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WWE outperforms UFC in first-quarter 2024 revenue, TKO report shows

WWE beats UFC in Q1 because they generate more revenue

Endeavor Group Holdings reported a 16% increase in total revenue in the first quarter due to the WWE-UFC merger, although the company’s businesses other than Owned Sports Properties saw a decline.

According to its first quarter 2024 financial report, TKO earned $629.7 million but lost a total of $249.5 million. TKO’s settlement of an antitrust lawsuit against the UFC accounts caused much of their financial loss. The plaintiffs alleged that the UFC constituted an unlawful monopsony that reduced fighter pay and inhibited competing businesses. The case represented more than 1,200 people and was resolved for $335 million.

The UFC’s revenue for the first quarter of 2024 was $313 million, lower than WWE’s revenue of $316.7 million. During this period, the UFC held their UFC 300 event, which provided a $16.5 million ticket to the T-Mobile Arena in Las Vegas.

Not to be outdone, WWE presented WrestleMania 40, the company’s most successful nighttime show in history. The company has signed a lucrative ten-year deal with Netflix to offer Raw on the streaming platform.

What are the future plans?

With this data, TKO has increased its 2024 revenue from $2.61 billion to $2.685 billion. In a statement, TKO CEO Ari Emanuel expressed optimism about what lies ahead.

“These positive developments, together with the strength in our underlying businesses, make us more confident than ever in the combination of UFC and WWE, and in TKO’s ability to deliver sustainable, long-term value for shareholders.”

It’s clear that WWE’s merger with UFC in September 2023 has proven to be a profitable venture for both organizations. As WWE begins a new era (one that has moved away from Vince McMahon), it is unclear how the future of the company will be shaped as a result of TKO.

Endeavor announced last month that it plans to go private for $13 billion. The acquisition is expected to close in the first quarter of 2025.

Experiences & Rights division revenue fell 7% to $744.9 million, with the sale of IMG Academy in June 2023 taking a toll, as well as the timing of media rights tied to certain 2023 biennial events scheduled for the quarter 2024 were missing. The increase in the company’s On Location division, the Miami Open, and the growth of other events, such as Barrett-Jackson’s Scottsdale event, helped offset the downsides. Adjusted EBITDA for the segment decreased 11% to $95.9 million.

But finally, WWE and UFC are doing good things to make the TKO merger successful. So let’s hope for the best. Let us know what you think in the comments.

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