TKO Release Their Quarterly Revenue Figures

TKO Group Holdings Inc. announced a net loss of $249.5 million for the first quarter of this year. 

The  Securities and Exchange Commission confirmed the news in a filing made on May 8. The loss was due to the $335 million settlement reached by TKO over two class-action lawsuits. Former UFC fighters came together to accuse the UFC of breaking antitrust laws. The UFC allegedly formed a monopoly to control what fighters could earn. The case was set for trial only for TKO to settle. 

“On March 13, 2024, TKO reached an agreement to settle all claims asserted in both class action lawsuits ([Cung] Le and [Kajan] Johnson) for an aggregate amount of $335 million payable by the Company and its subsidiaries in installments over an agreed-upon period of time. The terms will be memorialized in a long form agreement and then submitted to the court for approval. The Company anticipates that the settlement amount will be deductible for tax purposes,” TKO Group Holdings said

However, it is still a successful start to the year. TKO increased their revenue from  $306.7 million to $313 million this quarter compared to last year. The UFC produced its third-highest gate of all time at $16.5 million for UFC 300. Further big events are planned following the UFC’s deal with the Saudis as they prepare for their first Saudi card on June 22. TKO will also benefit from WWE’s $5 billion deal to air Monday Night Raw on Netflix from next year in a ten-year deal. WWE’s revenue increased by six percent to $316.7 million for this quarter. 

“TKO is off to a strong start in 2024 with multiple record-setting live events, new brand partnerships, and media rights deals for WWE Raw. With our momentum in the first quarter and solid financial results, we have raised our full year 2024 guidance. We also reached an agreement to settle all claims asserted in both UFC antitrust lawsuits. These positive developments, along with the strength in our underlying businesses, give us more conviction than ever in the combination of UFC and WWE, and in TKO’s ability to deliver sustainable long-term value for shareholders,” TKO CEO Ari Emanuel stated

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