TKO Group Holdings is positioned for significant growth in 2026, with multi-billion-dollar media rights deals for UFC, WWE, and PBR. Despite a 27% YoY revenue decline in Q3 2025, TKO's live events and partnerships, especially UFC's, are driving high-margin, recurring revenues. Innovative fan engagement initiatives, including a Polymarket partnership, target younger demographics and enhance live event experiences for UFC and Zuffa Boxing.
TKO Group Holdings, Inc. ( TKO ) Q3 2025 Earnings Call November 5, 2025 5:00 PM EST Company Participants Seth Zaslow - Senior VP & Head of Investor Relations Ariel Emanuel - Executive Chair & CEO Andrew Schleimer - Chief Financial Officer Mark Shapiro - COO, President & Director Nick Khan Lawrence Epstein Conference Call Participants Stephen Laszczyk - Goldman Sachs Group, Inc., Research Division Brandon Ross - LightShed Partners, LLC Benjamin Swinburne - Morgan Stanley, Research Division Peter Supino - Wolfe Research, LLC Ryan Gravett - UBS Investment Bank, Research Division Vikram Kesavabhotla - Robert W. Baird & Co. Incorporated, Research Division Eric Handler - ROTH Capital Partners, LLC, Research Division Presentation Operator Good afternoon.
While the top- and bottom-line numbers for TKO Group (TKO) give a sense of how the business performed in the quarter ended September 2025, it could be worth looking at how some of its key metrics compare to Wall Street estimates and year-ago values.
TKO Group Holdings (TKO) came out with quarterly earnings of $0.5 per share, missing the Zacks Consensus Estimate of $0.55 per share. This compares to earnings of $0.53 per share a year ago.
The owner of Ultimate Fighting Championship, WWE and other live events was helped by continued momentum at UFC and World Wrestling Entertainment, whose sales rose by 23% in the third quarter while other divisions posted declines.
TKO Group saw third quarter revenue fall and profits rise, skewed by IMG's Summer Olympic Games in Paris in 2024. UFC had a down quarter on tough comps. WWE posted gains. Revenue for the three months ended in September fell 27% to $1.
TKO Group (TKO) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Dividend raises are common on the U.S. stock markets, especially in and around earnings seasons. For the most part, these hikes are modest; companies enacting them tend to add a few coins to the payout to keep up the dividend yield and boost shareholder morale, among other motivations.
I reiterate my buy rating on TKO, driven by strong fundamentals, robust Q2 results, and upgraded FY 2025 guidance. The landmark seven-year, $7.7 billion UFC media rights deal with Paramount significantly enhances long-term growth visibility and monetization levers. TKO's strong free cash flow generation supports a $2 billion share repurchase plan, boosting total shareholder returns into the mid-teens percentage range.
Investors need to pay close attention to TKO Group Holdings stock based on the movements in the options market lately.
TKO Group's Q2 2025 results show strong revenue growth, improved margins, and a turnaround in underperforming segments, driven by WWE and UFC performance. Profitability surged on cost cuts and operating leverage, with net income and EBITDA margins rising sharply, supporting robust free cash flow and manageable leverage. Despite premium valuation, TKO's growth catalysts—media rights deals, S&P 500 inclusion, and disciplined operations—justify a cautious Buy.
U.S. equities indexes moved lower to kick off the trading week ahead of Tuesday's anticipated release of July Consumer Price Index data, which could factor into the Federal Reserve's upcoming interest-rate decisions.