Seaport Entertainment Group Reports First Quarter 2025 Results

NEW YORK--(BUSINESS WIRE)--May 12, 2025-- 

Seaport Entertainment Group Inc. (NYSE American: SEG) ("Seaport Entertainment Group," "SEG", "we," "our," or the "Company") announced today its operating and financial results for the quarter ended March 31, 2025.

"We had a productive start to the year, successfully internalizing our food and beverage operations, advancing programming across the Seaport, and positioning our businesses and partners for a successful launch into an active peak spring and summer season," said Anton Nikodemus, Chairman, President and Chief Executive Officer of Seaport Entertainment Group. "In recent weeks, we celebrated the grand opening of GITANO NYC, kicked off the 2025 concert season on The Rooftop at Pier 17 with back-to-back sellouts, and watched the Las Vegas Aviators emerge as the first-place team in the MiLB Triple-A Pacific Coast League. Building on this strong momentum, we are well-positioned to capitalize on operational improvements, drive profitability, and further reduce cash burn."

Select First Quarter 2025 Results

   -- Net Loss of ($31.9) million, or ($2.51) per basic and diluted share 
      attributable to common stockholders. 
 
   -- Non-GAAP Adjusted Net Loss Attributable to Common Stockholders of ($22.8) 
      million, or ($1.79) per basic and diluted share. 
 
   -- Hired and onboarded employees of Creative Culinary Management Company LLC 
      ("CCMC"), an indirect wholly owned subsidiary of Jean-Georges Restaurants, 
      and entered into a shared services agreement with CCMC as the Company's 
      initial step to internalize food and beverage operations at most of its 
      wholly owned and joint venture-owned restaurants at the Seaport. 
 
   -- Signed a 74,497 square foot long-term lease with industry-leading 
      immersive art and interactive experience creator Meow Wolf to bring its 
      artistic blend of storytelling, technology and creative exploration to 
      Pier 17. 
 
   -- Announced the Seaport neighborhood as the host location for the New York 
      City Wine & Food Festival in October 2025 with Chef Jean-Georges 
      Vongerichten serving as Culinary Host for the event. 
 
   -- Disclosed plans to develop approximately 17,500 square feet of 
      purpose-built meeting and event space on the fourth floor of Pier 17, 
      with capacity for up to 800 guests and sweeping panoramic views of the 
      Brooklyn Bridge, East River, and the Brooklyn skyline. 

Quarterly Results

The table below provides a summary of the Company's unaudited consolidated and combined operating and financial results for the three months ended March 31, 2025 and March 31, 2024:

 
                     For the        For the 
                   Three Months   Three Months          Variance 
                   Ended March    Ended March         to Comparable 
                     31, 2025       31, 2024       Period in Prior Year 
                   ------------   ------------   ----------------------- 
Total 
 revenues(1)      $      16,069  $      14,511  $       1,558      10.7% 
 
Net loss          $    (31,538)  $    (44,078)  $      12,540      28.4% 
Net loss 
 attributable to 
 common 
 stockholders     $    (31,888)  $    (44,078)  $      12,190      27.7% 
Net loss 
 attributable to 
 common 
 stockholders 
 per share        $      (2.51)  $      (7.98)  $        5.47      68.5% 
 
Non-GAAP 
 Adjusted Net 
 Loss 
 Attributable to 
 Common 
 Stockholders(2)  $    (22,758)  $    (34,644)  $      11,886      34.3% 
Non-GAAP 
 Adjusted Net 
 Loss 
 Attributable to 
 Common 
 Stockholders 
 Per Share(2)     $      (1.79)  $      (6.27)  $        4.48      71.4% 
 
Note: $ in thousands, except per share data. 
(1) Period-over-period total revenues comparability was impacted by the 
consolidation of the Tin Building by Jean-Georges as of January 1, 2025. 
In 2024, the Tin Building by Jean-Georges was an unconsolidated joint 
venture accounted for under the equity method in equity in earnings 
(losses) from unconsolidated ventures within our Statements of 
Operations. 
(2) See the "Non-GAAP Financial Measures" section and tables at the end 
of this press release for a discussion and reconciliation of net loss 
attributable to the common stockholders to non-GAAP financial measures, 
including Non-GAAP Adjusted Net Loss Attributable to Common Stockholders 
and Non-GAAP Adjusted Net Loss Attributable to Common Stockholders Per 
Share. 
 

Balance Sheet

As of March 31, 2025, the Company had $132.0 million in cash, cash equivalents and restricted cash and $102.4 million of consolidated debt outstanding at an effective weighted-average interest rate of 7.3%. As of March 31, 2025, 40% of consolidated debt was fixed at a weighted-average interest rate of 4.9% and the remaining 60% of the Company's consolidated debt was floating at a weighted-average interest rate of 11.3% before the effects of the Company's total return swap, which reduces the effective rate of the floating rate debt to 8.8%. Additionally, 100% of the Company's outstanding debt is asset-specific, secured debt, and the weighted-average maturity of the Company's consolidated debt is approximately 8.0 years. The Company has no meaningful debt maturities until Q3 2029.

Investor Conference Call and Webcast

The Company will host a conference call to present its first quarter 2025 results on Tuesday, May 13, 2025, at 8:30 AM ET. During the call Chairman, President and CEO Anton Nikodemus and CFO Matt Partridge will address questions e--mailed in advance by investors to: ir@seaportentertainment.com.

An audio webcast of the conference call will be available through the "Investors" section of the Company's website at www.seaportentertainment.com. Please log in ten minutes prior to the scheduled start time to register. A replay of the audio webcast will be available on the Company's website shortly after the conclusion of the call until May 27, 2025.

To dial into the Telephone Conference Call:

Domestic: 1-877-407-3982

International: 1-201-493-6780

Conference Call Playback:

Domestic: 1-844-512-2921

International: 1-412-317-6671

Passcode: 13753311

About Seaport Entertainment Group

Seaport Entertainment Group (NYSE American: SEG) is a premier entertainment and hospitality company formed to own, operate, and develop a unique collection of assets positioned at the intersection of entertainment and real estate. Seaport Entertainment Group's focus is to deliver unparalleled experiences through a combination of restaurant, entertainment, sports, retail and hospitality offerings integrated into one-of-a-kind real estate that redefine entertainment and hospitality. For more information, please visit www.seaportentertainment.com.

Safe Harbor and Forward-Looking Statements

This press release includes forward-looking statements within the meaning of the federal securities laws. Such forward-looking statements include, but are not limited to, statements concerning the Company's plans, goals, objectives, outlook, expectations, and intentions. Forward-looking statements are based on the Company's current expectations and involve risks and uncertainties that could cause actual results to differ materially from those expressed or implied in such forward-looking statements. Factors that could cause the Company's results to differ materially from current expectations include, but are not limited to: risks related to our recent separation from, and relationship with, Howard Hughes; risks related to macroeconomic conditions; risks related to the impact of tariffs and global trade disruptions on us and our tenants, including the impact on inflation, interest rates, supply chains and consumer sentiment and spending; changes in discretionary consumer spending patterns or consumer tastes or preferences; risks associated with the Company's investments in real estate assets and trends in the real estate industry; the Company's ability to obtain operating and development capital on favorable terms, or at all; the availability of debt and equity capital; the Company's ability to renew its leases or re-lease available space; the Company's ability to compete effectively; the Company's ability to successfully identify, acquire, develop, and manage properties on terms that are favorable to it; the impact of uncertainty around, and disruptions to, the Company's supply chain; risks related to the concentration of the Company's properties and operations in Manhattan and the Las Vegas area; extreme weather conditions or climate change that may cause property damage or interrupt business; the impact of water and electricity shortages on the Company's business; the contamination of the Company's properties by hazardous or toxic substances; catastrophic events or geopolitical conditions that may disrupt the Company's business; actual or threatened terrorist activity and other acts of violence, or the perception of a heightened threat of such events; losses that are not insured or that excess the applicable insurance limits; risks related to the disruption or failure of information technology networks and related systems -- both ours and those operated and managed by third parties; regulatory and legal requirements applicable to our assets; the Company's ability to attract and retain key personnel; the Company's inability to control certain properties due to the joint ownership of such property and inability to successfully attract desirable strategic partners, including joint venture partners; risks related to the concentration of ownership of our common stock by Pershing Square; and the other factors detailed in the Company's filings with the Securities and Exchange Commission (the "SEC"). Forward-looking statements speak only as of the date of this press release. The Company is under no obligation to publicly update or revise and forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law.

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