The company reported a loss of $3.08 a share for the three months ended in June, compared with a loss of $1.94 in the same period a year ago. Analysts had been expecting a loss of $2.61 a share.
Revenue fell 17% to $264 million, although this included a change in the way revenue gets recognized, referred to as ASC Topic 606. Absent that impact, revenue would have been $326 million, the company said.
Analysts had been expecting $270 million in revenue for the period.
"Looking ahead, we remain confident in the strength of our core businesses and expect fiscal 2020 to be an important year as we work to complete the proposed sports spinoff and begin to usher in the company's next chapter, with MSG Sphere in Las Vegas starting to take shape," says CEO James Dolan in a statement.
MSG shares fell to new lows after the company disclosed steep construction costs of the Vegas venue, which MSG plans to open in 2021.
The high-tech Las Vegas Sphere could cost anywhere from $1.2 billion to $1.7 billion, a contractor told Bloomberg. That is a hefty price vs. the nearby Las Vegas T-Mobile (TMUS - Get Report) Arena, which cost $375 million to build and opened in 2016, the news service reported.
MSG finished down 8.9% at $267.33.
Save 57% With Our Labor Day Sale. Join Jim Cramer's Action Alerts PLUS investment club to become a smarter investor! Click here to sign up!