Property and Equipment, net

6 Months Ended

Jun. 30, 2025

Property, Plant and Equipment [Abstract]

As of June 30, 2025 and December 31, 2024, property and equipment, net consisted of the following:


	As of
	June 30, 2025		December 31, 2024
Land	$	—	$	43,838
Buildings	2,267,873		2,263,750
Equipment, furniture, and fixtures	1,207,040		1,189,495
Leasehold improvements	23,835		23,835
Construction in progress	9,779		7,496
Total property and equipment, gross	3,508,527		3,528,414
Less accumulated depreciation and amortization	(656,549)		(492,684)
Property and equipment, net	$	2,851,978	$	3,035,730

The property and equipment balances above include $131,930 and $142,989 of capital expenditure accruals (primarily related to Sphere construction) as of June 30, 2025 and December 31, 2024, respectively, which are reflected in Accrued expenses and other current liabilities in the accompanying condensed consolidated balance sheets. See Note 2. Summary of Significant Accounting Policies, to the Audited Consolidated Financial Statements included in the Form 10-KT, for details on the Company’s estimated useful lives for each major category of property and equipment.

During the three months ended June 30, 2025, the Company completed the sale of its land in Stratford, London for $48,757, which was net of related expenses of $1,915. As a result of the sale, the Company recognized a pre-tax loss of $3,741, including the reclassification of a currency translation adjustment of $6,175, The loss was included in Impairments and other losses, net in the accompanying condensed consolidated statements of operations.

The Company recorded depreciation expense on property and equipment of $82,251 and $164,880 for the three and six months ended June 30, 2025, respectively, and $80,885 and $159,973 for the three and six months ended June 30, 2024, respectively, which is recognized in Depreciation and amortization in the accompanying condensed consolidated statements of operations.

Sphere Entertainment Co. 10-Q