry lease arrangements with MSG Entertainment in connection with aircraft leased by the Company and MSG Entertainment, as well as arrangements with MSG Entertainment and Sphere Entertainment pursuant to which the three companies have agreed to allocate expenses in connection with the use by each company of such aircraft.

The Company is also party to various arrangements with subsidiaries of MSG Entertainment and Sphere Entertainment, pursuant to which the Company has the right to lease on a time-sharing and/or dry lease basis certain aircraft to which MSG Entertainment has access and MSG Entertainment and Sphere Entertainment have the right to lease on a dry-lease basis certain aircraft leased by the Company, and pursuant to which MSG Entertainment provides certain aircraft support services.

In addition, the Company shares certain executive support costs, including office space, executive assistants, security and transportation costs for:

(i) the Company’s Executive Chairman and Chief Executive Officer with Sphere Entertainment and, following the MSGE Distribution, with MSG Entertainment as well;

(ii) the Company’s Vice Chairman with AMC Networks, Sphere Entertainment and, following the MSGE Distribution, with MSG Entertainment as well, and (iii) the Company’s Executive Vice President with Sphere Entertainment and AMC Networks.

Additionally, the Company, Sphere Entertainment, AMC Networks, and, following the MSGE Distribution, MSG Entertainment allocate the costs of certain personal aircraft and helicopter usage by their shared executives.

(i) the Company’s Executive Chairman and Chief Executive Officer with Sphere Entertainment and MSG Entertainment, (ii) the Company’s Vice Chairman with AMC Global Media, Sphere Entertainment and MSG Entertainment, and (iii) the Company’s Executive Vice President with Sphere Entertainment and AMC Global Media.

Additionally, the Company, Sphere Entertainment, AMC Global Media and MSG Entertainment allocate the costs of certain personal aircraft and helicopter usage by their shared executives.

Revenues and Operating Expenses (Credits)

The following table summarizes the composition and amounts of the transactions with the Company’s affiliates.

These amounts are reflected in revenues and operating expenses in the accompanying consolidated statements of operations for the years ended June 30, 2025, 2024 and 2023:

These amounts are reflected in revenues and operating expenses in the accompanying consolidated statements of operations for fiscal years 2026, 2025 and 2024:

Years Ended June 30,

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Other costs associated with the Arena License Agreements 48,833 41,076 41,916

Other operating (credits) expenses, net ( 2,127 ) ( 1,867 ) 84

Other operating credits, net ( 1,838 ) ( 2,127 ) ( 1,867 )

_________________

(a) Primarily consist of local media rights recognized from the licensing of team-related programming under the media rights agreements covering the Knicks and the Rangers.

(a) Primarily consist of local media rights fees from MSG Networks.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

Income tax expense (benefit) attributable to operations is comprised of the following components:

Income (loss) before income taxes for fiscal years 2026, 2025 and 2024 was comprised of the following components:

Years Ended June 30,

2026 2025 2024

Domestic $ 17,983 $ ( 17,272 ) $ 105,668

Income (loss) before income taxes $ 17,983 $ ( 17,272 ) $ 105,668

Income tax expense for fiscal years 2026, 2025 and 2024 was comprised of the following components:

Years Ended June 30,

2026 2025 2024

Current expense:

Federal $ 1,100 $ 30,094 $ 27,605

State and other 26,841 26,427 6,110

State and local 2,990 26,720 26,285

Foreign 80 121 142

4,170 56,935 54,032

Deferred (benefit) expense:

Deferred expense (benefit):

Federal 3,239 ( 27,976 ) ( 3,506 )

State and other ( 23,793 ) ( 3,629 ) 15,665

State and local 2,815 ( 23,793 ) ( 3,629 )

6,054 ( 51,769 ) ( 7,135 )

Income tax expense $ 10,224 $ 5,166 $ 46,897

The income tax expense attributable to operations differs from the amount derived by applying the statutory federal rate to pre-tax (loss) income principally due to the effect of the following items:

The income tax expense differs from the amount derived by applying the statutory federal rate to pre-tax income (loss) for fiscal years 2026, 2025 and 2024 principally due to the effect of the following items:

Years Ended June 30,

2026 2025 2024

Federal tax (benefit) expense at statutory federal rate $ ( 3,627 ) $ 22,190 $ 18,883

State income taxes, net of federal benefit 2,686 18,348 15,066

Change in the estimated applicable tax rate used to determine deferred taxes 47 29 1,788

Capital loss carryover — — ( 2,728 )

GAAP income of consolidated partnership attributable to non-controlling interests — — 455

Return to provision ( 87 ) ( 1,446 ) 366

Change in valuation allowance 177 1,432 2,728

Amount % Amount % Amount %

Income (loss) before income taxes $ 17,983 $ ( 17,272 ) $ 105,668

Federal tax expense (benefit) at statutory federal rate $ 3,776 21 % $ ( 3,627 ) 21 % $ 22,190 21 %

State and local income taxes, net of federal benefit (a)

4,434 25 % 2,581 ( 15 ) % 18,246 17 %

Nontaxable or nondeductible items:

Nondeductible officers’ compensation 3,909 22 % 5,291 ( 31 ) % 5,899 6 %

Nondeductible disability insurance premiums expense 1,710 1,349 1,227

Nondeductible meals and entertainment 1,105 6 % 453 ( 3 ) % 534 1 %

Nondeductible player life and disability premiums expense 1,853 10 % 1,710 ( 10 ) % 1,349 1 %

Other nondeductible expenses 215 1 % 106 ( 1 ) % 97 — %

Dividends received deduction ( 3,052 ) ( 17 ) % ( 1,159 ) 7 % ( 814 ) ( 1 ) %

Excess tax benefit related to shared based-payments awards ( 468 ) ( 265 ) 636

Other 37 ( 456 ) 76

Federal tax credits ( 1,673 ) ( 9 ) % ( 573 ) 3 % ( 673 ) ( 1 ) %

Prior Year Return to Provision Adjustments — — % 484 ( 3 ) % — — %

Valuation allowance 103 — % 113 — % 916 1 %

Excess tax (expense) benefit related to shared based-payments awards ( 407 ) ( 2 ) % ( 298 ) 2 % ( 169 ) — %

Other adjustments ( 39 ) — % 85 — % ( 678 ) ( 1 ) %

Income tax expense $ 10,224 57 % $ 5,166 ( 30 ) % $ 46,897 44 %

_________________

(a) State and local taxes in New York and New York City made up the majority (greater than 50 percent) of the tax effect in this category.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

The tax effects of temporary differences which give rise to significant portions of the deferred tax assets and liabilities as of June 30, 2025 and 2024 are as follows:

The tax effects of temporary differences which give rise to significant portions of the deferred tax assets and liabilities as of June 30, 2026 and 2025 were as follows:

Deferred tax asset:

15 unchanged sentences

Total deferred tax liabilities $ ( 113,868 ) $ ( 107,794 )

Net deferred tax asset (liability) $ 34,821 $ ( 16,925 )

Net deferred tax asset $ 28,773 $ 34,821

In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax asset will not be realized.

8 unchanged sentences

The federal and state statute of limitations are currently open for tax returns for years starting with 2023.

During the years ended June 30, 2025, 2024 and 2023, the Company made income tax payments, net of refunds, of $ 65,733 , $ 48,035 and $ 18,615 , respectively.

On July 4, 2025, the Reconciliation Bill commonly known as the “One Big Beautiful Bill Act” (the “OBBBA”) was enacted into law.

OBBBA includes a broad range of tax reform provisions affecting businesses, including extending and modifying certain key Tax Cuts & Jobs Act provisions (both domestic and international), expanding certain Inflation Reduction Act incentives, and accelerating the phase-out of others.

The Company is currently evaluating the impact of these provisions on the Company’s consolidated financial statements.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

During fiscal years 2026, 2025 and 2024, the Company’s income tax payments, net of refunds, were as follows:

Years Ended June 30,

2026 2025 2024

Federal $ 3,600 $ 34,584 $ 25,503

State and local:

New York State 6,463 14,995 10,842

New York City 4,752 15,138 11,072

Other 431 1,016 618

Total state and local 11,646 31,149 22,532

Total cash paid for income taxes (net of refunds) $ 15,246 $ 65,733 $ 48,035

On July 4, 2025, the Reconciliation Bill commonly known as the “One Big Beautiful Bill Act” (the “OBBBA”) was enacted into law.

The Company evaluated these provisions and concluded that they did not have a material impact on the consolidated financial statements.

Additional Financial Information

Prepaid expenses consisted of the following:

Prepaid expenses as of June 30, 2026 and 2025 consisted of the following:

2026 June 30,

7 unchanged sentences

The Company’s emphasis is primarily on safety of principal and liquidity and secondarily on maximizing the yield on its investments.

The following individual non-related parties accounted for the following percentages of the Company’s consolidated receivable balances recorded in Accounts receivable, net and Other assets in the accompanying consolidated balance sheets:

Entity A 23 % 17 %

1 unchanged sentence

Entity C 7 % 17 %

The following individual non-related parties accounted for the following percentages of the Company’s consolidated revenue balances:

Entity D 14 % 1 %

The following individual non-related parties accounted for the following percentages of the Company’s consolidated revenue balances for fiscal years 2026, 2025 and 2024:

Years Ended June 30,

1 unchanged sentence

Entity A 16 % 14 % 13 %

Revenues from MSG Networks amounted to $ 157,389 , $ 175,325 and $ 172,340 for the years ended June 30, 2025, 2024 and 2023, which represented 15 %, 17 % and 19 %, respectively, of the Company’s consolidated revenues (see Note 17).

As of June 30, 2025, approximately 115 full-time and part-time employees, which represent approximately 11.4 % of the Company’s workforce, are subject to CBAs.

There are 38 union employees subject to CBAs that expired as of June 30, 2025 and there are no union employees subject to CBAs that will expire by June 30, 2026.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

Revenues from MSG Networks amounted to $ 125,745 , $ 157,389 and $ 175,325 for fiscal years 2026, 2025 and 2024, which represented 11 %, 15 % and 17 %, respectively, of the Company’s consolidated revenues (see Note 18).

As of June 30, 2026, approximately 119 full-time and part-time employees, which represent approximately 11.7 % of the Company’s workforce, were subject to CBAs.

There were no union employees subject to CBAs that expired as of June 30, 2026 and there were no union employees subject to CBAs that will expire by June 30, 2027.

Segment Information

1 unchanged sentence

The Company’s CODM is its Executive Chairman and Chief Executive Officer, who reviews financial information presented on a consolidated basis.

The CODM uses consolidated net (loss) income to assess financial performance and allocate resources.

Consolidated net (loss) income is used by the CODM to make key operating decisions, such as entering into significant contracts, setting strategic objectives for the Company, and approving annual operating budgets, including approving significant investments in team personnel, and other key executive leadership positions.

The CODM uses consolidated net income (loss) to assess financial performance and allocate resources.

Consolidated net income (loss) is used by the CODM to make key operating decisions, such as entering into significant contracts, setting strategic objectives for the Company, and approving annual operating budgets, including approving significant investments in team personnel, and other key executive leadership positions.

The CODM does not review segment assets at a different asset level or category than those disclosed in the accompanying consolidated balance sheets.

The following table presents selected financial information with respect to the Company’s single operating segment for the years ended June 30, 2025, 2024 and 2023:

The following table presents selected financial information with respect to the Company’s single operating segment for fiscal years 2026, 2025 and 2024:

Years Ended June 30,

13 unchanged sentences

Depreciation and amortization ( 3,179 ) ( 3,218 ) ( 3,164 )

Restructuring charges ( 2,078 ) — —

Interest income 2,939 4,034 2,787

Interest expense ( 21,085 ) ( 21,652 ) ( 27,589 )

Miscellaneous (expense) income, net ( 14,462 ) ( 15,568 ) 25,239

Miscellaneous income (expense), net 7,261 ( 14,462 ) ( 15,568 )

Income tax expense ( 10,224 ) ( 5,166 ) ( 46,897 )

1 unchanged sentence

( 295,575 ) ( 208,111 ) ( 197,810 )

Net (loss) income $ ( 22,438 ) $ 58,771 $ 45,628

Net income (loss) $ 7,759 $ ( 22,438 ) $ 58,771

_________________

5 unchanged sentences

See Note 18 for further details related to the Arena License Agreements.

MADISON SQUARE GARDEN SPORTS CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(e) Team operating expenses primarily consist of team personnel compensation (net of escrow), NBA luxury tax, expenses associated with day-to-day team operations, including for travel, player insurance, and operating costs of the Company’s training center in Greenburgh, NY.

1 unchanged sentence

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-K

Item 9A. Controls and Procedures