Seaport Entertainment Group Inc. Q1 FY2025 earnings call

• Priorities: Address cash burn to achieve breakeven in 2026, profitability in 2027, and stabilize asset base by 2028. Initiatives include evolving Tin Building experience, programming and leasing Seaport vacancies, monetizing 250 Water Street, optimizing Las Vegas Ballpark, and improving organizational infrastructure.
• Hospitality: Strategic reduction of operating hours in Seaport restaurants, GITANO New York City soft opened in March and grand opened on May 1.
• Entertainment: Strong concert lineup at Rooftop at Pier 17, Las Vegas Aviators in first place, plans for Rooftop winter structure for year-round events.
• Real Estate: Progress in leasing and programming, Meow Wolf and Katana openings, Pier 17 refurbishment, and update on 250 Water Street marketing.

Hospitality Segment

• First quarter 2025 consolidated revenue decreased 28% vs pro forma Q1 2024. Same-store hospitality revenues were down 12% year-over-year. Overall hospitality revenues declined 16%, with a 33% reduction at the Tin Building. However, managed restaurants (including 5% revenue growth at Lawn Club) partially offset this. First quarter asset level EBITDA of the Tin Building improved 7% compared to Q1 2024.

Entertainment Segment

• Revenue increased 18% vs Q1 2024 due to seaport winter activation revenue, higher Aviators ticket sales, and increased sponsorship revenue for The Rooftop at Pier 17. Operating EBITDA decreased 2% due to elevated programming expenses related to Seaport's winter activations. The Las Vegas Aviators baseball team was in first place at the midpoint of the 2025 season. The Rooftop at Pier 17 had sellout concerts, and plans for a Rooftop winter structure for year-round events.

Real Estate Ownership and Landlord Operations Segment

• Progress in programming and leasing at Seaport with various opportunities. Announcements like Meow Wolf and Katana New York City, refurbishment of Pier 17's north side with a new river-front bar, and update on 250 Water Street marketing with over 130 potential buyers/partners interested.

• Aim to achieve breakeven in 2026, profitability in 2027, and stabilize asset base by 2028.
• G&A expected to improve sequentially in Q2, with Q2 corporate G&A serving as a baseline for long-term sustainable improvements.