UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D. C. 20549

FORM 10-Q

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2023

OR

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from                to                

Commission File Number 001-35707

LIBERTY MEDIA CORPORATION

(Exact name of Registrant as specified in its charter)

State of Delaware	37-1699499
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)
12300 Liberty Boulevard Englewood, Colorado	80112
(Address of principal executive offices)	(Zip Code)

Registrant's telephone number, including area code: (720) 875-5400

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol	Name of each exchange on which registered
Series A Liberty SiriusXM Common Stock	LSXMA	The Nasdaq Stock Market LLC
Series B Liberty SiriusXM Common Stock	LSXMB	The Nasdaq Stock Market LLC
Series C Liberty SiriusXM Common Stock	LSXMK	The Nasdaq Stock Market LLC
Series A Liberty Formula One Common Stock	FWONA	The Nasdaq Stock Market LLC
Series C Liberty Formula One Common Stock	FWONK	The Nasdaq Stock Market LLC
Series A Liberty Live Common Stock	LLYVA	The Nasdaq Stock Market LLC
Series C Liberty Live Common Stock	LLYVK	The Nasdaq Stock Market LLC

Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports) and (2) has been subject to such filing requirements for the past 90 days. Yes ⌧    No ◻

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ⌧    No ◻

Indicate by check mark whether the Registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large Accelerated Filer ☒ Accelerated Filer ☐ Non-accelerated Filer ☐ Smaller Reporting Company ☐ Emerging Growth Company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the Registrant is a shell company as defined in Rule 12b-2 of the Exchange Act. Yes ☐    No ☒

The number of outstanding shares of Liberty Media Corporation's common stock as of October 31, 2023 was:

	Series A	Series B	Series C
Liberty SiriusXM common stock	98,128,712	9,767,336	218,681,869
Liberty Formula One common stock	23,981,960	2,437,583	208,147,320
Liberty Live common stock	25,558,625	2,546,146	63,578,234

Table of Contents

Part I – Financial Information
Item 1. Financial Statements
LIBERTY MEDIA CORPORATION AND SUBSIDIARIES Condensed Consolidated Balance Sheets (unaudited)		I-3
LIBERTY MEDIA CORPORATION AND SUBSIDIARIES Condensed Consolidated Statements of Operations (unaudited)		I-5
LIBERTY MEDIA CORPORATION AND SUBSIDIARIES Condensed Consolidated Statements of Comprehensive Earnings (Loss) (unaudited)		I-7
LIBERTY MEDIA CORPORATION AND SUBSIDIARIES Condensed Consolidated Statements of Cash Flows (unaudited)		I-8
LIBERTY MEDIA CORPORATION AND SUBSIDIARIES Condensed Consolidated Statements of Equity (unaudited)		I-10
LIBERTY MEDIA CORPORATION AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements (unaudited)		I-14
	Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations	I-45
	Item 3. Quantitative and Qualitative Disclosures about Market Risk	I-65
	Item 4. Controls and Procedures	I-66
Part II — Other Information
	Item 1. Legal Proceedings	II-1
	Item 2. Unregistered Sales of Equity Securities, Use of Proceeds, and Issuer Purchases of Equity Securities	II-1
	Item 5. Other Information	II-1
	Item 6. Exhibits	II-2
SIGNATURES		II-3

I-2

LIBERTY MEDIA CORPORATION AND SUBSIDIARIES

Condensed Consolidated Balance Sheets

(unaudited)

	September 30, 2023		December 31, 2022
	amounts in millions
Assets
Current assets:
Cash and cash equivalents	$	2,112	2,246
Trade and other receivables, net		808	837
Other current assets		705	768
Total current assets		3,625	3,851
Investments in affiliates, accounted for using the equity method (note 6)		1,145	952
Property and equipment, at cost		3,957	4,481
Accumulated depreciation		(1,952)	(2,226)
		2,005	2,255
Intangible assets not subject to amortization:
Goodwill		19,165	19,341
FCC licenses		8,600	8,600
Other		1,242	1,366
		29,007	29,307
Intangible assets subject to amortization, net		3,941	4,288
Other assets		1,792	1,811
Total assets	$	41,515	42,464
Liabilities and Equity
Current liabilities:
Accounts payable and accrued liabilities	$	1,715	1,856
Current portion of debt, including $274 million and $1,394 million measured at fair value, respectively (note 7)		827	1,679
Deferred revenue		2,024	1,773
Other current liabilities		110	102
Total current liabilities		4,676	5,410
Long-term debt, including $2,850 million and $1,937 million measured at fair value, respectively (note 7)		14,836	14,953
Deferred income tax liabilities		2,040	2,101
Other liabilities		724	874
Total liabilities	$	22,276	23,338

(Continued)

See accompanying notes to condensed consolidated financial statements.

I-3

LIBERTY MEDIA CORPORATION AND SUBSIDIARIES

Condensed Consolidated Balance Sheets (Continued)

(unaudited)

	September 30, 2023		December 31, 2022
	amounts in millions,
	except share amounts
Stockholders' equity:
Preferred stock, $.01 par value. Authorized 50,000,000 shares; no shares issued	$	—	—
Series A Liberty SiriusXM common stock, $.01 par value. Authorized 2,000,000,000 shares; issued and outstanding 98,128,712 shares at September 30, 2023 and 98,093,908 shares at December 31, 2022 (note 2)		1	1
Series A Liberty Formula One common stock, $.01 par value. Authorized 500,000,000 shares; issued and outstanding 23,981,960 shares at September 30, 2023 and 23,974,052 shares at December 31, 2022 (note 2)		—	—
Series A Liberty Live common stock, $.01 par value. Authorized 521,400,000 shares at September 30, 2023; issued and outstanding 25,558,625 shares at September 30, 2023 (note 2)		—	NA
Series A Liberty Braves common stock, $.01 par value. Authorized 200,000,000 shares at December 31, 2022; issued and outstanding 10,314,744 shares at December 31, 2022 (note 2)		NA	—
Series B Liberty SiriusXM common stock, $.01 par value. Authorized 75,000,000 shares; issued and outstanding 9,767,336 shares at September 30, 2023 and 9,802,232 at December 31, 2022 (note 2)		—	—
Series B Liberty Formula One common stock, $.01 par value. Authorized 18,750,000 shares; issued and outstanding 2,437,583 shares at September 30, 2023 and 2,445,666 shares at December 31, 2022 (note 2)		—	—
Series B Liberty Live common stock, $.01 par value. Authorized 19,552,500 shares at September 30, 2023; issued and outstanding 2,546,146 shares at September 30, 2023 (note 2)		—	NA
Series B Liberty Braves common stock, $.01 par value. Authorized 7,500,000 shares at December 31, 2022; issued and outstanding 981,262 at December 31, 2022 (note 2)		NA	—
Series C Liberty SiriusXM common stock, $.01 par value. Authorized 2,000,000,000 shares; issued and outstanding 218,679,831 shares at September 30, 2023 and 218,618,614 shares at December 31, 2022 (note 2)		2	2
Series C Liberty Formula One common stock, $.01 par value. Authorized 500,000,000 shares; issued and outstanding 208,137,606 shares at September 30, 2023 and 207,445,741 shares at December 31, 2022 (note 2)		2	2
Series C Liberty Live common stock, $.01 par value. Authorized 521,400,000 shares at September 30, 2023; issued and outstanding 63,578,234 shares at September 30, 2023 (note 2)		1	NA
Series C Liberty Braves common stock, $.01 par value. Authorized 200,000,000 shares at December 31, 2022; issued and outstanding 41,749,434 shares at December 31, 2022 (note 2)		NA	—
Additional paid-in capital		1,298	1,408
Accumulated other comprehensive earnings (loss), net of taxes		(10)	(39)
Retained earnings		14,953	14,589
Total stockholders' equity		16,247	15,963
Noncontrolling interests in equity of subsidiaries		2,992	3,163
Total equity		19,239	19,126
Commitments and contingencies (note 8)
Total liabilities and equity	$	41,515	42,464

See accompanying notes to condensed consolidated financial statements.

I-4

LIBERTY MEDIA CORPORATION AND SUBSIDIARIES

Condensed Consolidated Statements of Operations

(unaudited)

	Three months ended			Nine months ended
	September 30,			September 30,
	2023		2022	2023	2022
	amounts in millions,
	except per share amounts
Revenue:
Sirius XM Holdings revenue	$	2,271	2,280	6,665	6,720
Formula 1 revenue		887	715	1,992	1,819
Other revenue		49	252	350	535
Total revenue		3,207	3,247	9,007	9,074
Operating costs and expenses, including stock-based compensation (note 3):
Cost of Sirius XM Holdings services (exclusive of depreciation shown separately below):
Revenue share and royalties		730	709	2,162	2,090
Programming and content		153	156	456	448
Customer service and billing		117	122	363	373
Other		57	54	163	166
Cost of Formula 1 revenue (exclusive of depreciation shown separately below)		615	494	1,340	1,223
Subscriber acquisition costs		87	86	270	267
Other operating expense		110	253	508	590
Selling, general and administrative		469	525	1,445	1,527
Impairment, restructuring and acquisition costs, net of recoveries (note 8)		6	74	57	75
Depreciation and amortization		234	268	751	790
		2,578	2,741	7,515	7,549
Operating income (loss)		629	506	1,492	1,525
Other income (expense):
Interest expense		(196)	(179)	(592)	(497)
Share of earnings (losses) of affiliates, net (note 6)		138	111	218	158
Realized and unrealized gains (losses) on financial instruments, net (note 5)		11	106	(131)	545
Other, net		(14)	20	50	87
		(61)	58	(455)	293
Earnings (loss) before income taxes		568	564	1,037	1,818
Income tax (expense) benefit		(125)	(130)	(239)	(414)
Net earnings (loss)		443	434	798	1,404
Less net earnings (loss) attributable to the noncontrolling interests		58	46	145	164
Less net earnings (loss) attributable to redeemable noncontrolling interest		—	(3)	—	(13)
Net earnings (loss) attributable to Liberty stockholders	$	385	391	653	1,253
Net earnings (loss) attributable to Liberty stockholders:
Liberty SiriusXM common stock	$	307	305	656	1,040
Liberty Formula One common stock		118	108	125	184
Liberty Live common stock		(19)	NA	(19)	NA
Liberty Braves common stock		(21)	(22)	(109)	29
	$	385	391	653	1,253

(Continued)

See accompanying notes to condensed consolidated financial statements.

I-5

LIBERTY MEDIA CORPORATION AND SUBSIDIARIES

Condensed Consolidated Statements of Operations (Continued)

(unaudited)

	Three months ended			Nine months ended
	September 30,			September 30,
	2023		2022	2023	2022
Basic net earnings (loss) attributable to Liberty stockholders per common share (notes 2 and 4):
Series A, B and C Liberty SiriusXM common stock	$	0.94	0.93	2.01	3.16
Series A, B and C Liberty Formula One common stock	$	0.50	0.46	0.53	0.79
Series A, B and C Liberty Live common stock	$	(0.21)	NA	(0.21)	NA
Series A, B and C Liberty Braves common stock	$	(0.40)	(0.42)	(2.06)	0.55
Diluted net earnings (loss) attributable to Liberty stockholders per common share (notes 2 and 4):
Series A, B and C Liberty SiriusXM common stock	$	0.89	0.82	1.89	2.89
Series A, B and C Liberty Formula One common stock	$	0.39	0.31	0.37	0.60
Series A, B and C Liberty Live common stock	$	(0.21)	NA	(0.21)	NA
Series A, B and C Liberty Braves common stock	$	(0.40)	(0.42)	(2.06)	0.39

See accompanying notes to condensed consolidated financial statements.

I-6

LIBERTY MEDIA CORPORATION AND SUBSIDIARIES

Condensed Consolidated Statements of Comprehensive Earnings (Loss)

(unaudited)

	Three months ended			Nine months ended
	September 30,			September 30,
	2023		2022	2023	2022
	amounts in millions
Net earnings (loss)	$	443	434	798	1,404
Other comprehensive earnings (loss), net of taxes:
Foreign currency translation adjustments		(11)	(36)	5	(50)
Credit risk on fair value debt instruments gains (losses)		34	(26)	11	29
Unrealized holding gains (losses) arising during the period		1	—	—	4
Share of other comprehensive earnings (loss) of equity affiliates		(11)	(5)	25	(1)
Recognition of previously unrealized (gains) losses on debt		21	(11)	(13)	(25)
Comprehensive earnings (loss)		477	356	826	1,361
Less comprehensive earnings (loss) attributable to the noncontrolling interests		56	41	145	158
Less comprehensive earnings (loss) attributable to redeemable noncontrolling interest		—	(3)	—	(13)
Comprehensive earnings (loss) attributable to Liberty stockholders	$	421	318	681	1,216
Comprehensive earnings (loss) attributable to Liberty stockholders:
Liberty SiriusXM common stock	$	269	241	624	1,018
Liberty Formula One common stock		132	99	125	165
Liberty Live common stock		41	NA	41	NA
Liberty Braves common stock		(21)	(22)	(109)	33
	$	421	318	681	1,216

See accompanying notes to condensed consolidated financial statements.

I-7

LIBERTY MEDIA CORPORATION AND SUBSIDIARIES

Condensed Consolidated Statements of Cash Flows

(unaudited)

	Nine months ended
	September 30,
	2023		2022
	amounts in millions
Cash flows from operating activities:
Net earnings (loss)	$	798	1,404
Adjustments to reconcile net earnings (loss) to net cash provided by operating activities:
Depreciation and amortization		751	790
Stock-based compensation		173	173
Non-cash impairment and restructuring costs		21	73
Share of (earnings) loss of affiliates, net		(218)	(158)
Realized and unrealized (gains) losses on financial instruments, net		131	(545)
Deferred income tax expense (benefit)		9	277
Other, net		34	(27)
Changes in operating assets and liabilities
Current and other assets		(161)	(102)
Payables and other liabilities		343	(145)
Net cash provided (used) by operating activities		1,881	1,740
Cash flows from investing activities:
Investments in equity method affiliates and debt and equity securities		(217)	(41)
Cash proceeds from dispositions		111	149
Cash (paid) received for acquisitions, net of cash acquired		—	(136)
Capital expended for property and equipment, including internal-use software and website development		(863)	(555)
Other investing activities, net		(21)	77
Net cash provided (used) by investing activities		(990)	(506)
Cash flows from financing activities:
Borrowings of debt		3,766	3,622
Repayments of debt		(4,308)	(3,948)
Liberty stock repurchases		—	(395)
Subsidiary shares repurchased by subsidiary		(274)	(599)
Cash dividends paid by subsidiary		(48)	(233)
Taxes paid in lieu of shares issued for stock-based compensation		(61)	(109)
Atlanta Braves Holdings, Inc. Split-Off		(188)	—
Other financing activities, net		66	82
Net cash provided (used) by financing activities		(1,047)	(1,580)
Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash		—	(13)
Net increase (decrease) in cash, cash equivalents and restricted cash		(156)	(359)
Cash, cash equivalents and restricted cash at beginning of period		2,276	2,924
Cash, cash equivalents and restricted cash at end of period	$	2,120	2,565

I-8

The following table reconciles cash and cash equivalents and restricted cash reported in our condensed consolidated balance sheets to the total amount presented in our condensed consolidated statements of cash flows:

	September 30,		December 31,
	2023		2022
	amounts in millions
Cash and cash equivalents	$	2,112	2,246
Restricted cash included in other current assets		—	22
Restricted cash included in other assets		8	8
Total cash and cash equivalents and restricted cash at end of period	$	2,120	2,276

See accompanying notes to condensed consolidated financial statements.

I-9

LIBERTY MEDIA CORPORATION AND SUBSIDIARIES

Condensed Consolidated Statement of Equity

(unaudited)

Three Months ended September 30, 2023

Stockholders' equity