Las Vegas Sphere Loses $98.4M and Company CFO

Las Vegas Sphere Loses $98.4M and Company CFO

News by Roberto Orosa
Published: November 10, 2023

While it had several viral moments, the Las Vegas Sphere operated by the company behind Madison Square, reported a loss of over $98.4 million. 

According to the New York Post, the company's revenue currently stands at $118 million, reflecting a 71% decrease from the figures reported a year ago.

The dome earned $4.1 million from sold-out U2 shows and $2.6 million from suite licensing and exosphere advertising.

The Sphere, which opened its doors to concert-goers on September 29, has grown in popularity for its unique architectural design and innovative displays. 

Designed by the architectural company Populous, it took about $2.3 billion to build over the last two years, cementing itself as the most expensive entertainment venue in Las Vegas by far.

Despite generating around $6.7 million from event revenue, sponsorships and advertising, the organization didn't achieve a break-even point as its operating costs amounted to around $7.8 million.

The Las Vegas Sphere Loses Its CFO

Per an SEC filing, Sphere's Chief Financial Officer Gautam Ranji has also departed from the company.

The filing clarified that his exit was "not a result of any disagreement with the company’s independent auditors or any member of management on any matter of accounting principles or practices, financial statement disclosure, or internal controls."

Reportedly, Ranji abruptly resigned following a heated argument with Madison Square Garden's CEO James Dolan.

Despite this, the company remains optimistic about the future of the Sphere.

"We are building positive momentum across Sphere and remain confident that we are well positioned to drive long-term value for shareholders," Dolan shared.

Dolan claims U2's concert series has driven interest from the artist community to play in the venue.

"We expect to host two additional residencies in the second half of this fiscal year (January through June) and look forward to sharing more details," he concluded.

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