TKO Group Reports Third Quarter 2025 Results
TKO Group, the parent company that owns WWE, announced its financial results today for the third quarter, which concluded on September 30, 2025. Check out highlights from the press release below.
NEW YORK--(BUSINESS WIRE)
“TKO delivered solid third quarter financial results, and with UFC and WWE’s sustained momentum, we are once again raising our full-year guidance,” said Ariel Emanuel, Executive Chair and CEO of TKO. “Having secured landmark multiyear media rights deals for UFC, WWE, and Zuffa Boxing, our conviction in TKO has never been stronger.
We remain focused on operational execution, including preparing for UFC’s launch with Paramount, further integrating and unlocking synergies with IMG, On Location, and PBR, and maximizing shareholder value.”
Consolidated Results
Third Quarter 2025
Revenue decreased 27%, or $420.8 million, to $1.120 billion. The decrease primarily reflected a decrease of $29.7 million at UFC, to $325.2 million, an increase of $75.8 million at WWE, to $402.1 million, and a decrease of $492.4 million at IMG, to $336.7 million. The decrease at the IMG segment was primarily attributable to revenue recorded in the prior year period for the 2024 Paris Olympics.
Net Income was $106.8 million, an increase of $103.4 million from $3.4 million in the prior year period. The increase primarily reflected a decrease in operating expenses partially offset by the decrease in revenue. The decrease in operating expenses reflected a decrease in direct operating costs of $572.0 million, partially offset by an increase in depreciation and amortization of $14.2 million.
Selling, general and administrative expenses were essentially flat. The decrease in direct operating costs was primarily due to expenses recorded in the prior year period at the IMG segment for the 2024 Paris Olympics.
Adjusted EBITDA2 increased 59%, or $134.0 million, to $360.2 million, due to an increase of $32.5 million at WWE, to $207.8 million, an increase of $115.6 million at IMG, to $61.4 million, and an increase of $15.9 million at Corporate and Other, to ($74.6) million partially offset by a decrease of $30.0 million at UFC, to $165.6 million.
Adjusted EBITDA margin increased to 32% from 15%.
Cash flows generated by operating activities were $416.8 million, an increase of $238.8 million from $178.0 million, primarily due to higher net income and the timing of working capital.
Free Cash Flow4 was $398.9 million, an increase of $247.9 million from $151.0 million, due to the increase in cash flows generated by operating activities and a decrease in capital expenditures.
Cash and cash equivalents were $861.4 million as of September 30, 2025. Gross debt was $3.759 billion as of September 30, 2025.
Results by Operating Segment5
The table below reflects TKO’s performance by operating segment:
You can read the full press release from TKOGroup.
