Seaport Entertainment Group (SEG) Q2 2026 earnings summary

Executive summary

• Achieved first-ever positive operating EBITDA and non-GAAP adjusted net income, with all business segments profitable for the first time in company history, reflecting operational stabilization and cost optimization.

• Completed spin-off from Howard Hughes Holdings in August 2024 and uplisted to NYSE in June 2025, focusing on integrated hospitality, entertainment, and retail experiences in NYC and Las Vegas.

• Opened new venues and hosted major events, including the 50th annual Macy's 4th of July Fireworks, and executed significant asset repositioning and strategic partnerships.

• Portfolio includes Seaport neighborhood, Las Vegas Ballpark, Las Vegas Aviators, and a 25% stake in Jean-Georges Restaurants.

• Seasonality and weather impact revenue, especially in summer months.

Financial highlights

• Q2 2026 total revenues were $34.3 million, down 13.8% year-over-year; year-to-date revenues were $47.0 million, down 15.8% year-over-year.

• Net loss attributable to common stockholders for Q2 2026 improved 29% year-over-year to $(10.5) million; six-month net loss increased 16.9% to $(54.6) million.

• Non-GAAP Adjusted Net Income attributable to common stockholders was $0.3 million in Q2 2026, a 104.3% improvement year-over-year.

• Rental revenue increased 67% year-over-year in Q2, mainly due to the Nike lease termination and event-driven revenue.

• Sale of 250 Water Street in February 2026 generated $76.1 million in net proceeds after debt repayment.

Outlook and guidance

• Management expects continued momentum with new venue openings, event activations, and expanded partnerships in New York and Las Vegas.

• Over $20 million in incremental annualized operating EBITDA anticipated from new concepts opening in the next 18 months.

• Full-year benefits of cost reductions expected in 2027, with initial stabilization targeted for 2028.

• Management expects continued seasonality and macroeconomic pressures, including inflation and potential recession, to impact results.

• Anticipates benefit from NYC hosting FIFA World Cup and America 250 celebrations in 2026.