TKO’s Mark Shapiro Says They Will Lose Money In White House UFC Event

TKO says that they’re going to take a loss on the UFC event to take place at the White House this summer, noting that it’s a “long-term investment.” As previously reported, the UFC is set to hold a special event at the White House on June 14th. The event will be taking place on the South Lawn of the official residence and workplace for the president, and will be part of the Trump administration’s America 250 celebrations for the nation’s 250th anniversary.

TKO President Mark Shapiro was asked about the e vent on the TKO Q4 and 250 full-year earnings results call that took place yesterday. Shapiro said that the event is set to cost over $60 million and they think they can “offest half of the spend.” He noted that it’s a long-term investment in order to bring in new and casual fans to expand their business overall. You can see the highlights below (per Fightful):

On the Cost and Revenue:

“At the moment, the UFC event at the White House is slated to cost upwards of $60 million dollars. By the time all is said and done, and what we pay the fighters and the fanfest, that could move north, it’s definitely not moving south. It’s still a moving target. We’re working to determine, on a parallel track, a package of inventory in and around the weekend of events that we can monetize, primarily with corporate partners, which will offset half of the spending. Even if that 60 goes up, we believe we can offset half of the spend. Today, we see it as 60 offsetting 30.

On the Strategy Around the Event:

“We have several interperspective partners that are pursuing multi-year partnerships with TKO assets that will likely be inclusive of the White House event. They are inquiring about inventory as part of their greater partnership deals that they either already have or are negotiating in the future. We will not profit from the White House event independently. We will not be making money on America’s 250th Anniversary. This is an investment for the long term. This is about earned media, sampling new fans and casual viewers, a spectacle on a stage that will ultimately expand our audience, our viewership, and our success on Paramount+.”

As of now, no fights have yet been announced for the show.