Ares Sports Media Partnership Swings to $10.4M Profit in Q1 2026

Ares Sports, Media and Entertainment Opportunities LP reported net income of $10.38 million for the three months ending December 31, 2025, reversing a $960,000 loss recorded for the December 6 through December 31, 2024 period. The Delaware-based limited partnership nearly doubled its retained earnings to $10.38 million from $8.23 million at the prior quarter end. Read more earnings reports.

Total assets rose 45% to $655.5 million as of December 31 from $451.9 million at September 30. The partnership held $63.66 million in cash and restricted cash at quarter end, down from $77.78 million three months earlier but sharply higher than the $6.07 million reported a year ago.

The partnership eliminated its long-term debt during the quarter, ending December 31 with zero borrowings compared to $24 million outstanding at September 30. Total liabilities declined to $65.93 million from $94.52 million over the same period.

Cash used in operations totaled $220.5 million for the quarter, more than double the $105.9 million deployed in the brief December 2024 period. The partnership raised $206.4 million through financing activities to fund operations and investments.

General and administrative expenses increased to $770,000 from $17,000 in the year-earlier period. Interest expense totaled $778,000 for the quarter compared to $477,000 in the prior-year period, reflecting higher borrowing activity before the debt paydown.

Total stockholders' equity climbed 65% to $589.6 million at December 31 from $357.4 million at September 30. The partnership had 1.1 million common shares outstanding at quarter end, unchanged from the prior period. Common stock value increased to $229,000 from $142,000.

*Represents retained earnings at prior quarter end