WWE Announce MASSIVE Profits
Company reports record revenue.
Ahead of Thursday's investor call, WWE released their numbers for 2020's second quarter, and despite the financial impact of the global health crisis, things are looking extremely rosy for the company.
In fact, whilst income was down on a year-over-year basis for the quarter, year-to-date revenue hit record levels. Operating income for Q2 made a huge jump from $17.1 million in 2019 to $55.7 million for 2020, with the company citing "a decrease in accrued management incentive compensation" as the reason for the big hike. In other words, as WWE have been producing shows from the Performance Centre - in many cases, pre-taping blocks in advance - they have been able to make huge savings on staff expenditure.
Though Q2 revenue dropped slightly from $268.9 million to $223.4 million, this still demonstrates remarkable financial stability, despite WWE being unable to run live events between April and June.
Despite that decrease, yearly revenue was up to $514.4 million - up 14% on 2020, and a company record.
Obviously, the biggest factor in the dramatic upscale in revenue are the two mammoth television deals WWE commenced with FOX and USA last year, as well as their ongoing partnership with the Saudi General Sports Authority. Ecommerce revenue also doubled during the period of lockdown, with video game sales being surprisingly fruitful, despite the struggles of the most recent WWE 2K title.
At the close of trading, WWE stock had bounced to $45.43, in response to the promotion's positive earnings call.
This period has had disastrous consequences for industries around the world, not least the wrestling business. Somehow though, Vince McMahon once more proves impervious to the whims of the world.
[h/t The Wrestling Observer]