WWE Announces Record Q4 & Full 2019 Financials, Vince McMahon Comments

WWE announced their Q4 & Full 2019 financials today. Revenues increased 18% to $322.8 million, which was the highest quarterly revenue in WWE history. Operating income increased 87% to $99.8 million. Adjusted OIBDA1 increased 67% to a quarterly record of $107.6 million.

Revenues reached $960.4 million, the highest in the Company’s history. Operating income was $116.5 million. Adjusted OIBDA of $180.0 million represented record performance for the third consecutive year. SmackDown successfully transitioned to FOX Broadcast, where viewership increased by 20% over the prior year fourth quarter, and NXT extended its reach, airing live on USA Network for the first time. WWE completed content distribution agreements with BT Sport and ViacomCBS’ Channel 5 in the U.K., Fox Sports in Latin America, PP Sports in China and SuperSport in Africa, providing strong platforms for reaching WWE audiences in these regions.

Digital engagement continued to grow with video views up 10% to 34.5 billion and hours consumed up 7% to nearly 1.3 billion across digital and social media platforms. Return of capital to shareholders totaled a record $120.8 million in 2019

Management believes that WWE is well positioned to take advantage of significant growth opportunities. The Company is pursuing several strategic initiatives that could increase the monetization of its content in 2020 and/ or subsequent years. These include distribution of content in the Middle East and India as well as the evaluation of strategic alternatives for the Company’s direct-to-consumer service, WWE Network. At this time, the outcome of these initiatives is subject to considerable uncertainty. Excluding the potential impact of these initiatives, the Company estimates it can achieve 2020 Adjusted OIBDA of $250 – $300 million. Management believes it has the potential to exceed this range, but is unable to provide additional guidance at this time

Vince McMahon: “During the fourth quarter, we expanded the reach of WWE’s live programming and further engaged with diverse audiences across platforms and formats. We believe the value of live sports will continue to increase, particularly in today’s evolving media landscape, and we are well positioned to take advantage of this trend to maximize the value of our content.”