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    BATRK
    Earnings call· Jun 2026(Q2 FY26)

    Atlanta Braves Holdings Q2 FY26 earnings call BATRK

    Aug 5, 2026 Source

    Executive summary

    Atlanta Braves Holdings Q2 FY26 — Strong On-Field Performance and Mixed-Use Growth Offset Media Transition

    Atlanta Braves Holdings delivered strong on-field performance and continued growth in its mixed-use development segment, with Battery Atlanta visitor traffic up 6.5% and portfolio occupancy above 93%. However, the transition to the new BravesVision multimedia platform impacted Q2 financials, leading to a significant decline in adjusted OIBDA and an operating loss, primarily due to revenue recognition timing and increased operating costs. Management remains confident in BravesVision's annualized revenue potential and the long-term value of its diversified business model.

    Highlights

    5

    • Baseball event revenue increased approximately $4 million through the first 6 months of FY26 despite 1 fewer home game.

    • Mixed-use development revenue increased to $29 million in Q2 FY26, up from $25 million in Q2 FY25.

    • Battery Atlanta visitors increased 6.5% year-over-year to 4.7 million through H1 2026.

    • Mixed-use portfolio occupancy remains above 93%.

    • Retail and licensing revenue increased approximately $3 million to $22 million due to City Connect apparel.

    Concerns

    4

    • Total revenue decreased to $305 million in Q2 FY26 from $312 million in Q2 FY25.

    • Adjusted OIBDA decreased significantly to $12 million in Q2 FY26 from $66 million in Q2 FY25.

    • Operating loss was $19 million in Q2 FY26 compared to operating income of $42 million in Q2 FY25.

    • Media-related revenue decreased to $73 million in Q2 FY26 from $81 million in Q2 FY25 due to timing of revenue recognition under BravesVision.

    Guidance & targets

    3
    CategoryTargetConfidence
    BravesVision Annualized Revenue
    replicate or exceed revenue from our prior third-party local rights partner
    high materiality
    High
    MLB Media Rights Growth
    untapped growth
    high materiality
    High
    Postseason Financial Impact
    some upside
    medium materiality
    High

    Segment performance

    2
    SegmentRevenueYoYQoQMargin
    Baseball
    Baseball revenue was $276 million in Q2 FY26 compared with $287 million in Q2 FY25. The decrease in baseball event revenue was primarily due to playing 6 fewer regular season home games during the quarter. Media-related revenue decreased due to the timing of revenue recognition under BravesVision's linear distribution agreements compared with the previous long-term local broadcasting agreement. Retail and licensing revenue increased due to strong demand for new City Connect apparel. Other baseball revenue increased due to a greater number of special events held at Truist Park.
    Regular season home games Q2 FY26: 34Regular season home games Q2 FY25: 40Baseball event revenue Q2 FY26: $161 millionBaseball event revenue decrease YoY: $19 millionBaseball event revenue H1 FY26 increase: $4 million (despite 1 fewer home game)Media-related revenue Q2 FY26: $73 millionMedia-related revenue Q2 FY25: $81 millionRetail and licensing revenue Q2 FY26: $22 millionRetail and licensing revenue increase YoY: $3 millionOther baseball revenue Q2 FY26: $21 millionOther baseball revenue increase YoY: $13 millionSellouts through July: 17Average attendance per home game H1 FY26: increased
    		$276 million———
    Mixed-Use Development
    Mixed-use development revenue increased from $25 million in Q2 FY25 to $29 million in Q2 FY26, primarily driven by higher rental income and parking revenue, including increased tenant recoveries and new lease agreements. This quarter represents the first full year-over-year comparison with Pennant Park included in both periods.
    Revenue Q2 FY25: $25 millionOccupancy for entire mixed-use portfolio: above 93%Monthly tenant sales: new record high in MayReplacement tenant sales YTD: 130% increaseLeasable space under redevelopment: 64,000 square feetBattery Atlanta visitors H1 2026: 4.7 millionBattery Atlanta visitors increase YoY: 6.5%
    		$29 million———

    Operational metrics

    8
    Total Revenue
    $305 millionvs $312 million in Q2 FY25
    Q2 FY26

    Consolidated total revenue for the quarter.

    Adjusted OIBDA
    $12 millionvs $66 million in Q2 FY25
    Q2 FY26

    Decrease primarily reflects lower baseball revenue as well as an increase in baseball operating costs and SG&A expenses.

    Operating Income/Loss
    ($19 million)vs operating income of $42 million in Q2 FY25
    Q2 FY26

    Operating loss in Q2 FY26 compared to operating income in the prior year, primarily due to revenue and expense factors discussed.

    Cash and Cash Equivalents
    $116 million
    As of June 30, 2026

    Substantially all invested in U.S. treasury securities, other government securities or government-guaranteed funds, AAA-rated money market funds and other highly rated financial and corporate debt instruments.

    Available Borrowing Capacity
    $205 million
    As of June 30, 2026

    Available under League-wide credit facility and TeamCo revolver.

    NBA Media Rights (prior deal)
    $2.7 billion
    Annual

    Referenced as the prior annual value of the NBA's national media rights deal, used as a comparison for potential MLB media rights growth.

    NBA Media Rights (new deal)
    $7.7 billion
    Annual

    Referenced as the new annual value of the NBA's national media rights deal, used as a comparison for potential MLB media rights growth.

    Baseball Operating Costs
    —increased
    Q2 FY26

    Increased due to higher Major League player salaries, BravesVision production and administrative expenses, costs associated with special events at Truist Park and increased revenue sharing and other shared MLB expenses.

    Product announcements

    2
    ProductTypeDetails
    BravesVisionlaunch
    City Connect Apparellaunch

    Deals & partnerships

    3
    Pennant ParkAcquisition of a mixed-use development, natural extension of existing portfolio.

    Acquired over 1 year ago, this quarter represents the first full year-over-year comparison with Pennant Park reflective. Considered a strategic piece of the total campus.

    Lane ThomasAcquisition of talented Outfielder to bolster the team for the stretch run.

    Acquired at the trade deadline to add valuable talent for the stretch.

    Bailey Falter, Brent Suter, Tyler Uberstine, Tyler MahleAcquisition of multiple players to bolster pitching depth.

    Acquired at the trade deadline to add valuable talent for the stretch.

    Risks & headwinds

    2
    Legacy Cable Model DeclineOngoing

    Distributors seeing subscriber numbers decrease even more so than previously forecasted.

    Mitigation: BravesVision's direct-to-consumer business is outpacing early projections and positions the company well for the future, insulating it from these impacts more than most teams.

    Salary Tax Deduction Limitations ($162M)

    Potential impact from tax deduction limitations.

    Mitigation: Management is having positive and active conversations, with a strong consensus that it was an unintended consequence. They are confident in a legislative or regulatory solution.

    What to watch in Q3 FY26

    4

    BravesVision Annualized Revenue

    Annually (next quarter will show continued progress)
    CurrentQ2 FY26 media-related revenue $73M, down from $81M YoY due to timing.
    TargetReplicate or exceed prior third-party local rights partner revenue on an annualized basis.

    Why it matters

    BravesVision is a key strategic initiative to control local media rights and drive long-term revenue growth, insulating the company from legacy cable declines.

    We remain encouraged by the early success of BravesVision and are confident that we will replicate or exceed revenue from our prior third-party local rights partner on an annualized basis.

    Q&A highlights

    5

    Inquired about the cadence of elevated baseball expenses, particularly BravesVision, and player salary trends.

    Jill Robinson explained that Q2 and Q3 typically see expense spikes due to the baseball season, player salaries, and stadium operations. BravesVision expenses are a new and ongoing cost, slightly elevated during the season, and represent a go-forward trend.

    “Yes. It's going to be an ongoing expense with expenses being slightly elevated during the season and some expenses in the off-season quarters as well. But you can expect this to be a go-forward trend.”

    asked by David Joyce · answered by Jill Robinson

    3 min read6 chapters

    Detailed Narrative

    01

    Baseball Operations & On-Field Success

    The Atlanta Braves are currently in first place in the National League East, with Fan graph projecting an 89% chance of winning the division and a 99% chance of making the playoffs. The team has navigated injuries, with key players like Ronald Acuna Jr., Sean Murphy, and Ha-Seaong Kim returning. Recent trade deadline acquisitions, including outfielder Lane Thomas and pitchers Bailey Falter, Brent Suter, Tyler Uberstine, and Tyler Mahle, bolstered the roster for a deep postseason run. Five Braves players were selected for the All-Star game, reflecting the team's talent and depth.

    02

    BravesVision Launch & Media Strategy

    The company successfully launched BravesVision, its owned and operated multimedia platform, in Q2 FY26, becoming the official local television home of the Braves. This platform allows direct management of distribution, advertising sales, production, and programming. Early fan and media feedback has been positive, with plans to expand content. While Q2 media-related revenue decreased due to timing difference📎s in revenue recognition compared to the prior third-party agreement, management is confident BravesVision will replicate or exceed previous annualized revenue.

    03

    Truist Park & Fan Engagement

    Fan engagement at Truist Park remains strong, with 17 sellouts through July. Despite 6 fewer regular season home games in Q2 FY26 compared to Q2 FY25, average attendance per home game increased, and baseball event revenue grew approximately $4 million through the first six months of the year. The fan experience team received three Golden Matrix Awards, including Best Overall Production across all sports. The ballpark also hosted non-traditional events like Savannah Bananas games, concerts, and World Cup viewing parties, attracting over 100,000 visitors to the Braves Country Music Fest.

    04

    Mixed-Use Development & Pennant Park

    The mixed-use development segment, including Battery Atlanta and the recently acquired Pennant Park, continues to perform robustly. The entire portfolio maintains an occupancy rate above 93%. Monthly tenant sales hit a new record high in May, and replacement tenant sales increased by 130% year-to-date. The Battery Atlanta saw 4.7 million visitors through the first half of 2026, a 6.5% increase from the prior year, driven by expanded offerings and events.

    05

    Financial Performance Overview

    Total revenue for Q2 FY26 was $305 million, a decrease from $312 million in Q2 FY25. Adjusted OIBDA significantly declined to $12 million from $66 million in the prior year period, resulting in an operating loss of $19 million compared to an operating income of $42 million. This decline was primarily attributed to fewer regular season home games, the timing of📎 revenue recognition for BravesVision, and increased baseball operating costs, including higher Major League player salaries and BravesVision production expenses. Mixed-use development performance partially offset these factors.

    06

    Liquidity and Financial Position

    As of June 30, 2026, the company held $116 million in cash and cash equivalents. It also maintained approximately $205 million of available borrowing capacity under its League-wide credit facility and TeamCo revolver. Management stated that the company remains in compliance with all financial debt covenants, and its available liquidity provides flexibility to support operating needs and future priorities, including offsetting the timing impact📎 of BravesVision cash flow.

    AI-generated summary of the company’s earnings call. Not investment advice.