TKO

NEW YORK, September 03, 2026--(BUSINESS WIRE)--TKO Group Holdings, Inc. (NYSE: TKO) ("TKO" or the "Company"), a premium sports and entertainment company, today announced that its board of directors has declared a quarterly cash dividend pursuant to which TKO’s Class A common stockholders will receive their pro rata share of an aggregate distribution of approximately $150 million from TKO Operating Company, LLC to its equityholders. The per share dividend to the holders of TKO’s Class A common stockholders will be $0.79 per share. The dividend will be paid on September 30, 2026 to Class A common stockholders of record as of the close of business on September 15, 2026. Future declarations of quarterly dividends are subject to the determination and discretion of TKO based on its consideration of various factors, such as its results of operations, financial condition, market conditions, earnings, cash flow requirements, restrictions in its debt agreements and legal requirements and other factors that TKO deems relevant. Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. TKO intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including the expected dividend payment date and timing thereof. The words "believe," "may," "will," "estimate," "potential," "continue," "anticipate," "intend," "expect," "could," "would," "project," "plan," "target," and similar expressions are intended to identify forward-looking statements, though not all forward-looking statements use these words or expressions. These forward-looking statements are based on management’s current expectations. These statements are neither promises nor guarantees and involve known and unknown risks, uncertainties and other important factors that may cause actual results, performance or achievements to be materially different from what is expressed or implied by the forward-looking statements, including, but not limited to those factors discussed in Part I, Item 1A "Risk Factors" in TKO’s Annual Report on Form 10-K for the fiscal year ended December 31, 2025, as any such factors may be updated from time to time in the Company’s other filings with the SEC, which are accessible on the SEC’s website at www.sec.gov and TKO’s Investor Relations site at investor.tkogrp.com. Forward-looking statements speak only as of the date they are made and, except as may be required under applicable law, TKO undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. About TKO TKO Group Holdings, Inc. (NYSE: TKO) is a premium sports and entertainment company. TKO’s businesses include UFC, the world’s premier mixed martial arts organization; WWE, the global leader in sports entertainment; PBR, the world’s premier bull riding organization; and its joint venture Zuffa Boxing, a professional boxing promotion. Together, these properties reach more than 1 billion households across 210 countries and territories and organize more than 500 live events year-round, attracting more than three million fans. TKO also services and partners with major sports rights holders through IMG, an industry-leading global sports marketing agency; and On Location, a global leader in premium experiential hospitality. Website Disclosure Investors and others should note that TKO announces material financial and operational information to its investors using press releases, SEC filings and public conference calls and webcasts, as well as its Investor Relations site at investor.tkogrp.com. TKO may also use its website as a distribution channel of material information about the Company. In addition, you may automatically receive email alerts and other information about TKO when you enroll your email address by visiting the "Investor Email Alerts" option under the Resources tab on investor.tkogrp.com. View source version on businesswire.com: https://www.businesswire.com/news/home/20260903376710/en/ Contacts Investors:Seth [email protected] Press:[email protected]

Find your next quality investment with Simply Wall St's easy and powerful screener, trusted by over 7 million individual investors worldwide. TKO Group Holdings (TKO) is in focus after reporting second quarter and first half 2026 results, raising full year revenue guidance and updating investors on progress under its multi year share repurchase program. See our latest analysis for TKO Group Holdings. The latest earnings, higher 2026 revenue guidance and progress on the multi year buyback come against a mixed backdrop for TKO Group Holdings, with the share price down 9.85% year to date but the 1 year total shareholder return at 16.03% and the 5 year total shareholder return near 3x. This suggests longer term holders have seen much stronger gains than recent buyers. If this kind of earnings story has your attention, it can be useful to see what else is moving in related areas with 20 top founder-led companies After a strong multi year run and a softer share price in 2026, the question for TKO Group Holdings is whether the recent guidance upgrade and buyback progress point to further potential upside, or whether most of the gains already sit in the rear view mirror. Based on the most followed narrative, TKO Group Holdings has a fair value of $234.39 compared with the last close of $186.56, which frames the recent guidance and buyback activity in a valuation context. Read the complete narrative. Want to see what sits behind that projected margin uplift for TKO Group Holdings? The narrative leans heavily on earnings expansion, richer media economics and shrinking share count. The full breakdown shows how those moving parts combine into a single fair value number. Result: Fair Value of $234.39 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, the TKO Group Holdings story also carries real risks, including potential pressure on media rights economics and a heavier event schedule that could test fan demand and pricing power. Find out about the key risks to this TKO Group Holdings narrative. The narrative fair value for TKO Group Holdings is based on long term earnings forecasts and a target P/E of 17.3x. Today, the stock trades on a P/E of 59.4x, well above the US Entertainment industry at 20.5x and a fair ratio of 37.6x. That gap points to valuation risk if sentiment cools or earnings miss expectations. How comfortable are you paying such a premium for this story? To see how this premium multiple stacks up against detailed earnings drivers and peer comparisons, take a look at the See what the numbers say about this price — find out in our valuation breakdown. Torn between the optimism and the concerns around TKO Group Holdings right now? Take a closer look at both sides of the story with 3 key rewards and 2 important warning signs. Do not stop with TKO Group Holdings. Broaden your watchlist with focused stock ideas that match different goals, risk levels and income needs using the Simply Wall Street Screener. Target long term value potential by scanning a curated set of 51 high quality undervalued stocks that combine quality fundamentals with discounted prices. Strengthen your income stream by reviewing 8 dividend fortresses that aim to pair higher yields with resilient business profiles. Prioritise capital preservation by checking 79 resilient stocks with low risk scores designed to highlight companies with more resilient risk scores. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include TKO. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

This article first appeared on GuruFocus. Revenue: $1.547 billion, an increase of 18% year-over-year. Adjusted EBITDA: $650 million, an increase of 23% year-over-year. Adjusted EBITDA Margin: 42%, an increase of approximately 180 basis points year-over-year. UFC Revenue: $536 million, an increase of 29% or $120 million. UFC Adjusted EBITDA: $280 million, an increase of 15% or $36 million. UFC Adjusted EBITDA Margin: 52%, down from 59% in the prior-year period. UFC Media Rights & Content Revenue: Increased 25% to $325 million. UFC Partnerships & Marketing Revenue: Increased 69% to $145 million. UFC Consumer Products Licensing Revenue: Increased 61% to $18 million. UFC Live Events & Hospitality Revenue: Decreased 18% to $48 million. UFC Freedom 250 Impact: Resulted in approximately $30 million loss. WWE Revenue: $621 million, an increase of 12% or $65 million. WWE Adjusted EBITDA: $368 million, an increase of 12% or $39 million. WWE Adjusted EBITDA Margin: 59%, on par with the prior-year period. WWE Media Rights & Content Revenue: Increased 29% to $360 million. WWE Consumer Products Licensing & Other Revenue: Increased 38% to $46 million. WWE Partnerships & Marketing Revenue: Increased 8% to $63 million. WWE Live Events & Hospitality Revenue: Decreased 18% to $152 million. IMG Segment Revenue: $355 million, an increase of 16% or $48 million. IMG Segment Adjusted EBITDA: $79 million, an increase of 171% or $50 million. IMG Segment Adjusted EBITDA Margin: 22%, up from 9% in the prior-year period. Corporate & Other Revenue: $49 million, an increase of 9%. Corporate & Other Adjusted EBITDA: Negative $77 million, essentially flat with the prior-year period. Free Cash Flow: $350 million in the second quarter, with a free cash flow conversion of adjusted EBITDA of 54%. Capital Returned: Year-to-date, returned in excess of $1.3 billion to equity holders through dividends and share repurchases. Dividend: Q2 cash dividend payment of approximately $150 million or $0.79 per share. Share Repurchases: Completed an $800 million ASR agreement and a $200 million 10B5-1 trading plan. Debt: Ended the quarter with $4.659 billion in debt and $593 million in cash and cash equivalents. Net Leverage: 2.2 times based on net debt of $4.067 billion and LTM adjusted EBITDA of $1.841 billion. Full-Year 2026 Revenue Guidance: Raised to $5.775 billion to $5.825 billion. Full-Year 2026 Adjusted EBITDA Guidance: Raised to $2.275 billion to $2.305 billion. World Cup Hospitality Sales: Surpassed $2 billion from more than 568,000 packages sold through the second quarter. World Cup Adjusted EBITDA: Recorded approximately $45 million in Q2, with full-year expectations now exceeding $75 million. LA28 Olympics Orders: Generated orders from more than $280 million on over 20,000 bookings. Warning! GuruFocus has detected 6 Warning Signs with TKO. Is TKO fairly valued? Test your thesis with our free DCF calculator. Release Date: August 03, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. TKO Group Holdings Inc (NYSE:TKO) raised its full-year 2026 guidance for revenue and adjusted EBITDA, reflecting strong operating performance across its businesses. UFC Freedom 250 was a major success, generating over $1 billion in earned media value, attracting 130,000 fans to the Fan Fest, and adding 25 new marketing partners, many with multi-year deals. The FIFA World Cup hospitality program through On Location surpassed $2 billion in sales, exceeding expectations and contributing to a strong quarter for the IMG segment. UFC's partnership with Paramount+ is delivering strong results, with 20 million subscriber households watching over 200 million hours of UFC programming since the start of the year. The company is making significant progress on its financial incentive packages (FIPs) strategy, with a landmark multi-property deal in Arizona and a target of $380-$420 million by 2030 on plan. Zufa Boxing is growing ahead of schedule, with successful international events, new media partnerships, and the signing of top talent like Shakur Stevenson. The company returned over $1.3 billion to shareholders year-to-date through dividends and share repurchases and plans to commence additional buybacks due to a perceived stock price dislocation. UFC Freedom 250 resulted in an approximately $30 million loss, which negatively impacted UFC and consolidated margins for the quarter. WWE's live events revenue decreased 18% in Q2, primarily due to lower ticket sales for WrestleMania 42 compared to the prior year's record event. The company incurred significantly higher costs due to an increased number of international events, which impacted WWE's margins in the quarter. The IMG business saw a slight revenue decrease due to the expiration of certain deals, most notably a contract for Italy's premier professional cycling event. Free cash flow conversion was 54% in Q2, below the company's target of 60%, due to unfavorable working capital impacts from the new Paramount media rights deal. The company is closely monitoring developments in the Middle East, which could have potential implications for its business and planned events in the region. Q: Are you open to bigger M&A as you turn the page to 2027, or do investors have this wrong regarding potential deals like a combo with Formula One? A: Mark Shapiro (President & COO): We are 100% focused on execution, and if we continue doing that effectively, TKO will remain a beat-and-raise story. We are not hunting for M&A of any kind. There are absolutely no conversations with FWONK or anybody else, and there is nothing on the horizon that would take our eye off the ball. Anyone spreading that is flat out lying, and anyone speculating is seeing ghosts. Q: Can you provide more detail on the drivers behind the full-year guidance increase? A: Andrew Schleimer (CFO): The increase is not a result of any one specific item. While the World Cup had a strong contribution in Q2 and will have a Q3 contribution above our prior expectations, the raise really reflects the overall strength in our business, especially UFC, which is firing on all cylinders. It is a combination of many moving pieces rather than an over-index on any single event. Q: How do you view the opportunity to translate the one-time partnership revenue uplift from UFC Freedom 250 into broader, more comprehensive deals going forward? A: Andrew Schleimer (CFO): The event came in exactly as anticipated with a loss of approximately $30 million. Our Global Partnerships team utilized this one-of-one event as an entry point to level up existing partners and introduce new ones to the power of our IP. We signed meaningful multi-year deals that impact 2026, 2027, and in some cases, 2028 and beyond, so we feel real good about our positioning going into next year. Q: Can you distinguish the factors specific to this year's WrestleMania that impacted WWE Live Events revenue versus broader trends, and does this make you reevaluate your live event strategy? A: Andrew Schleimer (CFO): The decline was almost exclusively impacted by WrestleMania 42 versus 41. However, we staged more international events (22 vs. 2 in the prior year quarter) as a deliberate investment to broaden our global fan base. WrestleMania 26 was still one of the largest box offices in WWE history with a meaningful financial incentive package from Nevada. We increasingly view events as media events that drive viewership and fan engagement, so we will continue making strategic long-term investments. Q: Why not be more aggressive in investing behind tent-pole events like Freedom 250 or The Sphere if they drive audience growth and longer-term value? A: Mark Shapiro (President & COO): We are hunting for new opportunities, unique experiences, and seminal venues, but they take time to put together with many parties and negotiations involved. When we did The Sphere, everyone feared it would be a financial loser, but it wasn't. Despite telling everyone we would lose $30 million on Freedom 250, we set record-setting earned media numbers and came in as anticipated. We are in the business of putting on the best live events, and the marketplace shows no signs of slowing down. Q: How seriously do you take the PFL and Jake Paul/MVP combination as a competitor? A: Mark Shapiro (President & COO): On an individual standalone basis, these promotions were not necessarily sustainable. Now that they've come together, we'll see what they can conjure up. What we know is that competition has always made us stronger, and a rising tide lifts all boats. Q: How are you thinking about the sports rights landscape given the upcoming negotiations for SmackDown or NXT? A: Mark Shapiro (President & COO): We have no plans to accelerate any conversations. We are very well positioned with long-term deals, recurring revenue, locked-in escalators, and motivated marketing partners. We are paying attention to all that's on the horizon, but sports are in a category all to themselves right now with live experiences, unpredictable outcomes, and passionate fan bases. We are sitting in a good place across all fronts. Q: What are the biggest priorities for Zufa Boxing, and what has the initial reception been like as you expand outside of Nevada? A: Mark Shapiro (President & COO): It's a lot of rinse and repeat in terms of what we're doing with our other assets. We're taking it to London and New York City to bring awareness to the brand and create one-of-a-kind experiences that bring in more global partnerships and financial incentive packages. It's early days, but it's about signing up more fighters, expanding our roster, and staging best-in-class fights. The plan has accelerated because fighters want to fight underneath a business run by Dana White. Q: How do you keep engagement growing while balancing international expansion versus protecting core markets? A: Mark Shapiro (President & COO): We are as focused on engagement as we are on reach. Our catalysts are simple and identifiable: event ticket sales optimization, global partnerships targeting $1.2 billion by 2030, and financial incentive packages of $380-$420 million by 2030. We constantly look at improving the fan experience and positioning our brands for growth. For example, we chose to do SummerSlam over two days in Minneapolis for a better fan experience and more ESPN marketing, even though a one-night event might have had a higher ticket per cap. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Management attributes strong performance to the 'experience economy,' where consumers prioritize scarce, in-person communal events that cannot be replicated or automated by AI. The UFC Freedom 250 event served as a strategic marketing vehicle, generating over $1 billion in earned media value and adding 25 new marketing partners despite being a non-ticketed event. WWE's international expansion, including the first-ever premium live event in Italy, is a deliberate investment to deepen global fan engagement and prepare for the Netflix transition. The company is successfully transitioning to a 'financial incentive package' (FIP) model, securing public and private funding from tourism boards and municipalities to host events. On Location's record-breaking FIFA World Cup hospitality program validates the strategy of offering high-margin, personalized 'front-of-the-line' access to premium global sports. TKO views its portfolio as having defensive characteristics against AI disruption, as marketable IP and physical experiences command a growing share of consumer wallets. The Paramount partnership for UFC has successfully removed the 'double paywall,' resulting in viewership 23x higher than the average pay-per-view event over the last two years. Full-year 2026 guidance was raised based on strong first-half execution and high visibility into contracted revenue, which accounts for over 70% of UFC and WWE income. Management targets $380 million to $420 million in annual financial incentive packages by 2030, supported by a landmark multi-property deal with the Arizona Sports & Events Alliance. The Zuffa Boxing initiative is described as 'ahead of schedule,' with plans to build a third combat sports vertical through a low-risk joint venture structure that offers future equity upside. Future WWE international events are viewed as strategic investments that may temporarily impact margins but are essential for maximizing the long-term value of the Netflix global media deal. The LA28 Olympic Games are already serving as a significant forward catalyst, with On Location recording over $280 million in bookings two years ahead of the event. UFC Freedom 250 resulted in an anticipated $30 million loss due to the absence of ticket sales, which temporarily compressed consolidated and segment-level margins. Management explicitly denied rumors of large-scale M&A, stating they are 'not hunting' for deals like Formula 1 and remain focused on organic execution. The company continues to monitor geopolitical developments in the Middle East, though all planned events in Saudi Arabia, Abu Dhabi, and Azerbaijan have proceeded as scheduled. Additional buybacks will be commenced under the company's existing authorized repurchase program to address what management perceives as a 'dislocation' between the current stock price and the company's intrinsic value. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management dismissed the threat, suggesting that individual promotions like MVP and PFL were not sustainable on a standalone basis. Stated that competition generally strengthens the market and 'a rising tide lifts all boats' for combat sports. Management explained that prioritizing fan experience and brand marketing sometimes takes precedence over immediate bottom-line optimization. Moving to a two-day format in Minneapolis was designed to drive higher engagement and better viewing metrics for media partners like ESPN. The business operates as a non-consolidated joint venture where TKO has no funding obligations and takes no financial risk. TKO earns service fees for 'super fights' and maintains a path to meaningful equity ownership as the asset creates value. Management reaffirmed a target of 60% plus free cash flow conversion on a normalized basis. Anticipates a 'meaningful step up' in conversion rates in 2027 and 2028 as the impact of the World Cup and new media deals stabilizes.

TKO Group Holdings (TKO) reported $1.55 billion in revenue for the quarter ended June 2026, representing a year-over-year increase of 18.2%. EPS of $1.34 for the same period compares to $1.17 a year ago. The reported revenue compares to the Zacks Consensus Estimate of $1.54 billion, representing a surprise of +0.71%. The company delivered an EPS surprise of -17.79%, with the consensus EPS estimate being $1.63. While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance. As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately. Here is how TKO Group performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: UFC - Numbered events: 3 versus the three-analyst average estimate of 3. UFC - Fight Nights: 9 compared to the 9 average estimate based on three analysts. UFC - Total events: 12 compared to the 12 average estimate based on three analysts. UFC - Location of events - International: 4 versus 3 estimated by two analysts on average. Net Revenue- IMG: $354.7 million versus the four-analyst average estimate of $360.93 million. The reported number represents a year-over-year change of +15.7%. Net Revenue- WWE: $620.9 million versus $617.34 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +11.6% change. Net revenues- Corporate & Other: $48.5 million versus the four-analyst average estimate of $62.65 million. The reported number represents a year-over-year change of +8.7%. Net Revenue- UFC: $535.7 million compared to the $505.93 million average estimate based on four analysts. The reported number represents a change of +28.8% year over year. Net Revenue- WWE- Media rights, production and content: $359.7 million versus the three-analyst average estimate of $330.53 million. The reported number represents a year-over-year change of +29%. Net Revenue- WWE- Live events and hospitality: $152 million compared to the $177.95 million average estimate based on three analysts. The reported number represents a change of -18.2% year over year. Net Revenue- WWE- Partnerships and marketing: $63.2 million versus the three-analyst average estimate of $72.64 million. The reported number represents a year-over-year change of +8.4%. Net Revenue- WWE- Consumer products licensing and other: $46 million versus the three-analyst average estimate of $34.65 million. The reported number represents a year-over-year change of +38.1%. View all Key Company Metrics for TKO Group here>>> Shares of TKO Group have returned -6.5% over the past month versus the Zacks S&P 500 composite's +0.2% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report TKO Group Holdings, Inc. (TKO) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Interested in TKO Group Holdings, Inc.? Here are five stocks we like better. TKO raised its 2026 guidance after second-quarter revenue rose 18% to $1.547 billion and adjusted EBITDA increased 23% to $650 million. New guidance calls for $5.775 billion-$5.825 billion in revenue and $2.275 billion-$2.305 billion in adjusted EBITDA. UFC revenue climbed 29%, supported by higher media-rights revenue and partnership activity tied to UFC Freedom 250, while WWE revenue rose 12% as media-rights and international events expanded. Freedom 250 generated significant audience and marketing exposure but resulted in an approximately $30 million loss due to event costs and the lack of ticket revenue. World Cup hospitality boosted IMG, with sales surpassing $2 billion and segment adjusted EBITDA jumping 171% to $79 million. TKO also returned more than $1.3 billion to shareholders year to date and has over $1 billion remaining under its share-repurchase authorization. These 3 Beaten-Down Stocks Just Saw $25 Million in Insider Buying TKO Group (NYSE:TKO) raised its full-year 2026 revenue and adjusted EBITDA outlook after reporting higher second-quarter revenue and earnings, supported by media-rights increases, global live events, partnerships and FIFA World Cup hospitality sales. The company reported second-quarter revenue of $1.547 billion, up 18% from the prior-year period, while adjusted EBITDA increased 23% to $650 million. Adjusted EBITDA margin rose about 180 basis points to 42%. → Lost in Space: Why Aerospace Valuations Are Plummeting Right Now These 3 Stocks Boosting Buybacks Have Rallying Potential Chief Financial Officer Andrew Schleimer said results included two notable factors: costs related to UFC Freedom 250 and the timing of FIFA World Cup revenue recognition. TKO recorded about $45 million of adjusted EBITDA at IMG from the World Cup during the quarter and now expects the event to exceed its prior estimate of approximately $75 million in full-year adjusted EBITDA. UFC Freedom 250, held in Washington, D.C., generated approximately a $30 million loss, as the company incurred elevated production and event costs without ticket revenue. Schleimer said TKO partly offset those costs through sold-out global partnership inventory. → MarketBeat Week in Review – 07/27- 07/31 3 Big Dividend Hikes Hit the Market—1 Just Doubled Its Payout President and Chief Operating Officer Mark Shapiro said UFC Freedom 250 reached more than 34 million total viewers in reported markets, including 17 million viewers across the U.S. and Latin America on Paramount+. The associated Ellipse Fan Fest drew more than 130,000 attendees over two days, according to the company. Shapiro said the event generated more than $1 billion in earned media value and added 25 marketing partners, including several that signed multiyear or multi-event agreements. Schleimer said partnerships and marketing revenue at UFC rose 69% to $145 million, driven by new partners and renewals tied largely to the event. → GE HealthCare Stock Climbs on Vital Diagnostics Demand UFC revenue increased 29% to $536 million, while adjusted EBITDA rose 15% to $280 million. The segment’s adjusted EBITDA margin declined to 52% from 59% a year earlier, primarily because of Freedom 250. Excluding the event, Schleimer said UFC margins would have increased meaningfully year over year. UFC media rights, production and content revenue increased 25% to $325 million, reflecting the new Paramount agreement that began in January. Consumer products licensing revenue rose 61% to $18 million. Live events and hospitality revenue declined 18% to $48 million, reflecting the absence of ticket sales at Freedom 250 and one fewer numbered event during the quarter. The company also said financial incentive packages for UFC nearly doubled from a year ago. Shapiro reiterated TKO’s target of generating $380 million to $420 million from such packages by 2030, saying the strategy is gaining traction with cities, tourism organizations and other partners. WWE generated second-quarter revenue of $621 million, up 12%, and adjusted EBITDA of $368 million, also up 12%. Its adjusted EBITDA margin was unchanged at 59%. Media rights, production and content revenue at WWE increased 29% to $360 million, primarily due to higher fees under the ESPN agreement that began last September. Consumer products licensing and other revenue increased 38% to $46 million, while partnerships and marketing revenue rose 8% to $63 million. Live events and hospitality revenue declined 18% to $152 million, almost entirely because WrestleMania 42 ticket sales were lower than those from WrestleMania 41, Schleimer said. Still, he said WrestleMania 42 produced one of WWE’s largest box offices and included a meaningful financial incentive package from Nevada. TKO held 22 international WWE events during the quarter, compared with two in the prior-year period. Schleimer described the additional events as a strategic investment to broaden WWE’s global fan base, build international partnerships and develop a pipeline of financial incentive packages outside the U.S. Shapiro said WWE Raw ranked among Netflix’s global top 10 titles every week of the second quarter. He also pointed to WWE’s expansion of premium live events on Netflix into Germany, Austria and Switzerland, as well as strong domestic viewership for WrestleMania, Backlash, Clash in Italy and SmackDown. IMG revenue rose 16% to $355 million, while adjusted EBITDA increased 171% to $79 million. The segment’s margin expanded to 22% from 9% a year earlier, driven primarily by FIFA World Cup hospitality activity at On Location. Shapiro said World Cup hospitality sales surpassed $2 billion through the second quarter, based on more than 568,000 packages sold. He also said the LA 2028 Olympics had generated more than $280 million in orders across over 20,000 bookings despite being two years away. Corporate and other revenue increased 9% to $49 million, helped by boxing management fees and PBR live-event and partnership revenue. The segment posted adjusted EBITDA of negative $77 million, roughly unchanged from the prior year. Shapiro said Zuffa Boxing is progressing ahead of schedule, citing events in Bournemouth, England, and New York City, as well as the signing of boxer Shakur Stevenson. TKO’s next boxing event will feature Ryan Garcia against Conor Benn on Sept. 12 in Las Vegas. TKO raised its 2026 outlook to revenue of $5.775 billion to $5.825 billion and adjusted EBITDA of $2.275 billion to $2.305 billion. At the midpoint, the new guidance is $75 million higher for revenue and $25 million higher for adjusted EBITDA than the company’s previous forecast. Schleimer said the increase reflects broad operating strength, particularly at UFC, rather than any single factor. The company expects third-quarter UFC results to benefit from the Paramount media-rights step-up and a schedule of 12 events, including three numbered events. TKO generated $350 million in free cash flow during the quarter and returned more than $1.3 billion to equity holders year to date through dividends and repurchases. It ended the quarter with $4.659 billion of debt, $593 million of cash and cash equivalents, and net leverage of 2.2 times. The company said it completed an $800 million accelerated share repurchase program on June 30 and subsequently bought an additional 1 million Class A shares under a trading plan. TKO has just over $1 billion remaining under its authorized repurchase program and intends to begin additional buybacks in the near term. During the question-and-answer session, Shapiro said TKO is “100% focused on execution” and is not pursuing major mergers and acquisitions. He specifically said there are no discussions involving Formula 1 or other potential transactions. TKO Group Holdings (NYSE: TKO) is a global sports and entertainment company formed in 2023 through the combination of two major combat-sports businesses. The company brings together the mixed martial arts organization UFC and the sports entertainment business WWE under a single publicly traded holding company. TKO owns and manages a portfolio of live-event franchises, intellectual property, and media rights centered on combat and sports-entertainment content. TKO's core activities include the promotion and production of live events, the licensing and sale of broadcasting and streaming rights, and the development and commercialization of branded consumer products. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "TKO Group Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Raises Full Year 2026 Guidance Announces Intent to Commence Additional Share Repurchases Second Quarter 2026 Financial Highlights Revenue of $1.547 billion Net income of $303.9 million Adjusted EBITDA1 of $649.9 million Year-to-date, the Company has returned in excess of $1.3 billion of capital to equity holders through share repurchases and dividend payments and related distributions Full Year 2026 Guidance The Company increased its target for revenue to $5.775 billion to $5.825 billion The Company increased its target for Adjusted EBITDA to $2.275 billion to $2.305 billion NEW YORK, August 03, 2026--(BUSINESS WIRE)--TKO Group Holdings, Inc. ("TKO" or the "Company") (NYSE: TKO) today announced financial results for its second quarter ended June 30, 2026. "Despite a challenging global environment, TKO delivered solid results in Q2, with strong momentum heading into the back half of the year," said Ariel Emanuel, Executive Chair and CEO of TKO. "Premium live content and experiences are heating up in an increasingly AI-driven world, and our businesses are well positioned to fully capitalize on societal secular tailwinds." "From UFC Freedom 250 to the FIFA World Cup, TKO continues to deliver on the biggest stages and this quarter reinforced our 2026 execution story. Our decision to raise full-year guidance reflects both our performance to date and our confidence in TKO’s multi-year trajectory," said Mark Shapiro, President and COO of TKO. "Our global fan base is expanding, and we are capitalizing on the commercial promise across ticketing, premium hospitality, marketing partnerships, and financial incentive packages. The demand in the experience economy is undeniable and positions us well for multi-year growth, margin expansion, and overall value creation." Consolidated Results2 Second Quarter 2026 Revenue increased 18%, or $238.7 million, to $1.547 billion. The increase primarily reflected an increase of $119.8 million at UFC, to $535.7 million, an increase of $64.7 million at WWE, to $620.9 million, and an increase of $48.1 million at the IMG segment, to $354.7 million. Net Income was $303.9 million, an improvement of $30.8 million from $273.1 million in the prior year period. The improvement reflected the increase in revenue partially offset by an increase in operating expenses. The increase in operating expenses primarily reflected an increase in direct operating costs of $79.7 million and an increase in selling, general and administrative expenses of $98.4 million. The increase in selling, general and administrative expenses primarily reflected legal fees and settlement costs associated with stockholder litigation related to WWE. Adjusted EBITDA1 increased 23%, or $123.4 million, to $649.9 million, due primarily to an increase of $35.6 million at UFC, an increase of $38.5 million at WWE, and an increase of $49.6 million at the IMG segment. Adjusted EBITDA margin increased to 42% from 40%. Cash flows generated by operating activities were $374.0 million, a decrease of $22.2 million from $396.2 million, primarily due to the timing of working capital, partially offset by the improved operating performance. Working capital for the three months ended June 30, 2026 and June 30, 2025 included approximately $22.4 million and $164.8 million, respectively, of net pre-payments held in escrow related to FIFA World Cup 2026. Free Cash Flow3 was $349.6 million, a decrease of $25.3 million from $374.9 million, due to the decrease in cash flows generated by operating activities and an increase in capital expenditures. Cash and cash equivalents were $592.5 million as of June 30, 2026. Gross debt was $4.659 billion as of June 30, 2026. Results by Operating Segment4 The table below reflects TKO’s performance by operating segment: UFC Second Quarter 2026 Revenue increased 29%, or $119.8 million, to $535.7 million driven by a $64.7 million increase in media rights, production and content revenue, a $59.0 million increase in partnerships and marketing revenue, and a $6.8 million increase in consumer products licensing and other revenue, partially offset by a $10.7 million decrease in live events and hospitality revenue. The increase in media rights, production and content revenue was primarily related to higher media rights fees, which reflected the impact of the new distribution agreement with Paramount that began in January 2026 partially offset by one fewer Numbered Event, compared to the prior year period. The increase in partnerships and marketing revenue was primarily related to new partners and an increase in fees from renewals, which were largely driven by the UFC Freedom 250 event held at the White House in June 2026, compared to the prior year period. The increase in consumer products licensing and other revenue was primarily due to higher royalties on UFC-branded products, including collectibles and event merchandise. The decrease in live events and hospitality revenue was due to a decrease in ticket sales revenue, which was largely driven by the absence of ticket sales for UFC Freedom 250 and one fewer Numbered Event, partially offset by higher financial incentive package revenue, compared to the prior year period. Adjusted EBITDA increased 15%, or $35.6 million, to $280.4 million, due to the increase in revenue (as described above) partially offset by an increase in expenses. Direct operating costs reflected higher athlete, production and other event-related costs, which were largely driven by the UFC Freedom 250 event, partially offset by one fewer Numbered Event, compared to the prior year period. Selling, general and administrative expenses increased primarily due to higher personnel and travel costs compared to the prior year period. Adjusted EBITDA margin decreased to 52% from 59%. The decrease was entirely due to the financial profile of the UFC Freedom 250 event. Absent Freedom 250 margins would have increased year-over-year. WWE Second Quarter 2026 Revenue increased 12%, or $64.7 million, to $620.9 million driven by a $80.8 million increase in media rights, production and content revenue, a $12.7 million increase in consumer products licensing and other revenue, and a $4.9 million increase in partnerships and marketing revenue, partially offset by a $33.7 million decrease in live events and hospitality revenue. The increase in media rights, production and content revenue was primarily related to higher media rights fees, notably the impact of the new distribution agreement with ESPN that began in September 2025, compared to the prior year period. The increase in consumer products licensing and other revenue was primarily related to the sale of WWE-branded products, including trading cards and other collectibles, compared to the prior year period. The increase in partnerships and marketing revenue was primarily related to new partners and an increase in fees from renewals compared to the prior year period. The decrease in live events and hospitality revenue was due to a decrease in ticket sales revenue, almost exclusively related to WrestleMania 42 in Las Vegas, compared to the prior year period. Adjusted EBITDA increased 12%, or $38.5 million, to $368.3 million, due to the increase in revenue (as described above) partially offset by an increase in expenses. Direct operating costs reflected higher talent, production and other event-related costs compared to the prior year period. Selling, general and administrative expenses increased primarily due to higher travel costs, related to an increase in the number of international events, compared to the prior year period. Adjusted EBITDA margin was 59% for both periods. IMG The IMG segment reflects the operations of the IMG business and On Location. Second Quarter 2026 Revenue increased 16%, or $48.1 million, to $354.7 million primarily driven by a $66.4 million increase in live events and hospitality revenue, partially offset by a $16.2 million decrease in media rights, production and content revenue. The increase in live events and hospitality revenue was primarily related to FIFA World Cup 2026 hospitality sales at On Location. The decrease in media rights, production and content revenue related to the IMG business and primarily reflected the loss of a contract for Italy’s premier professional cycling event, partially offset by increased demand for Stars on Ice, the touring figure skating show, and growth in Sport 24, the live sports channel for airlines and cruise ships, compared to the prior year period. Adjusted EBITDA increased 171%, or $49.6 million, to $78.6 million, primarily due to the increase in revenue (as described above) and a decrease in expenses. Direct operating costs decreased primarily due to the end of an Italian professional cycling contract at the IMG business compared to the prior year period. Selling, general and administrative expenses increased primarily due to costs related to FIFA World Cup 2026 compared to the prior year period. Adjusted EBITDA margin increased to 22% from 9%. Corporate and Other Corporate and Other reflects operations not allocated to the UFC, WWE, or IMG segments and primarily consists of general and administrative expenses, the operations of PBR, as well as management and promotional fees for services primarily related to boxing. Second Quarter 2026 Revenue increased 9%, or $3.9 million, to $48.5 million. The increase was primarily related to an increase in management fees for services related to the Company’s boxing initiatives. Revenue at PBR increased by $1.0 million principally related to higher live events and hospitality revenue, which was driven by the Space Cowboys event at the U.S. Air Force Academy. Adjusted EBITDA was a loss of $77.4 million, essentially comparable to a loss of $77.1 million in the prior year period. Results primarily reflected the increase in revenue (as described above) offset by an increase in expenses. Expenses reflected higher personnel and other operating costs partially offset by lower event-related costs at PBR from holding ten fewer events due to a strategic review to remove non-core events compared to the prior year period. Full Year 2026 Guidance In February, the Company issued revenue and Adjusted EBITDA guidance of $5.675 billion to $5.775 billion and $2.240 billion to $2.290 billion, respectively, for the full year 2026. Based on performance through the first six months of the year and our visibility into and anticipated performance for the remainder of the year, the Company is raising its guidance and now expects full year 2026 revenue of $5.775 billion to $5.825 billion and Adjusted EBITDA of $2.275 billion to $2.305 billion. The Company intends to provide additional detail related to its 2026 guidance on today’s earnings call. Other Matters Return of Capital Program The Company announced that it intends to commence additional repurchases of its outstanding Class A common stock under its existing share repurchase program. The Company will determine at its discretion the timing and the amount of any repurchases based on its evaluation of market conditions, share price, and other factors. As previously disclosed, the Company’s board of directors has authorized the repurchase of up to $3 billion of outstanding Class A common stock. The share repurchase program has no expiration and may be modified, suspended, or discontinued at any time. As previously disclosed, on June 30, 2026, the Company announced the completion of its accelerated share repurchase agreement (the "ASR Agreement") to repurchase $800 million, or 4,167,298 shares, of its outstanding Class A common stock. As previously disclosed, on May 11, 2026, the Company entered into a Rule 10b5-1 trading plan for the repurchase of up to $200 million of its outstanding Class A Common Stock (the "10b5-1 Plan"). During the second quarter, the Company repurchased 648,919 shares for approximately $129.3 million. From July 1, 2026 through July 21, 2026, the Company repurchased 373,515 shares for approximately $70.7 million thus completing the 10b5-1 Plan. As of August 3, 2026, the Company has slightly in excess of $1 billion available under its existing authorization. On June 30, 2026, the Company paid a quarterly cash dividend to the holders of the Company’s Class A common stock based on their pro rata share of an aggregate distribution of approximately $150 million, or $0.79 per share, from TKO Operating Company, LLC. Notes Non-GAAP Financial Measures The Company refers to certain financial measures that are not recognized under United States generally accepted accounting principles ("GAAP"). This press release includes financial measures that are not calculated in accordance with GAAP, including Adjusted EBITDA, Adjusted EBITDA margin, Free Cash Flow and Free Cash Flow Conversion. Please see the definitions below and the reconciliation tables included in this release for additional information and a reconciliation of the Non-GAAP financial measures to the most comparable GAAP financial measures. The Company defines Adjusted EBITDA as net income excluding income taxes, net interest expense, depreciation and amortization, equity-based compensation, merger, acquisition and earnout costs, certain legal costs, restructuring, severance and impairment charges, foreign exchange (gains) losses, and certain other items when applicable. Adjusted EBITDA margin is defined as Adjusted EBITDA divided by revenue. TKO management believes that Adjusted EBITDA and Adjusted EBITDA margin are useful to investors as these measures eliminate the significant level of non-cash depreciation and amortization expense that results from its capital investments and intangible assets, and improve comparability by eliminating the significant level of interest expense associated with TKO’s debt facilities, as well as income taxes which may not be comparable with other companies based on TKO’s tax and corporate structure. Adjusted EBITDA and Adjusted EBITDA margin are used as the primary bases to evaluate TKO’s consolidated operating performance. Adjusted EBITDA and Adjusted EBITDA margin have limitations as analytical tools, and you should not consider them in isolation or as a substitute for analysis of TKO’s results as reported under GAAP. Some of these limitations are: they do not reflect every cash expenditure, future requirements for capital expenditures, or contractual commitments; Adjusted EBITDA does not reflect the significant interest expense or the cash requirements necessary to service interest or principal payments on TKO’s debt; although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced or require improvements in the future, and Adjusted EBITDA and Adjusted EBITDA margin do not reflect any cash requirement for such replacements or improvements; and they are not adjusted for all non-cash income or expense items that are reflected in TKO’s statements of cash flows. TKO management compensates for these limitations by using Adjusted EBITDA and Adjusted EBITDA margin along with other comparative tools, together with GAAP measurements, to assist in the evaluation of TKO’s operating performance. Adjusted EBITDA and Adjusted EBITDA margin should not be considered substitutes for the reported results prepared in accordance with GAAP and should not be considered in isolation or as alternatives to net income as indicators of TKO’s financial performance, as measures of discretionary cash available to it to invest in the growth of its business or as measures of cash that will be available to TKO to meet its obligations. Although TKO uses Adjusted EBITDA and Adjusted EBITDA margin as financial measures to assess the performance of its business, such use is limited because it does not include certain material costs necessary to operate TKO’s business. TKO’s presentation of Adjusted EBITDA and Adjusted EBITDA margin should not be construed as indications that its future results will be unaffected by unusual or nonrecurring items. These non-GAAP financial measures, as determined and presented by TKO, may not be comparable to related or similarly titled measures reported by other companies. Set forth below are reconciliations of TKO’s most directly comparable financial measures calculated in accordance with GAAP to these non-GAAP financial measures on a consolidated basis. The Company defines Free Cash Flow as net cash provided by operating activities less cash used for capital expenditures. TKO views net cash provided by operating activities as the most directly comparable GAAP measure. Free Cash Flow Conversion is defined as Free Cash Flow divided by Adjusted EBITDA. Although they are not recognized measures of liquidity under U.S. GAAP, Free Cash Flow and Free Cash Flow Conversion provide useful information regarding the amount of cash TKO’s continuing business generates after capital expenditures and is available for reinvesting in the business, debt service, share repurchases and payment of dividends. Free Cash Flow and Free Cash Flow Conversion have certain limitations in that they do not represent the total increase or decrease in the cash balance for the period, nor do they represent the residual cash flow for discretionary expenditures. Reconciliations of the Company’s Non-GAAP financial measure guidance to the most directly comparable GAAP financial measures cannot be provided without unreasonable efforts and are not provided herein because of the inherent difficulty in forecasting and quantifying certain amounts that are necessary for such reconciliations and certain other items reflected in our reconciliation of historical Non-GAAP financial measures, the amounts of which could be material. Basis of Presentation As a result of the February 28, 2025 closing of the Company’s agreement with Endeavor to acquire IMG, On Location, and PBR (the "Acquired Businesses") in a common control transaction, TKO’s consolidated financial information presented herein reflect the combined results of TKO and the Acquired Businesses as if they had been part of TKO during the historical periods presented under common control. TKO’s financial information presented herein for the periods that it did not own the Acquired Businesses were prepared by Endeavor Group Holdings, Inc. and include allocations for corporate expenses to the businesses based on Endeavor Group Holdings, Inc.’s corporate expense profile. These expenses consisted of certain support functions that were provided on a centralized basis, such as expenses related to finance, human resources, information technology, facilities, and legal, among others and were allocated to the Acquired Businesses. Endeavor Group Holdings, Inc. allocated these corporate expenses on a pro rata basis of headcount, gross profit, and other allocation methodologies. Corporate allocations were $21.7 million for the six months ended June 30, 2025 representing allocations from January 1 through February 28, 2025. Under TKO ownership effective February 28, 2025, such corporate allocations no longer occur. Effective February 28, 2025, the Company operates its business under three reportable segments, UFC, WWE, and IMG. The UFC and WWE segments consist entirely of the operations of these businesses, while the IMG segment consists entirely of the operations of IMG and On Location. In addition, the Company reports results for the "Corporate and Other" group, which includes the operations of PBR, management and promotional fees for services primarily related to boxing as well as general and administrative expenses that are not allocated to the business segments. These expenses largely relate to corporate activities, including information technology, facilities, legal, human resources, finance, accounting, treasury, investor relations, corporate communications, community relations and compensation to TKO’s management and board of directors, which support the reportable segments. All prior period amounts related to the segment change have been retrospectively reclassified to conform to the new presentation. The profitability measure employed by the Company in assessing operating performance, including that of its segments, is Adjusted EBITDA. The Company defines Adjusted EBITDA as net income, excluding income taxes, net interest expense, depreciation and amortization, equity-based compensation, merger, acquisition and earnout costs, certain legal costs, restructuring, severance and impairment charges, and certain other items when applicable. Adjusted EBITDA includes amortization expenses directly related to supporting the operations of the Company’s segments, including content production asset amortization. Additional Information As previously announced, TKO will host a conference call at 5:00 p.m. ET on August 3, 2026, to discuss its second quarter 2026 results. All interested parties are welcome to listen to a live webcast that will be hosted through the Company’s website at investor.tkogrp.com. Participants can access the conference call by dialing 833-461-5787 (conference ID: 515089571). Please reserve a line 5-10 minutes prior to the start time of the conference call. Any accompanying materials referenced during the call will be made available on August 3, 2026, at investor.tkogrp.com. A replay of the call will be available approximately two hours after the conference call concludes and can be accessed on the Company’s website. About TKO TKO Group Holdings, Inc. (NYSE: TKO) is a premium sports and entertainment company. TKO’s businesses include UFC, the world’s premier mixed martial arts organization; WWE, the global leader in sports entertainment; PBR, the world’s premier bull riding organization; and its joint venture Zuffa Boxing, a professional boxing promotion. Together, these properties reach more than 1 billion households across 210 countries and territories and organize more than 500 live events year-round, attracting more than three million fans. TKO also services and partners with major sports rights holders through IMG, an industry-leading global sports marketing agency; and On Location, a global leader in premium experiential hospitality. Website Disclosure Investors and others should note that TKO announces material financial and operational information to its investors using press releases, SEC filings and public conference calls and webcasts, as well as its Investor Relations site at investor.tkogrp.com. TKO may also use its website as a distribution channel of material information about the Company. In addition, you may automatically receive email alerts and other information about TKO when you enroll your email address by visiting the "Investor Email Alerts" option under the Resources tab on investor.tkogrp.com. Forward-Looking Statements: This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including, without limitation, statements regarding TKO’s business strategy and plans, financial outlook, TKO’s capital return program, including the timing of purchases thereunder, trends in consumer demand, TKO’s growth and value creation prospects, TKO’s financial condition, and anticipated financial and operational performance. The words "believe," "may," "will," "estimate," "potential," "continue," "anticipate," "intend," "expect," "could," "would," "project," "plan," "target," and similar expressions are intended to identify forward-looking statements, though not all forward-looking statements use these words or expressions. These forward-looking statements are based on management’s current expectations. These statements are neither promises nor guarantees and involve known and unknown risks, uncertainties and other important factors that may cause actual results, performance or achievements to be materially different from what is expressed or implied by the forward-looking statements, including, but not limited to: TKO’s ability to generate revenue from discretionary and corporate spending on events; TKO’s dependence on key relationships with television and cable networks, satellite providers, digital streaming partners and other distribution partners; TKO’s ability to adapt to or manage new content distribution platforms or changes in consumer behavior; TKO’s success in its strategic acquisitions, investments and commercial agreements; adverse publicity concerning the Company or its key personnel; the highly competitive, rapidly changing and increasingly fragmented nature of the markets in which TKO operates; TKO’s dependence on the continued services of executive management and other key employees; changes in public and consumer tastes and preferences and industry trends; financial risks with owning and managing events for which TKO sells media and partnership and marketing rights, ticketing and hospitality; the Company’s substantial indebtedness; and other important factors discussed in the section entitled "Risk Factors" in TKO’s Annual Report on Form 10-K for the fiscal year ended December 31, 2025 filed by TKO, as any such factors may be updated from time to time in TKO’s other filings with the SEC, accessible on the SEC’s website at www.sec.gov and TKO’s investor relations site at investor.tkogrp.com. Forward-looking statements speak only as of the date they are made and, except as may be required under applicable law, TKO undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. View source version on businesswire.com: https://www.businesswire.com/news/home/20260803888257/en/ Contacts Investors: Seth Zaslow [email protected] Media: [email protected]

TKO Group Holdings (TKO) came out with quarterly earnings of $1.34 per share, missing the Zacks Consensus Estimate of $1.63 per share. This compares to earnings of $1.17 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -17.79%. A quarter ago, it was expected that this producer of professional wrestling events and television shows would post earnings of $0.91 per share when it actually produced earnings of $1.12, delivering a surprise of +23.08%. Over the last four quarters, the company has surpassed consensus EPS estimates just once. TKO Group, which belongs to the Zacks Film and Television Production and Distribution industry, posted revenues of $1.55 billion for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 0.71%. This compares to year-ago revenues of $1.31 billion. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. TKO Group shares have lost about 13% since the beginning of the year versus the S&P 500's gain of 9.4%. While TKO Group has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for TKO Group was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.30 on $1.39 billion in revenues for the coming quarter and $4.92 on $5.78 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Film and Television Production and Distribution is currently in the bottom 35% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, Warner Music Group Corp. (WMG), has yet to report results for the quarter ended June 2026. The results are expected to be released on August 6. This company is expected to post quarterly earnings of $0.38 per share in its upcoming report, which represents a year-over-year change of +1366.7%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Warner Music Group Corp.'s revenues are expected to be $1.8 billion, up 6.3% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report TKO Group Holdings, Inc. (TKO) : Free Stock Analysis Report Warner Music Group Corp. (WMG) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

The upcoming report from TKO Group Holdings (TKO) is expected to reveal quarterly earnings of $1.70 per share, indicating an increase of 45.3% compared to the year-ago period. Analysts forecast revenues of $1.53 billion, representing an increase of 17.3% year over year. Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted downward by 2.1% to its current level. This demonstrates the covering analysts' collective reassessment of their initial projections during this period. Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock. While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective. Given this perspective, it's time to examine the average forecasts of specific TKO Group metrics that are routinely monitored and predicted by Wall Street analysts. Analysts forecast 'Net Revenue- IMG' to reach $360.93 million. The estimate indicates a year-over-year change of +17.7%. According to the collective judgment of analysts, 'Net Revenue- WWE' should come in at $619.30 million. The estimate indicates a change of +11.3% from the prior-year quarter. Analysts' assessment points toward 'Net revenues- Corporate & Other' reaching $62.65 million. The estimate suggests a change of +40.5% year over year. It is projected by analysts that the 'Net Revenue- UFC' will reach $502.58 million. The estimate indicates a change of +20.8% from the prior-year quarter. The average prediction of analysts places 'Net Revenue- WWE- Media rights, production and content' at $330.53 million. The estimate indicates a year-over-year change of +18.5%. The consensus estimate for 'Net Revenue- WWE- Live events and hospitality' stands at $180.57 million. The estimate indicates a year-over-year change of -2.8%. Analysts expect 'Net Revenue- WWE- Partnerships and marketing' to come in at $72.64 million. The estimate points to a change of +24.6% from the year-ago quarter. Analysts predict that the 'Net Revenue- WWE- Consumer products licensing and other' will reach $34.65 million. The estimate suggests a change of +4.1% year over year. The collective assessment of analysts points to an estimated 'UFC - Numbered events' of 3 . The estimate compares to the year-ago value of 4 . The consensus among analysts is that 'UFC - Fight Nights' will reach 8 . Compared to the current estimate, the company reported 7 in the same quarter of the previous year. The combined assessment of analysts suggests that 'UFC - Total events' will likely reach 11 . Compared to the current estimate, the company reported 11 in the same quarter of the previous year. Based on the collective assessment of analysts, 'UFC - Location of events - United States' should arrive at 9 . Compared to the current estimate, the company reported 9 in the same quarter of the previous year. View all Key Company Metrics for TKO Group here>>> Shares of TKO Group have demonstrated returns of -7.6% over the past month compared to the Zacks S&P 500 composite's +1.9% change. With a Zacks Rank #3 (Hold), TKO is expected to mirror the overall market performance in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> . Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report TKO Group Holdings, Inc. (TKO) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Wall Street expects a year-over-year increase in earnings on higher revenues when TKO Group Holdings (TKO) reports results for the quarter ended June 2026. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates. The earnings report, which is expected to be released on August 3, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower. While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise. This producer of professional wrestling events and television shows is expected to post quarterly earnings of $1.70 per share in its upcoming report, which represents a year-over-year change of +45.3%. Revenues are expected to be $1.54 billion, up 17.6% from the year-ago quarter. The consensus EPS estimate for the quarter has been revised 2.13% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change. Price, Consensus and EPS Surprise Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core. The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only. A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP. Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). For TKO Group, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -17.01%. On the other hand, the stock currently carries a Zacks Rank of #3. So, this combination makes it difficult to conclusively predict that TKO Group will beat the consensus EPS estimate. Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number. For the last reported quarter, it was expected that TKO Group would post earnings of $0.91 per share when it actually produced earnings of $1.12, delivering a surprise of +23.08%. Over the last four quarters, the company has beaten consensus EPS estimates just once. An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss. That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. TKO Group doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release. Cinemark Holdings (CNK), another stock in the Zacks Film and Television Production and Distribution industry, is expected to report earnings per share of $0.99 for the quarter ended June 2026. This estimate points to a year-over-year change of +57.1%. Revenues for the quarter are expected to be $1.02 billion, up 8% from the year-ago quarter. The consensus EPS estimate for Cinemark has been revised 15.1% lower over the last 30 days to the current level. However, a higher Most Accurate Estimate has resulted in an Earnings ESP of +6.40%. When combined with a Zacks Rank of #3 (Hold), this Earnings ESP indicates that Cinemark will most likely beat the consensus EPS estimate. The company could not beat consensus EPS estimates in any of the last four quarters. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report TKO Group Holdings, Inc. (TKO) : Free Stock Analysis Report Cinemark Holdings Inc (CNK) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research