Earlier today, TKO Group Holdings, the new publically traded company encompassing WWE and the UFC, announced their third quarter 2023 earnings report. The big news coming out of the report is that the new company brought in more than $440 million in revenue. The good news kept rolling shortly after when it was announced that WWE NXT is headed to The CW network. The new TV rights deal is said to be much larger than any other NXT has ever inked. One man, however, who is not garnering similar good vibes from TKO today is its Executive Chairman, Vince McMahon.
Along with their financial results, a new SEC filing was also issued today. In it, TKO Group Holdings addressed the hush money payments McMahon made and the subsequent investigations by the SEC and Department of Justice into them. Because of that, McMahon was listed as one of the potential risks for the new publically traded entity.
Although we are not aware that significant business has been lost to date, it is possible that a change in the perceptions of our business partners could occur as a result of the investigation or other matters described above. In addition, as a result of the investigation or other matters described above, certain other operational changes, including without limitation other personnel changes, have occurred and may continue to occur in the future, which may have adverse financial and operational impacts on our business. Any adverse impacts as a result of the investigation and related matters, and any further allegations or investigations, could exacerbate any of the risks described herein.
Mr. McMahon’s membership on our Board could have adverse financial and operational impacts on our business.
Mr. McMahon’s membership on our Board could expose us to negative publicity and/or have other adverse financial and operational impacts on our business. His membership also may result in additional scrutiny or otherwise exacerbate the other risks described herein. Any of these outcomes could directly or indirectly have adverse financial and operational impacts on our business.