TKO Raises Guidance Again As UFC and WWE Each See Quarterly Growth

Even with its new Netflix WWE deal months away, TKO Group Holdings continues to see growth in both revenue and net income.

The Endeavor-controlled company reported record revenue of $851.2 million and net income of $150.7 million, as well as adjusted EBITDA of $420.9 million, thanks to an increase in media rights fees and sponsorship fees, as well as the addition of multipole live events between the WWE and UFC brands.

TKO also raised its 2024 guidance for the second straight quarter, telling Wall Street it now expects target revenue of $2.670 billion to $2.745 billion for the year, and Adjusted EBITDA of $1.220 billion to $1.240 billion.

“TKO generated strong financial results in the quarter, highlighted by record quarterly revenue and Adjusted EBITDA,” said Ari Emanuel, executive chair and CEO of TKO. “In light of this continued momentum, we are raising our full year 2024 guidance for the second quarter in a row. The strength in our underlying business continues to give us great conviction in TKO’s ability to deliver sustainable longterm value for shareholders.”

At the WWE, revenue was $456.8 million in the quarter, up 11 percent from a year earlier, with media rights and content as well as live events driving that increase. Adjusted EBITDA was $251.3 million.

At the UFC, revenue was $394.4 million, up 29 percent, driven by media rights and sponsorship. Adjusted EBITDA was $231.9 million.

The company also noted that it is figuring out next steps after a judge denied a $335 million settlement that the company cut with former UFC fighters.

“The Company is evaluating all of its options, including, without limitation, an appeal, and has also initiated discussions with plaintiffs’ counsel, who have expressed a willingness to engage in separate settlement discussions for the Le and Johnson cases,” TKO wrote in its quarterly report.