UFC, WWE Parent TKO Posts Solid Q2, Raises Full-Year Guidance
TKO Group, the parent company of UFC and WWE, reported strong second-quarter results, with revenue climbing 18% to $1.5 billion for the three months ending in June, comfortably beating Wall Street expectations. The company also raised its full-year 2026 guidance for revenue and adjusted EBITDA, sending shares higher in after-hours trading following a period in which the stock had struggled. CEO Ariel Emanuel said the results reflected strong momentum despite a "challenging global environment", pointing to demand for premium live content and experiences.
UFC revenue rose $120 million to $536 million, boosted by higher media rights fees under a new Paramount distribution deal and increased sponsorship fees tied to the UFC Freedom 250 event at the White House in June, though ticket sales fell as that event was not ticketed. WWE revenue increased by $64.7 million to $621 million, while the IMG segment grew $48 million to $354.7 million. Net income rose $31 million to $304 million, despite $98 million in legal and settlement costs linked to WWE stockholder litigation, and adjusted EBITDA jumped 23% to $649.9 million; shares were trading around $187, up about 2% after the earnings release.
- TKO's Q2 revenue jumped 18% to $1.5 billion, beating forecasts
- Company raised full-year 2026 revenue and profit guidance
- UFC and WWE both posted higher revenue; net income rose to $304m
New here? Start with this
TKO Group is the company that owns the Ultimate Fighting Championship (UFC), a mixed martial arts league, and WWE, a professional wrestling business. It also runs IMG, which works in sports, entertainment and talent representation. These businesses earn money from events, media deals, sponsorships and other services.
Media rights are agreements that let broadcasters or streaming services show sports and entertainment in return for a fee. TKO’s results can therefore be affected by the popularity of its events and by the terms of those agreements. Its figures also include legal and settlement costs, which can affect reported profit.
The company is led by chief executive Ariel Emanuel and is publicly traded, so investors watch its results and outlook for signs of future growth. Revenue measures money coming in, while adjusted EBITDA is a company-reported measure of operating performance that excludes some costs. Together, these figures help explain how TKO’s different businesses are performing.