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Atlanta Braves Holdings, Inc.

BATRA
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Business Summary

Atlanta Braves Holdings, Inc. (the "Company") operates primarily in the entertainment and real estate industries, centered around its wholly-owned subsidiary, Braves Holdings, LLC, which owns and operates the Atlanta Braves Major League Baseball Club ("Braves") . The Company's business model generates revenue through two main reportable segments: Baseball and Mixed-Use Development . The Baseball segment encompasses operations related to the Braves baseball franchise and Truist Park, including ticket sales, concessions, local broadcasting rights, advertising sponsorships, suites and premium seat fees, retail and licensing revenue, and shared MLB revenue streams such as national broadcasting rights . The Mixed-Use Development segment focuses on retail, office, hotel, and entertainment operations within The Battery Atlanta and the surrounding area, deriving revenue primarily from rental income, parking, and advertising sponsorships . The financial success of the Company is largely dependent on the on-field performance of the Braves, which drives fan enthusiasm and demand for related products and services .

For the fiscal year ended December 31, 2025, Atlanta Braves Holdings reported total revenue of $732.492 million , an increase from $662.748 million in the prior year . The Company experienced an operating loss of $(13.527) million , an improvement from an operating loss of $(39.665) million in 2024 . Net loss for the year was $(23.281) million , compared to a net loss of $(31.268) million in the previous year . Basic and diluted EPS were both $(0.37) , an improvement from $(0.50) in 2024 . Adjusted OIBDA, a non-GAAP measure, increased to $107.813 million from $39.683 million in 2024 . As of December 31, 2025, the Company had cash and cash equivalents of $99.884 million . Total debt, including current and long-term portions, was $738.631 million , with a current portion of debt amounting to $215.347 million .

Year-over-year, total revenue increased by $69.744 million , or 10.5%, driven by growth in both segments. Baseball revenue increased by $39.630 million to $635.060 million , primarily due to a $9.9 million increase in baseball event revenue from contractual rate increases on season tickets and new premium seating and sponsorship agreements, and a $22.5 million increase in broadcasting revenue due to additional streaming rights and contractual rate increases . Mixed-Use Development revenue saw a significant increase of $30.114 million to $97.432 million , largely attributable to a $27.1 million increase in rental income from new lease commencements and the acquisition of real estate assets, along with a $2.0 million increase in sponsorship revenue . Operating costs and expenses increased overall, but baseball operating costs decreased by $7.2 million due to a $20.3 million decrease in major league player salaries and a $3.7 million decrease in variable concession and retail operating expenses, partially offset by a $5.6 million increase in MLB revenue sharing and a $4.1 million increase in special event expenses . Mixed-Use Development costs increased by $4.6 million due to operating costs associated with the acquired assets . A notable operational development was the termination of the Braves Broadcast Agreement in January 2026 due to the local broadcasting partner's failure to make contractual payments, resulting in a $30.1 million contract asset impairment . In February 2026, the Braves announced BravesVision, a new multimedia platform, as its official local television home . The Company also completed the acquisition of certain real estate assets adjacent to The Battery Atlanta in April 2025 for approximately $93.7 million .

Business Outlook

The Company's future performance is intrinsically linked to general economic conditions and their impact on consumer demand for its products, services, and events. Management acknowledges that weak economic conditions could lead to reduced ticket demand for baseball events, consequently affecting concession and merchandise sales, and potentially lowering advertising sponsorships . While Atlanta Braves Holdings cannot predict the full extent of these potential adverse effects as of December 31, 2025, it does not believe its operations have been materially impacted by recent economic pressures .

A significant development impacting the Company's revenue outlook is the termination of the Braves Broadcast Agreement in January 2026, following the failure of its local broadcasting partner, Main Street Sports Group, to make contractual payments . This resulted in a $30.1 million contract asset impairment in the 2025 financial statements . In response, the Braves announced BravesVision in February 2026, a new multimedia platform owned and operated by the Company, which will serve as the official local television home of the Braves starting with the 2026 season . However, this new platform may generate less revenue than what was previously received under the terminated agreement .

The Company expects its primary uses of cash in the upcoming period to include payments to certain players and other employees under long-term employment agreements, capital expenditures, investments in real estate ventures, and debt service payments . These projected uses are anticipated to be funded by cash on hand, cash generated from operations, and borrowings from construction loans and revolvers . Management believes that the available sources of liquidity are sufficient to cover these projected future cash uses .

As of December 31, 2025, the Company has significant contractual obligations under long-term employment agreements, totaling $285.8 million in 2026, $171.4 million in 2027, $125.5 million in 2028, $63.3 million in 2029, $39.2 million in 2030, and $44.0 million thereafter . Additionally, future minimum payments under noncancelable operating leases and finance leases amount to $1,441 thousand for operating leases and $10,791 thousand for finance leases in 2026 . The Company also expects to contribute $5.6 million to the Non-Uniformed Personnel Pension Plan in 2026 .

Risk Factors

Atlanta Braves Holdings faces several material risks, including the potential for decreased broadcasting revenue due to solvency issues or business disruptions impacting broadcasting partners, declines in television ratings, or reduced popularity of the Braves or MLB as a whole . The financial success of the business is highly dependent on the Braves achieving on-field success, and poor performance could adversely affect ticket, concession, merchandise sales, and broadcasting audiences . The Company also faces risks related to developing, obtaining, and retaining talented players, as well as the difficulty in accurately determining the market value of MLB players, especially for long-term contracts, which could negatively impact on-field success and financial performance . Injuries to key or popular players pose a risk to team performance and fan enthusiasm, potentially decreasing revenue, and the Company may incur significant financial burdens from compensating injured players and their replacements . Management's focus on enhancing on-field performance may sometimes lead to strategies and investments that negatively impact short-term profitability, such as acquiring highly compensated players or incurring Competitive Balance Tax penalties . The Company was not required to pay the Competitive Balance Tax for the 2025 season but did for the 2024 and 2023 seasons . Organized labor matters, such as potential MLB work stoppages, could postpone or cancel games, leading to a material negative effect on business and results of operations . The organizational structure and rules of MLB impose substantial restrictions, including debt limitations and revenue sharing arrangements, and any changes or Commissioner decisions could adversely affect the Company . MLB expansion could dilute revenue from national broadcasting agreements and increase competition for talented players . The Company's ability to incur indebtedness is limited by CBA rules, including the Debt Service Rule, which generally requires outstanding indebtedness minus excludable indebtedness to be at or below 8.0x available cash flow (or 12.0x for new stadiums), with excludable indebtedness set at $100 million for 2025-2026 . As of December 31, 2025, Braves Holdings had approximately $223.8 million outstanding under various debt instruments for construction and stadium-related costs, $487.3 million for the Mixed-Use Development, and $30.0 million for the spring training facility . The Company does not own Truist Park, and failure to comply with the Stadium Operating Agreement could result in termination of operating rights . Real estate development activities, such as the Mixed-Use Development, are subject to significant risks including adverse market conditions, increased interest rates, construction delays, cost overruns, and environmental regulations . Failure of Mixed-Use Development lessees to renew leases or pay rent could adversely impact cash flow . Data loss, cybersecurity incidents, or disruptions of information systems could lead to increased costs, litigation, reputational harm, and financial liabilities . The Company's ability to use net operating loss and disallowed business interest carryforwards to reduce future tax payments could be negatively impacted by state laws or other factors . An amendment to Section 162(m) of the Internal Revenue Code, effective for fiscal year ending December 31, 2027, could expand "covered employee" designation to MLB players, potentially increasing nondeductible expenses for federal income tax purposes by $24.6 million if it had been in effect during 2025 .

Management Priorities

Management's message to shareholders emphasizes the critical link between the Braves' on-field success and the Company's financial results, noting that team successes drive fan enthusiasm and sustained demand for tickets, premium seating, concessions, merchandise, and local broadcasting audiences . They highlight their strategic focus on making operational and business decisions that enhance on-field performance, even if it sometimes requires investments that may negatively impact short-term profitability for immediate success . A key strategic priority is the continued development and operations of The Battery Atlanta, including transactions like the April 2025 acquisition of real estate assets, which management believes will increase game attendance and rental income, parking, and corporate sponsorships throughout the year . Management also explicitly addressed the termination of the Braves Broadcast Agreement in January 2026 and the subsequent launch of BravesVision in February 2026 as the new official local television home of the Braves for the 2026 season, acknowledging that this new platform may provide less revenue than the previous agreement . They project that available sources of liquidity, including cash on hand, cash from operations, and borrowings under construction loans and revolvers, will be sufficient to cover anticipated future uses of cash, such as long-term employment agreements, capital expenditures, and real estate investments .

View Source Annual Report on SEC.gov ↗

References

  1. [1] Item 1, Business — General Development of Business
  2. [2] Item 7, MD&A — Overview
  3. [3] Item 7, MD&A — Overview
  4. [4] Item 7, MD&A — Overview
  5. [5] Item 7, MD&A — Strategies and Challenges
  6. [6] Item 7, MD&A — Results of Operations – Consolidated
  7. [7] Item 7, MD&A — Results of Operations – Consolidated
  8. [8] Item 7, MD&A — Results of Operations – Consolidated
  9. [9] Item 7, MD&A — Results of Operations – Consolidated
  10. [10] Item 7, MD&A — Results of Operations – Consolidated
  11. [11] Item 7, MD&A — Results of Operations – Consolidated
  12. [12] Item 7, MD&A — Results of Operations – Consolidated
  13. [13] Item 7, MD&A — Results of Operations – Consolidated
  14. [14] Item 7, MD&A — Non-GAAP Adjusted OIBDA
  15. [15] Item 7, MD&A — Non-GAAP Adjusted OIBDA
  16. [16] Item 7, MD&A — Liquidity and Capital Resources
  17. [17] Item 6, Debt
  18. [18] Item 6, Debt
  19. [19] Item 7, MD&A — Results of Operations – Consolidated
  20. [20] Item 7, MD&A — Baseball revenue
  21. [21] Item 7, MD&A — Baseball revenue
  22. [22] Item 7, MD&A — Baseball revenue
  23. [23] Item 7, MD&A — Mixed-Use Development revenue
  24. [24] Item 7, MD&A — Mixed-Use Development revenue
  25. [25] Item 7, MD&A — Mixed-Use Development revenue
  26. [26] Item 7, MD&A — Baseball operating costs
  27. [27] Item 7, MD&A — Baseball operating costs
  28. [28] Item 7, MD&A — Mixed-Use Development costs
  29. [29] Item 7, MD&A — Mixed-Use Development costs
  30. [30] Item 7, MD&A — Current Trends Affecting Our Business
  31. [31] Item 7, MD&A — Current Trends Affecting Our Business
  32. [32] Item 7, MD&A — Overview
  33. [33] Item 7, MD&A — Current Trends Affecting Our Business
  34. [34] Item 7, MD&A — Current Trends Affecting Our Business
  35. [35] Item 7, MD&A — Current Trends Affecting Our Business
  36. [36] Item 7, MD&A — Current Trends Affecting Our Business
  37. [37] Item 7, MD&A — Current Trends Affecting Our Business
  38. [38] Item 1A, Risk Factors — Broadcasting rights, both national and local, present an important source of revenue for us, and decreases in this broadcasting revenue could have an adverse effect on our financial results.
  39. [39] Item 7, MD&A — Liquidity and Capital Resources
  40. [40] Item 7, MD&A — Liquidity and Capital Resources
  41. [41] Item 7, MD&A — Liquidity and Capital Resources
  42. [42] Item 7, MD&A — Off-Balance Sheet Arrangements and Material Cash Requirements
  43. [43] Item 7, Note 7 — Leases
  44. [44] Item 7, Note 8 — Pension and Other Benefit Plans
  45. [45] Item 1A, Risk Factors — Broadcasting rights, both national and local, present an important source of revenue for us, and decreases in this broadcasting revenue could have an adverse effect on our financial results.
  46. [46] Item 1A, Risk Factors — Our business’ financial success depends, in large part, on the Braves achieving on-field success.
  47. [47] Item 1A, Risk Factors — The success of the Braves depends largely on their ability to develop, obtain and retain talented players.
  48. [48] Item 1A, Risk Factors — The risk of injuries to key or popular players creates uncertainty and could negatively impact financial results.
  49. [49] Item 1A, Risk Factors — Focus on team performance, and decisions by management, may negatively impact financial results in the short-term.
  50. [50] Item 1A, Risk Factors — Focus on team performance, and decisions by management, may negatively impact financial results in the short-term.
  51. [51] Item 1A, Risk Factors — Organized labor matters could have an adverse effect on our financial results.
  52. [52] Item 1A, Risk Factors — The organizational structure of MLB and its rules and regulations impose substantial restrictions on our and our subsidiaries’ operations.
  53. [53] Item 1A, Risk Factors — The possibility of MLB expansion could create increased competition.
  54. [54] Item 1, Business — MLB Rules and Regulations — Debt Service Rule
  55. [55] Item 1A, Risk Factors — Our subsidiaries have incurred and are expected to continue to incur significant indebtedness, including borrowings used or to be used to finance the construction, development and/or ongoing operations of Braves Holdings, the Braves’ stadium, the Mixed-Use Development and a spring training facility, which could negatively impact our financial condition.
  56. [56] Item 1A, Risk Factors — We do not own Truist Park and any failure to comply with the terms of the Stadium Operating Agreement for Truist Park could result in the termination of our operating subsidiaries’ rights to operate, and play home games at Truist Park, which could adversely impact the Braves’ reputation and our baseball business, financial condition and results of operations.
  57. [57] Item 1A, Risk Factors — Development activities, such as those associated with the Mixed-Use Development, are subject to significant risks.
  58. [58] Item 1A, Risk Factors — Failure of lessees of the Mixed-Use Development to renew their leases as they expire and improvement costs associated with new leases may adversely impact our cash flow from operations, which could negatively impact our financial condition.
  59. [59] Item 1A, Risk Factors — Data loss or other incidents or disruptions of our information systems and information system security could materially harm our business and results of operations.
  60. [60] Item 1A, Risk Factors — The Company’s ability to use net operating loss and disallowed business interest carryforwards to reduce future tax payments could be negatively impacted.
  61. [61] Item 1A, Risk Factors — Applicable domestic and foreign laws and regulations, including tax laws, which are subject to change, could have a material adverse impact on our business.
  62. [62] Item 7, MD&A — Strategies and Challenges
  63. [63] Item 7, MD&A — Strategies and Challenges
  64. [64] Item 7, MD&A — Strategies and Challenges
  65. [65] Item 7, MD&A — Current Trends Affecting Our Business
  66. [66] Item 7, MD&A — Liquidity and Capital Resources

Analysis on 5/22/2026