WWE’s Parent Company TKO Paying Out Millions To Investors
WWE and UFC’s parent company TKO has good news for its investors as it gets ready to pay out a healthy cash dividend despite unrest amongst staff.
Ahead of the Q4 and 2024 earnings call, TKO revealed that they are distributing $75 million to investors. The dividend will be paid out at $0.38 per share to investors who are TKO’s Class A common stockholders as of March 14.
TKO issued a press release giving full details about the dividend which is due to be paid to investors on March 31:
NEW YORK–(BUSINESS WIRE)– TKO Group Holdings, Inc. (NYSE: TKO) (“TKO” or the “Company”), a premium sports and sports entertainment company, today announced that its board of directors has declared its inaugural quarterly cash dividend pursuant to the capital return program the Company announced on October 24, 2024.
TKO’s Class A common stockholders will receive their pro rata share of an aggregate distribution of approximately $75 million from TKO Operating Company, LLC to its equityholders. The per share dividend to the holders of TKO’s Class A common stockholders will be $0.38 per share. The dividend will be paid on March 31, 2025 to Class A common stockholders of record as of the close of business on March 14, 2025.
Future declarations of quarterly dividends are subject to the determination and discretion of TKO based on its consideration of various factors, such as its results of operations, financial condition, market conditions, earnings, cash flow requirements, restrictions in its debt agreements and legal requirements and other factors that TKO deems relevant.
WWE Staff Morale Down As Investors Cash In
All of this might come as good news for investors but it’s an unsettled time for WWE’s staff. WWE has cut its roster again recently with former champions let go all isn’t rosy behind the scenes either.
A recent report suggested there was a serious decline in morale among WWE staff related to “reduced benefits, limited pay increases, and heavier workloads as the company integrates with UFC.” There is also concern that workloads will increase with TKO’s acquisition of PBR (Professional Bull Riders).
Another source of frustration involved complimentary tickets for employees at events. Instead of comp tickets, WWE “provides a VIP pre-sale password for employees to purchase tickets” rather than giving tickets away to staff. Even top talents have their requests scrutinised by TKO management.