WWE Report Eye-Watering 3rd Quarter Earnings

WWE has published the results of their third-quarter earnings with revenue for the quarter up to a whopping $304.6 million.

That massive number marks a 19% increase in revenue for the sports entertainment goliath although the company’s operating income decreased by 8% to $58.9 million. The Adjusted OIBDA for the quarter saw an increase of 17% to $91.2 million.

The results published on WWE.com’s corporate website tout the highlights of the earning reports as follows:

• Revenue was $304.6 million, an increase of 19%; Operating Income was $58.9 million, a decrease of 8%; and Adjusted OIBDA ¹ was $91.2 million, an increase of 17%
• Returned $9.1 million of capital to shareholders through dividends paid
• Clash at the Castle, the first major WWE stadium event in the UK in over 30 years, was held at Principality Stadium in Cardiff, Wales. Clash at the Castle was the most viewed international event in WWE’s history
• Each WWE domestic premium live event (Money in the Bank, SummerSlam and Extreme Rules) was the most viewed event in its history with year-over-year increases of 17%, 20% and 36%, respectively, in domestic unique viewership on Peacock
• WWE announced a multi-year agreement with its long-standing partner, the Foxtel Group, to expand the distribution of the Company’s content in Australia
• WWE announced the creation of NXT Europe, which is planned to launch in 2023, to expand the NXT brand internationally
• In October, WWE announced its “Campus Rush” recruitment tour to further enhance the Company’s talent development program

Co-CEOs Stephanie McMahon and Nick Khan are quoted as saying:

“We generated strong financial results in the quarter, highlighted by record revenue and Adjusted OIBDA for a third quarter, and remain firmly on track to deliver record revenue and Adjusted OIBDA for the full year. We continue to effectively execute our strategy, including staging a record-setting international stadium event, Clash at the Castle, in early September.”

“Clash at the Castle, as well as our other premium live events (“PLEs”) including SummerSlam and Extreme Rules all continue our streak of delivering record viewership for each respective event. These PLEs, along with strong ratings for our flagship programs, Raw and SmackDown, continue to expand the reach of our brands and enhance the value of our content across various platforms, both domestically and abroad.”

It was noted that the cash flow of the company has decreased substantially from $44.8 million to $3.5 million as a result of capital expenditure relating to the company’s relocation to new headquarters. Excluding that expenditure, free cash flow is reported as being $45.8 million.