DEI_Document
DEI Document | 3 Months Ended | |
Mar. 31, 2015 | Apr. 29, 2015 | |
Class of Stock [Line Items] | ||
Entity Registrant Name | WORLD WRESTLING ENTERTAINMENTINC | |
Entity Central Index Key | 1091907 | |
Current Fiscal Year End Date | -19 | |
Entity Filer Category | Accelerated Filer | |
Trading Symbol | wwe | |
Document Type | 10-Q | |
Amendment Flag | FALSE | |
Document Period End Date | 31-Mar-15 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2015 | |
Common Class A [Member] | ||
Class of Stock [Line Items] | ||
Entity Common Stock, Shares Outstanding | 33,237,106 | |
Common Class B [Member] | ||
Class of Stock [Line Items] | ||
Entity Common Stock, Shares Outstanding | 42,298,437 |
Statement_of_Income
Statement of Income (USD $) | 3 Months Ended | |
Share data in Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Revenue, Net | $176,178,000 | $125,572,000 |
Cost of Revenue | 109,701,000 | 84,716,000 |
Selling, General and Administrative Expense | 45,431,000 | 48,028,000 |
Depreciation, Depletion and Amortization, Nonproduction | 5,913,000 | 5,008,000 |
Operating Income (Loss) | 15,133,000 | -12,180,000 |
Investment Income, Net | 203,000 | 264,000 |
Interest Expense | -541,000 | -475,000 |
Other Expenses | -341,000 | -74,000 |
Results of Operations, Income before Income Taxes | 14,454,000 | -12,465,000 |
Income Tax Expense (Benefit) | 4,681,000 | -4,429,000 |
Net Income (Loss) Attributable to Parent | 9,773,000 | -8,036,000 |
Earnings Per Share, Basic | $0.13 | ($0.11) |
Earnings Per Share, Diluted | $0.13 | ($0.11) |
Weighted Average Number of Shares Outstanding, Basic | 75,519 | 75,137 |
Weighted Average Number of Shares Outstanding, Diluted | 76,013 | 75,137 |
Dividends, Common Stock | $0.12 | $0.12 |
Statement_of_Income_Income_Sta
Statement of Income Income Statement (Parenthetical) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Income Statement [Abstract] | ||
Amortization and Impairment of Feature Film Production Assets | $710 | $1,437 |
Total Amortization and Impairment Included in Costs of Revenues | 8,532 | 4,435 |
Amortization of Television Production Assets | $6,843 | $2,831 |
Earnings Per Share, Diluted | $0.13 | ($0.11) |
Statement_of_Comprehensive_Inc
Statement of Comprehensive Income (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Tax | $111 | $35 |
Net Income (Loss) Attributable to Parent | 9,773 | -8,036 |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax, Portion Attributable to Parent | -122 | 9 |
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Net of Tax | 181 | 57 |
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI for Sale of Securities, before Tax | 0 | -2 |
Other Comprehensive Income (Loss), Net of Tax | 59 | 64 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | 9,832 | -7,972 |
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI for Sale of Securities, Tax | $0 | $1 |
Statement_of_Financial_Positio
Statement of Financial Position (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Cash and Cash Equivalents, at Carrying Value | $46,947 | $47,227 |
Short-term Investments | 66,701 | 68,186 |
Accounts Receivable, Net, Current | 54,884 | 40,088 |
Inventory, Net | 5,920 | 4,735 |
Deferred Income Tax Assets, Net | 22,445 | 24,120 |
Prepaid Expense and Other Assets, Current | 12,269 | 12,865 |
Assets, Current | 209,166 | 197,221 |
Property, Plant and Equipment, Net | 113,865 | 114,048 |
Direct-to-television Film Costs | 27,266 | 26,471 |
Television Production Assets | 2,398 | 5,832 |
Long-term Investments | 21,650 | |
Deferred Tax Assets, Net of Valuation Allowance, Noncurrent | 19,411 | 10,915 |
Other Assets, Noncurrent | 20,441 | 20,867 |
Assets | 414,197 | 382,554 |
Long-term Debt, Current Maturities | 4,368 | 4,345 |
Accounts Payable and Accrued Liabilities, Current | 75,903 | 57,578 |
Deferred Revenue, Current | 41,627 | 38,652 |
Liabilities, Current | 121,898 | 100,575 |
Long-term Debt, Excluding Current Maturities | 20,474 | 21,575 |
Deferred Tax Liabilities, Net, Noncurrent | 1,845 | 1,668 |
Deferred Revenue, Noncurrent | 60,445 | 52,875 |
Liabilities | 204,662 | 176,693 |
Additional Paid in Capital, Common Stock | 356,615 | 353,706 |
Accumulated Other Comprehensive Income (Loss), Net of Tax | 3,287 | 3,228 |
Retained Earnings (Accumulated Deficit) | -151,122 | -151,828 |
Stockholders' Equity Attributable to Parent | 209,535 | 205,861 |
Liabilities and Equity | 414,197 | 382,554 |
Common Class A [Member] | ||
Common Stock, Value, Issued | 332 | 332 |
Common Class B [Member] | ||
Common Stock, Value, Issued | $423 | $423 |
Statement_of_Financial_Positio1
Statement of Financial Position Parenthetical (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, except Share data, unless otherwise specified | ||
Allowance for Doubtful Accounts Receivable, Current | $9,611 | $7,726 |
Common Class A [Member] | ||
Common Stock, Par or Stated Value Per Share | $0.01 | $0.01 |
Common Stock, Shares Authorized | 180,000,000 | 180,000,000 |
Common Stock, Shares, Issued | 33,232,000 | 33,179,000 |
Common Stock, Shares, Outstanding | 33,232,000 | 33,179,000 |
Common Class B [Member] | ||
Common Stock, Par or Stated Value Per Share | $0.01 | $0.01 |
Common Stock, Shares Authorized | 60,000,000 | 60,000,000 |
Common Stock, Shares, Issued | 42,298,000 | 42,298,000 |
Common Stock, Shares, Outstanding | 42,298,000 | 42,298,000 |
Statement_of_Shareholders_Equi
Statement of Shareholders' Equity (USD $) | 3 Months Ended |
Share data in Thousands, unless otherwise specified | Mar. 31, 2015 |
Class of Stock [Line Items] | |
Net Income (Loss) Attributable to Parent | $9,773,000 |
Other Comprehensive Income (Loss), Net of Tax | 59,000 |
Additional Paid in Capital, Common Stock | 356,615,000 |
Accumulated Other Comprehensive Income (Loss), Net of Tax | 3,287,000 |
Retained Earnings (Accumulated Deficit) | -151,122,000 |
Stockholders' Equity Attributable to Parent | 209,535,000 |
Stock Issued During Period, Value, New Issues | 433,000 |
Adjustments to Additional Paid in Capital, Income Tax Benefit from Share-based Compensation | -6,000 |
Dividends, Common Stock | 0.12 |
Dividends, Common Stock, Cash | -9,064,000 |
Dividends Declared [Table Text Block] | -9064 |
Common Class A [Member] | |
Class of Stock [Line Items] | |
Common Stock, Shares, Outstanding | 33,232 |
Common Stock, Value, Issued | 332,000 |
Common Class B [Member] | |
Class of Stock [Line Items] | |
Common Stock, Shares, Outstanding | 42,298 |
Common Stock, Value, Issued | 423,000 |
Additional Paid-in Capital [Member] | |
Class of Stock [Line Items] | |
Stock Issued During Period, Value, New Issues | 433,000 |
Adjustments to Additional Paid in Capital, Income Tax Benefit from Share-based Compensation | -6,000 |
Dividends, Common Stock | 3,000 |
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition | 2,479,000 |
Retained Earnings [Member] | |
Class of Stock [Line Items] | |
Dividends, Common Stock, Cash | -9,067,000 |
Common Class A [Member] | |
Class of Stock [Line Items] | |
Common Stock, Value, Issued | $53,000 |
Statement_of_Cash_Flows
Statement of Cash Flows (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Net Income (Loss) Attributable to Parent | $9,773 | ($8,036) |
Amortization and Impairment of Feature Film Production Assets | 710 | 1,437 |
Amortization of Television Production Assets | 6,843 | 2,831 |
Depreciation, Depletion and Amortization | 6,892 | 5,008 |
Other Depreciation and Amortization | 501 | 517 |
Share-based Compensation | 2,479 | 3,130 |
Provision for Doubtful Accounts | 222 | -93 |
Deferred Income Tax Expense (Benefit) | -6,821 | 5,140 |
Adjustments, Noncash Items, to Reconcile Net Income (Loss) to Cash Provided by (Used in) Operating Activities | 40 | -12 |
Increase (Decrease) in Accounts Receivable | -15,140 | -7,709 |
Increase (Decrease) in Inventories | -1,185 | -1,529 |
Increase (Decrease) in Prepaid Expense and Other Assets | -499 | -11,065 |
Increase (Decrease) in Film Costs | -1,544 | -4,436 |
Increase (Decrease) in Television Production Costs | -3,409 | -5,229 |
Increase (Decrease) in Accounts Payable and Accrued Liabilities | 18,673 | -3,320 |
Increase (Decrease) in Deferred Revenue | -3,155 | 14,213 |
Net Cash Provided by (Used in) Operating Activities | 14,280 | -9,373 |
Payments to Acquire Property, Plant, and Equipment | -5,685 | -4,268 |
Proceeds from Infrastructure Incentives | 0 | 2,937 |
Payments for (Proceeds from) Short-term Investments | -4,621 | -2,511 |
Proceeds from Sale, Maturity and Collection of Investments | 6,090 | 12,808 |
Payments to Acquire Businesses and Interest in Affiliates | -650 | -2,000 |
Net Cash Provided by (Used in) Investing Activities | -4,866 | 6,966 |
Proceeds from Notes Payable | 0 | 364 |
Repayments of Long-term Debt | -1,078 | -882 |
Dividends, Common Stock, Cash | -9,064 | -9,018 |
Proceeds from Issuance of Common Stock | 454 | 389 |
Excess Tax Benefit from Share-based Compensation, Financing Activities | -6 | 43 |
Net Cash Provided by (Used in) Financing Activities | -9,694 | -9,104 |
Cash and Cash Equivalents, Period Increase (Decrease) | -280 | -11,511 |
Cash and Cash Equivalents, at Carrying Value | 46,947 | 21,400 |
Capital Expenditures Incurred but Not yet Paid | 1,151 | 632 |
Noncash or Part Noncash Acquisition, Value of Assets Acquired | $13,800 |
Note_1_Basis_of_Presentation
Note 1 - Basis of Presentation | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||||||
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | 1. Basis of Presentation and Business Description | |||||||
The accompanying consolidated financial statements include the accounts of WWE. “WWE” refers to World Wrestling Entertainment, Inc. and its subsidiaries, unless the context otherwise requires. References to “we,” “us,” “our” and the “Company” refer to WWE and its subsidiaries. We are an integrated media and entertainment company, principally engaged in the production and distribution of content through various channels, including our digital over-the-top WWE Network, television rights agreements, pay-per-view event programming, live events, feature films, licensing of various WWE themed products and the sale of consumer products featuring our brands. Our operations are organized around the following four principal activities: | ||||||||
Media Division: | ||||||||
Network | ||||||||
• | Revenues consist principally of subscriptions to WWE Network, fees for viewing our pay-per-view programming, and advertising fees. | |||||||
Television | ||||||||
• | Revenues consist principally of television rights fees and advertising. | |||||||
Home Entertainment | ||||||||
• | Revenues consist principally of sales of WWE produced content via home entertainment platforms, including DVD, Blu-Ray, and subscription outlets. | |||||||
Digital Media | ||||||||
• | Revenues consist principally of advertising sales on our websites and third party websites, including YouTube, and sales of various broadband and mobile content. | |||||||
Live Events | ||||||||
• | Revenues consist principally of ticket sales and travel packages for live events. | |||||||
Consumer Products Division: | ||||||||
Licensing | ||||||||
• | Revenues consist principally of royalties or license fees related to various WWE themed products such as video games, toys and apparel. | |||||||
Venue Merchandise | ||||||||
• | Revenues consist of sales of merchandise at our live events. | |||||||
WWEShop | ||||||||
• | Revenues consist of sales of merchandise on our websites, including through our WWEShop Internet storefront. | |||||||
WWE Studios | ||||||||
•Revenues consist of amounts earned from investing in, producing and/or distributing filmed entertainment. | ||||||||
1. Basis of Presentation and Business Description (continued) | ||||||||
Cost of Revenues | ||||||||
Included within Costs of revenues are the following: | ||||||||
For the three months ended March 31, | ||||||||
2015 | 2014 | |||||||
Amortization and impairment of feature film assets | $ | 710 | $ | 1,437 | ||||
Amortization of television production assets | 6,843 | 2,831 | ||||||
Amortization of Network content delivery and technology assets | 979 | 167 | ||||||
Total amortization and impairment included in costs of revenues | $ | 8,532 | $ | 4,435 | ||||
Within the Consolidated Statements of Cash Flows from operating activities, certain prior year amounts were reclassified to conform to the current period presentation. | ||||||||
The accompanying consolidated financial statements are unaudited. All adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation of financial position, results of operations and cash flows at the dates and for the periods presented have been included. The results of operations of any interim period are not necessarily indicative of the results of operations for the full year. Included in Corporate and Other are intersegment eliminations recorded in consolidation. All intercompany balances are eliminated in consolidation. | ||||||||
Under applicable authoritative guidance, a variable interest entity ("VIE") is a business entity in which there is a disproportionate relationship between the voting interest in the entity and the exposure to the economic risks and potential rewards of that entity. A company must consolidate a VIE if it is determined to be the primary beneficiary of the VIE and possesses both of the following attributes: (i) the power to direct the activities of the VIE that most significantly impact the VIE's economic performance, and (ii) the obligation to absorb the losses or the right to receive the benefits from the VIE that could potentially be significant to the VIE. | ||||||||
In March 2015, WWE and Authentic Brands Group ("ABG") formed a joint venture, Tapout LLC ("Tapout") to re-launch an apparel and lifestyle brand (the "Brand"). Under the terms of the agreement, WWE will provide certain promotional services, and ABG will provide intellectual property and services associated with the Brand. In exchange, both parties will hold a 50% interest, entitling it to 50% of the profits and losses and a 50% voting interest. Additionally, the agreement dictates that all significant activities must be approved by its board of managers, which the parties participate in equally, but do not control. Therefore, WWE does not have the unilateral ability to direct the activities of Tapout. | ||||||||
Based on our analysis, we have determined that Tapout should be classified as a VIE. However, because we do not satisfy the criteria to be considered the primary beneficiary of Tapout, we do not consolidate the entity. Instead, the investment in Tapout is accounted for under the equity method of accounting. See Note 8, Investment Securities and Short-Term Investments - Equity Method Investment, for further details regarding our investment. | ||||||||
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires our management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. | ||||||||
Certain information and note disclosures normally included in annual financial statements have been condensed or omitted from these interim financial statements; these financial statements should be read in conjunction with the financial statements and notes thereto included in our Form 10-K for the year ended December 31, 2014. | ||||||||
1. Basis of Presentation and Business Description (continued) | ||||||||
Recent Accounting Pronouncements | ||||||||
In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2014-09, "Revenue from Contracts with Customers (Topic 606)." This ASU will supersede the revenue recognition requirements in ASC 605, "Revenue Recognition," and most industry-specific guidance. The standard requires an entity to recognize revenue in an amount that reflects the consideration to which the entity expects to receive in exchange for goods or services. The guidance is effective for annual reporting periods beginning after December 15, 2016, with early adoption not permitted, making it effective for our fiscal year beginning January 1, 2017. At its April 1, 2015 meeting, the FASB voted to issue an exposure draft with a 30-day comment period that defers the effective date of the new revenue standard by one year. If the deferral passes a final vote, the guidance would be effective for our fiscal year beginning January 1, 2018. We are monitoring the FASB's decision on the proposed deferral and are currently evaluating the impact of adoption of this new standard on our consolidated financial statements. | ||||||||
In April 2015, the FASB issued Accounting Standards Update No. 2015-03, "Interest - Imputation of Interest." This ASU modified the presentation requirements of debt issuance costs for costs related to a recognized debt liability on the balance sheet. Companies are now required to present debt issuance costs as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. This standard is effective for financial statements issued for fiscal years beginning after December 31, 2015, and interim periods within those fiscal years, making it effective for our fiscal year beginning January 1, 2016. We are currently evaluating the impact of the adoption of this new standard on our consolidated financial statements. | ||||||||
In February 2015, the FASB issued Accounting Standards Update No. 2015-02, "Consolidation - Amendments to the Consolidation Analysis." This ASU modified the evaluation of whether certain limited partnerships and legal entities are variable interest entities, eliminated the presumption that the general partner should consolidate a limited partnership, affected the consolidation analysis of reporting entities that are involved with variable interest entities, and provided a scope exception from consolidation for entities with interests in legal entities that are similar to money market funds. This standard is effective for fiscal years beginning after December 15, 2016, and for interim periods within fiscal years beginning after December 15, 2017. This guidance is effective for our fiscal year beginning January 1, 2017 and for interim periods beginning January 1, 2018. We are currently evaluating the impact of the adoption of this new standard on our consolidated financial statements. | ||||||||
In August 2014, the FASB issued Accounting Standards Update No. 2014-15, "Presentation of Financial Statements - Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity's Ability to Continue as a Going Concern." This ASU requires that management evaluate and, if required, disclose conditions or events that raise substantial doubt about the entity's ability to continue as a going concern. The guidance is effective for the first annual period ending after December 15, 2016, and interim periods thereafter. The standard update is effective for our fiscal year beginning January 1, 2016. We are currently evaluating the impact of the adoption of this new standard and do not expect it to have a material impact on our consolidated financial statements. |
Note_2_Segment_Information
Note 2 - Segment Information | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Segment Information [Abstract] | |||||||||
Segment Reporting Disclosure [Text Block] | 2. Segment Information | ||||||||
The Company currently classifies its operations into ten reportable segments. The ten reportable segments of the Company include the following: Network (which includes our pay-per-view business), Television, Home Entertainment and Digital Media, which are individual segments that comprise the Media Division; Live Events; Licensing, Venue Merchandise, WWEShop, which are individual segments that comprise the Consumer Products Division; WWE Studios, and Corporate and Other (as defined below). | |||||||||
The Company presents OIBDA as the primary measure of segment profit (loss). The Company believes the presentation of OIBDA is relevant and useful for investors because it allows investors to view our segment performance in the same manner as the primary method used by management to evaluate segment performance and make decisions about allocating resources. The Company defines OIBDA as operating income before depreciation and amortization, excluding feature film and television production asset amortization and impairments, as well as the amortization of costs related to content delivery and technology assets utilized for our WWE Network. | |||||||||
2. Segment Information (continued) | |||||||||
We do not allocate certain costs included in OIBDA of our Corporate and Other segment to the other reportable segments. Corporate and Other expense primarily includes corporate overhead and certain expenses related to sales and marketing, including our international offices, and talent development functions, including costs associated with our WWE Performance Center. These costs benefit the Company as a whole and are therefore not allocated. Included in Corporate and Other are intersegment eliminations recorded in consolidation. | |||||||||
We do not disclose assets by segment information. In general, assets of the Company are leveraged across its reportable segments and we do not provide assets by segment information to our chief operating decision maker, as that information is not typically used in the determination of resource allocation and assessing business performance of each reportable segment. | |||||||||
The following tables present summarized financial information for each of the Company's reportable segments: | |||||||||
Three Months Ended | |||||||||
March 31, | March 31, | ||||||||
2015 | 2014 | ||||||||
Net revenues: | |||||||||
Network | $ | 37,559 | $ | 18,432 | |||||
Television | 58,188 | 40,587 | |||||||
Home Entertainment | 4,723 | 10,463 | |||||||
Digital Media | 4,345 | 6,687 | |||||||
Live Events | 39,287 | 21,666 | |||||||
Licensing | 16,463 | 14,080 | |||||||
Venue Merchandise | 8,431 | 4,979 | |||||||
WWEShop | 5,270 | 4,176 | |||||||
WWE Studios | 1,464 | 4,336 | |||||||
Corporate & Other | 448 | 166 | |||||||
Total net revenues | $ | 176,178 | $ | 125,572 | |||||
OIBDA: | |||||||||
Network | $ | (1,524 | ) | $ | (3,589 | ) | |||
Television | 25,934 | 10,874 | |||||||
Home Entertainment | 2,119 | 6,291 | |||||||
Digital Media | (129 | ) | (350 | ) | |||||
Live Events | 17,586 | 3,812 | |||||||
Licensing | 10,843 | 9,154 | |||||||
Venue Merchandise | 3,204 | 2,089 | |||||||
WWEShop | 1,104 | 654 | |||||||
WWE Studios | (367 | ) | 1,591 | ||||||
Corporate & Other | (37,724 | ) | (37,698 | ) | |||||
Total OIBDA | $ | 21,046 | $ | (7,172 | ) | ||||
2. Segment Information (continued) | |||||||||
Reconciliation of Total Operating Income (Loss) to Total OIBDA | |||||||||
Three Months Ended | |||||||||
March 31, | March 31, | ||||||||
2015 | 2014 | ||||||||
Total operating income (loss) | $ | 15,133 | $ | (12,180 | ) | ||||
Depreciation and amortization | 5,913 | 5,008 | |||||||
Total OIBDA | $ | 21,046 | $ | (7,172 | ) | ||||
Geographic Information | |||||||||
Net revenues by major geographic region are based upon the geographic location of where our content is distributed. The information below summarizes net revenues to unaffiliated customers by geographic area: | |||||||||
Three Months Ended | |||||||||
March 31, | March 31, | ||||||||
2015 | 2014 | ||||||||
North America | $ | 140,322 | $ | 101,718 | |||||
Europe/Middle East/Africa | 21,616 | 12,849 | |||||||
Asia Pacific | 11,992 | 8,990 | |||||||
Latin America | 2,248 | 2,015 | |||||||
Total net revenues | $ | 176,178 | $ | 125,572 | |||||
Revenues generated from the United Kingdom, our largest international market, totaled $12,212 and $7,072 for the three months ended March 31, 2015 and 2014, respectively. The Company’s property and equipment was almost entirely located in the United States at March 31, 2015 and 2014. |
Note_3_Earnings_Per_Share
Note 3 - Earnings Per Share | 3 Months Ended | |||||||||
Mar. 31, 2015 | ||||||||||
Earnings Per Share [Abstract] | ||||||||||
Earnings Per Share [Text Block] | 3. Earnings Per Share | |||||||||
For purposes of calculating basic and diluted earnings per share, we used the following weighted average common shares outstanding (in thousands): | ||||||||||
Three Months Ended | ||||||||||
31-Mar-15 | 31-Mar-14 | |||||||||
Net income (loss) | $ | 9,773 | $ | (8,036 | ) | |||||
Weighted- average basic common shares outstanding | 75,519 | 75,137 | ||||||||
Dilutive effect of restricted and performance stock units | 487 | — | (a) | |||||||
Dilutive effect of employee share purchase plan | 7 | — | (a) | |||||||
Weighted- average dilutive common shares outstanding | 76,013 | 75,137 | ||||||||
Earnings (loss) earnings per share: | ||||||||||
Basic and diluted | $ | 0.13 | $ | (0.11 | ) | |||||
Anti-dilutive outstanding restricted and performance stock units (excluded from per-share calculations) | — | 279 | ||||||||
(a) Due to a loss for the period, zero incremental shares are included because the effect would be antidilutive. |
Note_4_Stock_Based_Compensatio
Note 4 - Stock Based Compensation (Performance Shares [Member], USD $) | 3 Months Ended |
Mar. 31, 2015 | |
Performance Shares [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures and Expirations in Period | -25,030 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Net of Forfeitures | 1,000,146 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $14.01 |
Note_4_Stock_Based_Compensatio1
Note 4 - Stock Based Compensation Stock Based Compensation (Notes) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | . Stock-based Compensation | |||||||
Restricted Stock Units | ||||||||
The Company grants restricted stock units ("RSUs") to officers and employees under the 2007 Amended and Restated Omnibus Incentive Plan (the "2007 Plan"). Stock-based compensation costs associated with our RSUs are determined using the fair market value of the Company’s common stock on the date of the grant. These costs are recognized over the requisite service period using the graded vesting method, net of estimated forfeitures. RSUs have a service requirement typically over a three and one half year vesting schedule and vest in equal annual installments. We estimate forfeitures based on historical trends when recognizing compensation expense and adjust the estimate of forfeitures when they are expected to differ or as forfeitures occur. Unvested RSUs accrue dividend equivalents at the same rate as are paid on our shares of Class A common stock. The dividend equivalents are subject to the same vesting schedule as the underlying RSUs. | ||||||||
The following table summarizes the RSU activity during the three months ended March 31, 2015: | ||||||||
Units | Weighted-Average Grant-Date Fair Value | |||||||
Unvested at January 1, 2015 | 119,220 | $ | 20.39 | |||||
Granted | 211,624 | $ | 14.36 | |||||
Vested | (5,100 | ) | $ | 13.9 | ||||
Forfeited | (9,628 | ) | $ | 14.08 | ||||
Dividend equivalents | 2,226 | $ | 16.78 | |||||
Unvested at March 31, 2015 | 318,342 | $ | 16.64 | |||||
4. Stock-based Compensation (continued) | ||||||||
Performance Stock Units | ||||||||
Stock-based compensation costs associated with our performance stock units ("PSUs") are initially determined using the fair market value of the Company’s common stock on the date the awards are approved by our Compensation Committee (service inception date) and are granted under the 2007 Plan. The vesting of these PSUs are subject to certain performance conditions and a service requirement of three and one half years. Until such time as the performance conditions are met, stock compensation costs associated with these PSUs are re-measured each reporting period based upon the fair market value of the Company's common stock and the probability of attainment on the reporting date. The ultimate number of PSUs that are issued to an employee is the result of the actual performance of the Company at the end of the performance period compared to the performance conditions. Stock compensation costs for our PSUs are recognized over the requisite service period using the graded vesting method, net of estimated forfeitures. Unvested PSUs accrue dividend equivalents once the performance conditions are met at the same rate as are paid on our shares of Class A common stock. The dividend equivalents are subject to the same vesting schedule as the underlying PSUs. | ||||||||
During the quarter, the Compensation Committee approved agreements to grant PSUs to three executive management members for an aggregate value of $15,000. These awards vary from the typical PSU grant in that the awards vest in three annual tranches of 20%, 30% and 50%, compared to the typical 33%, 33%, 33% vesting schedule. These agreements provide for two $7,500 awards, the first with performance conditions tied to 2015 results, and the second with performance conditions tied to 2016 results. | ||||||||
The Company will begin expensing the second award of $7,500 concurrent with the first award beginning in February 2015. There are no units associated with this award in the table below as of March 31, 2015 since the targeted number of shares will be determined when the 2016 performance targets are determined (the targeted number of shares will be based on the $7,500 communicated value). For the three months ended March 31, 2015, we recorded $273 of stock compensation expense related to the second award. | ||||||||
The following table summarizes the PSU activity during the three months ended March 31, 2015: | ||||||||
Units | Weighted-Average Grant-Date Fair Value | |||||||
Unvested at January 1, 2015 | 733,768 | $ | 14.89 | |||||
Granted | 1,000,146 | $ | 14.01 | |||||
Achievement adjustment | 7,056 | $ | 14.36 | |||||
Vested | — | $ | — | |||||
Forfeited | (25,030 | ) | $ | 16.93 | ||||
Dividend equivalents | 5,339 | $ | 15.52 | |||||
Unvested at March 31, 2015 | 1,721,279 | $ | 14.64 | |||||
During the three months ended March 31, 2015, we granted 1,000,146 PSUs which are subject to certain performance conditions. | ||||||||
During the year ended December 31, 2014, we granted 278,281 PSUs which were subject to performance conditions. During the three months ended March 31, 2015, the performance conditions related to these PSUs were exceeded which resulted in an increase of 7,056 PSUs in 2015 relating to the initial 2014 PSU grant. | ||||||||
Stock-based compensation costs totaled $2,479 and $3,130 for the three months ended March 31, 2015 and 2014, respectively. | ||||||||
Schedule of Nonvested Performance-based Units Activity [Table Text Block] | The following table summarizes the PSU activity during the three months ended March 31, 2015: | |||||||
Units | Weighted-Average Grant-Date Fair Value | |||||||
Unvested at January 1, 2015 | 733,768 | $ | 14.89 | |||||
Granted | 1,000,146 | $ | 14.01 | |||||
Achievement adjustment | 7,056 | $ | 14.36 | |||||
Vested | — | $ | — | |||||
Forfeited | (25,030 | ) | $ | 16.93 | ||||
Dividend equivalents | 5,339 | $ | 15.52 | |||||
Unvested at March 31, 2015 | 1,721,279 | $ | 14.64 | |||||
Note_5_Property_and_Equipment
Note 5 - Property and Equipment | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Property and Equipment [Abstract] | |||||||||
Property, Plant and Equipment Disclosure [Text Block] | . Property and Equipment | ||||||||
Property and equipment consisted of the following: | |||||||||
As of | |||||||||
March 31, | December 31, | ||||||||
2015 | 2014 | ||||||||
Land, buildings and improvements | $ | 106,476 | $ | 106,058 | |||||
Equipment | 112,632 | 107,753 | |||||||
Corporate aircraft | 31,277 | 31,277 | |||||||
Vehicles | 244 | 244 | |||||||
250,629 | 245,332 | ||||||||
Less accumulated depreciation | (136,764 | ) | (131,284 | ) | |||||
Total | $ | 113,865 | $ | 114,048 | |||||
Depreciation expense for property and equipment totaled $5,493 and $4,607 for the three months ended March 31, 2015 and 2014, respectively. During the first quarter of 2014, the Company received tax credits relating to our infrastructure improvements in conjunction with capital projects to support our increased content production efforts. The credit was received in 2014 but related to assets placed in service in prior years. The credit was used to reduce the carrying value of the assets as of their in-service date, and consequently, an adjustment to depreciation expense of $1,202 was recorded in the prior year period to reflect the revised amount incurred to date. |
Note_6_Feature_Film_Production
Note 6 - Feature Film Production Assets | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Feature Film Production Assets [Abstract] | |||||||||
Feature Film Production Assets [Text Block] | . Feature Film Production Assets, Net | ||||||||
Feature film production assets consisted of the following: | |||||||||
As of | |||||||||
March 31, | December 31, | ||||||||
2015 | 2014 | ||||||||
In release | $ | 12,052 | $ | 12,063 | |||||
Completed but not released | 7,735 | 3,865 | |||||||
In production | 6,509 | 10,036 | |||||||
In development | 970 | 507 | |||||||
Total | $ | 27,266 | $ | 26,471 | |||||
Approximately 44% of “In release” film production assets are estimated to be amortized over the next 12 months, and approximately 72% of “In release” film production assets are estimated to be amortized over the next three years. We anticipate amortizing approximately 80% of our "In release" film production asset within four years as we receive revenues associated with television distribution of our licensed films. During the three months ended March 31, 2015 and 2014 we amortized $710 and $1,437, respectively, of feature film production assets. | |||||||||
During the three months ended March 31, 2015, we released one film direct to DVD, The Flintstones & WWE: Stone Age SmackDown, which comprises $889 of our "In release" feature film assets as of March 31, 2015. Third-party distributors control the distribution and marketing of co-distributed films, and as a result, we recognize revenue on a net basis after the third-party distributor recoups distribution fees and expenses and results are reported to us. Results are typically reported to us in periods subsequent to the initial release of the film. | |||||||||
Unamortized feature film production assets are evaluated for impairment each reporting period. We review and revise estimates of ultimate revenue and participation costs at each reporting period to reflect the most current information available. If estimates for a film’s ultimate revenue and/or costs are revised and indicate a significant decline in a film’s profitability or if events or | |||||||||
6. Feature Film Production Assets, Net (continued) | |||||||||
circumstances change that indicate we should assess whether the fair value of a film is less than its unamortized film costs, we calculate the film's estimated fair value using a discounted cash flows model. If fair value is less than unamortized cost, the film asset is written down to fair value. | |||||||||
We did not record any impairment charges during the three months ended March 31, 2015 and 2014 related to our feature films. | |||||||||
We currently have four theatrical films designated as "Completed but not released" and have four films "In production." We also have capitalized certain script development costs for various other film projects designated as “In development.” Capitalized script development costs are evaluated at each reporting period for impairment and to determine if a project is deemed to be abandoned. During the three months ended March 31, 2014, we expensed $135 related to previously capitalized development costs related to abandoned projects. We did not incur any comparable expense in the current year quarter. |
Note_7_Television_Production_A
Note 7 - Television Production Assets | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ||||||||
Television Production Assets [Text Block] | 7. Television Production Assets, Net | |||||||
Television production assets consisted of the following: | ||||||||
As of | ||||||||
March 31, 2015 | December 31, 2014 | |||||||
In release | $ | 467 | $ | 1,035 | ||||
Completed but not released | — | 1,259 | ||||||
In production | 1,931 | 3,538 | ||||||
Total | $ | 2,398 | $ | 5,832 | ||||
Television production assets consist primarily of episodic television content series we have produced for distribution through a variety of platforms including on our WWE Network. Amounts capitalized include development costs, production costs, production overhead and employee salaries. We have $2,398 and $5,832 capitalized as of March 31, 2015 and December 31, 2014, respectively, related to this type of programming. Costs to produce our live event programming are expensed when the event is first broadcast. Costs to produce episodic programming for television or distribution on WWE Network are amortized in the proportion that revenues bear to management's estimates of the ultimate revenue expected to be recognized from exploitation, exhibition or sale. During the three months ended March 31, 2015 and 2014, we amortized $6,843 and $2,831, respectively, of television production assets, of which $1,034 and $1,083 were related to Network programming, and $5,809 and $1,748 were related to Television programming, respectively. | ||||||||
Unamortized television production assets are evaluated for impairment each reporting period. If conditions indicate a potential impairment, and the estimated future cash flows are not sufficient to recover the unamortized asset, the asset is written down to fair value. In addition, if we determine that a program will not likely air, we will write-off the remaining unamortized asset. During the three months ended March 31, 2015 and 2014, we did not record any impairments related to our television production assets. |
Note_8_Investment_Securities_a
Note 8 - Investment Securities and Short-Term Investments | 3 Months Ended | |||||||||||||||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | ||||||||||||||||||||||||||||||||
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block] | . Investment Securities and Short-Term Investments | |||||||||||||||||||||||||||||||
Included in Investment Securities in our Consolidated Balance Sheets as of March 31, 2015 are $7,850 of cost method investments and $13,800 related to an equity method investment. As of December 31, 2014, Investment Securities included $7,200 in cost method investments. | ||||||||||||||||||||||||||||||||
Cost Method Investments: | ||||||||||||||||||||||||||||||||
WWE maintains several cost method investments. On March 14, 2014, the Company invested $2,000 in Series E Preferred Stock of a software application developer. On May 30, 2013, the Company made an investment of $2,200 in a live event touring | ||||||||||||||||||||||||||||||||
8. Investment Securities and Short-Term Investments (continued) | ||||||||||||||||||||||||||||||||
business. For the quarter ended March 31, 2015, we made additional investments of $135 and $515 in the software application developer and live event touring business, respectively. | ||||||||||||||||||||||||||||||||
No indicators of impairment were noted during the three months ended March 31, 2015 and 2014 for any of our cost method investments. | ||||||||||||||||||||||||||||||||
Equity Method Investment: | ||||||||||||||||||||||||||||||||
In March 2015, WWE entered into an agreement with ABG to form a joint venture, Tapout. ABG has agreed to contribute certain intangible assets for the Brand, licensing contracts, systems, and other administrative functions to Tapout. The Company has agreed to contribute promotional and marketing services related to the venture for a period of at least five years in exchange for a 50% interest in the profits and losses and voting interest in Tapout. The Company valued its initial investment based on the fair value of the existing licensing contracts contributed by ABG. Our interest on the inception date of the agreement was determined to be $13,800. As discussed in Note 1, Basis of Presentation and Business Description, although this investment is characterized as a variable interest entity, we do not meet the requirements of a having a controlling financial interest, and therefore, we do not consolidate our investment. Instead, we account for our interest in Tapout using the equity method of accounting. To the extent that Tapout records income or losses, we will record our share proportionate to our ownership percentage, and any dividends received would reduce the carrying amount of the investment. No indicators of impairment were noted during the three months ended March 31, 2015. | ||||||||||||||||||||||||||||||||
Classified within Investment Securities as of March 31, 2015 was $13,800 of assets related to our investment in Tapout. We also recorded a liability for the service obligation to Tapout, which is measured net of the services provided to date. As promotional services are provided to Tapout, we will record revenue and reduce the existing service obligation. The remaining service obligation as of March 31, 2015 was $13,700, and was included in Deferred Income and Non-Current Deferred Income for $2,660 and $11,040, respectively. | ||||||||||||||||||||||||||||||||
Our known maximum exposure to loss approximates the remaining service obligation to Tapout, which was $13,700 as of March 31, 2015. Future investment earnings could also increase our investment balance and the related exposure to loss. Creditors of Tapout do not have recourse against the general credit of the Company. | ||||||||||||||||||||||||||||||||
Short-Term Investments: | ||||||||||||||||||||||||||||||||
Short-term investments measured at fair value consisted of the following: | ||||||||||||||||||||||||||||||||
March 31, 2015 | December 31, 2014 | |||||||||||||||||||||||||||||||
Gross Unrealized | Gross Unrealized | |||||||||||||||||||||||||||||||
Amortized | Gain | (Loss) | Fair | Amortized | Gain | (Loss) | Fair | |||||||||||||||||||||||||
Cost | Value | Cost | Value | |||||||||||||||||||||||||||||
Municipal bonds | $ | 18,340 | $ | 41 | $ | (7 | ) | $ | 18,374 | $ | 19,962 | $ | 39 | $ | (9 | ) | $ | 19,992 | ||||||||||||||
Corporate bonds | 40,733 | 122 | (26 | ) | 40,829 | 43,388 | 20 | (199 | ) | 43,209 | ||||||||||||||||||||||
Government agency bonds | 7,500 | — | (2 | ) | 7,498 | 5,000 | — | (15 | ) | 4,985 | ||||||||||||||||||||||
Total | $ | 66,573 | $ | 163 | $ | (35 | ) | $ | 66,701 | $ | 68,350 | $ | 59 | $ | (223 | ) | $ | 68,186 | ||||||||||||||
We classify the investments listed in the above table as available-for-sale securities. Such investments consist primarily of corporate and municipal bonds, including pre-refunded municipal bonds. These investments are stated at fair value as required by the applicable accounting guidance. Unrealized gains and losses on such securities are reflected, net of tax, as other comprehensive (loss) income in the Consolidated Statements of Comprehensive Income. | ||||||||||||||||||||||||||||||||
8. Investment Securities and Short-Term Investments (continued) | ||||||||||||||||||||||||||||||||
Our municipal, corporate and government agency bonds are included in Short-term investments, net on our Consolidated Balance Sheets. Realized gains and losses on investments are included in earnings and are derived using the specific identification method for determining the cost of securities sold. As of March 31, 2015, contractual maturities of these bonds are as follows: | ||||||||||||||||||||||||||||||||
Maturities | ||||||||||||||||||||||||||||||||
Municipal bonds | 3 months - 4 years | |||||||||||||||||||||||||||||||
Corporate bonds | 4 months - 4 years | |||||||||||||||||||||||||||||||
Government agency bonds | 3 years - 4 years | |||||||||||||||||||||||||||||||
The following table summarizes the short-term investment activity: | ||||||||||||||||||||||||||||||||
Three Months Ended | ||||||||||||||||||||||||||||||||
March 31, | March 31, | |||||||||||||||||||||||||||||||
2015 | 2014 | |||||||||||||||||||||||||||||||
Proceeds from sale of short-term investments | $ | — | $ | 7,778 | ||||||||||||||||||||||||||||
Proceeds from maturities and calls of short-term investments | $ | 6,090 | $ | 5,030 | ||||||||||||||||||||||||||||
Purchases of short-term investments | $ | 4,621 | $ | 2,511 | ||||||||||||||||||||||||||||
Gross realized gains on sale of short-term investments | $ | — | $ | 3 | ||||||||||||||||||||||||||||
Note_9_Fair_Value_Measurement
Note 9 - Fair Value Measurement | 3 Months Ended | ||||||||||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||||||||||
Fair Value Measurement [Abstract] | |||||||||||||||||||||||||||||||||
Fair Value, Measurement Inputs, Disclosure [Text Block] | . Fair Value Measurement | ||||||||||||||||||||||||||||||||
Fair value is determined based on the exchange price that would be received to sell an asset or paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. Fair value is a market-based measurement based on assumptions that "market participants" would use to price the asset or liability. Accordingly, the framework considers markets or observable inputs as the preferred source of value followed by assumptions based on hypothetical transactions, in the absence of market inputs. The fair value should be calculated based on assumptions that market participants would use in pricing the asset or liability, not on assumptions specific to the entity. In addition, the fair value of assets and liabilities should include consideration of non-performance risk, including the Company's own credit risk. | |||||||||||||||||||||||||||||||||
Additionally, the accounting guidance establishes a three-level hierarchy that ranks the quality and reliability of information used in developing fair value estimates. The hierarchy gives the highest priority to quoted prices in active markets and the lowest priority to unobservable data. In cases where two or more levels of inputs are used to determine fair value, a financial instrument's level is determined based on the lowest level input that is considered significant to the fair value measurement in its entirety. The three levels of the fair value hierarchy are summarized as follows: | |||||||||||||||||||||||||||||||||
Level 1- | quoted prices in active markets for identical assets or liabilities; | ||||||||||||||||||||||||||||||||
Level 2- | quoted prices in active markets for similar assets and liabilities and inputs that are observable for the asset or liability; or | ||||||||||||||||||||||||||||||||
Level 3- | unobservable inputs, such as discounted cash flow models or valuations | ||||||||||||||||||||||||||||||||
9. Fair Value Measurement (continued) | |||||||||||||||||||||||||||||||||
The following assets are required to be measured at fair value on a recurring basis and the classification within the hierarchy was as follows: | |||||||||||||||||||||||||||||||||
Fair Value at March 31, 2015 | Fair Value at December 31, 2014 | ||||||||||||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | ||||||||||||||||||||||||||
Municipal bonds | $ | 18,374 | $ | — | $ | 18,374 | $ | — | $ | 19,992 | $ | — | $ | 19,992 | $ | — | |||||||||||||||||
Corporate bonds | 40,829 | — | 40,829 | — | 43,209 | — | 43,209 | — | |||||||||||||||||||||||||
Government agency bonds | 7,498 | — | 7,498 | — | 4,985 | — | 4,985 | — | |||||||||||||||||||||||||
Total | $ | 66,701 | $ | — | $ | 66,701 | $ | — | $ | 68,186 | $ | — | $ | 68,186 | $ | — | |||||||||||||||||
Certain financial instruments are carried at cost on the Consolidated Balance Sheets, which approximates fair value due to their short-term, highly liquid nature. The carrying amounts of cash and cash equivalents, money market accounts, accounts receivable and accounts payable approximate fair value because of the short-term nature of such instruments. | |||||||||||||||||||||||||||||||||
We have classified our investment in municipal, corporate and government agency bonds within Level 2, as their valuation requires quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active and/or model-based valuation techniques for which all significant inputs are observable in the market or can be corroborated by observable market data. The municipal, corporate and government agency bonds are valued based on model-driven valuations. A third party service provider assists the Company with compiling market prices from a variety of industry standard data sources, security master files from large financial institutions and other third-party sources that are used to value our municipal, and corporate and government agency bond investments. The Company did not have any transfers between Level 1, Level 2 and Level 3 fair value investments during the periods presented. | |||||||||||||||||||||||||||||||||
The fair value measurements of our cost method investments are classified within Level 3, as significant unobservable inputs are used to measure the fair value of these assets due to the absence of quoted market prices and inherent lack of liquidity. Significant unobservable inputs include variables such as near-term prospects of the investees, recent financing activities of the investees, and the investees' capital structure, as well as other economic variables, which reflect assumptions market participants would use in pricing these assets. Our investments are recorded at fair value only if an impairment charge is recognized. The Company did not record an impairment charge on these assets during the quarters ended March 31, 2015 and March 31, 2014. | |||||||||||||||||||||||||||||||||
The Company's long lived property and equipment, feature film and television production assets are required to be measured at fair value on a non-recurring basis if it is determined that indicators of impairment exist. These assets are recorded at fair value only when an impairment is recognized. During the three months ended March 31, 2015 and 2014, the Company did not record any impairment charges on these assets. The Company classifies these assets as Level 3 within the fair value hierarchy due to significant unobservable inputs. | |||||||||||||||||||||||||||||||||
The fair value of the Company’s long-term debt, consisting of a promissory note payable to Citizens Asset Finance, Inc., is estimated based upon quoted price estimates for similar debt arrangements. At March 31, 2015, the face amount of the note approximates its fair value. |
Note_10_Accounts_Payable_and_A
Note 10 - Accounts Payable and Accrued Expenses | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Payables and Accruals [Abstract] | |||||||||
Accounts Payable and Accrued Liabilities Disclosure [Text Block] | 10. Accounts Payable and Accrued Expenses | ||||||||
Accounts payable and accrued expenses consisted of the following: | |||||||||
As of | |||||||||
March 31, | December 31, | ||||||||
2015 | 2014 | ||||||||
Trade related | $ | 10,380 | $ | 6,721 | |||||
Staff related | 8,879 | 6,558 | |||||||
Management incentive compensation | 3,540 | 13,279 | |||||||
Talent related | 10,990 | 6,446 | |||||||
Accrued WWE Network related expenses | 4,921 | 5,155 | |||||||
Accrued event and television production | 12,032 | 5,612 | |||||||
Accrued home entertainment expenses | 799 | 953 | |||||||
Accrued legal and professional | 2,668 | 1,483 | |||||||
Accrued purchases of property and equipment and other assets | 1,151 | 1,452 | |||||||
Accrued film liability | 2,521 | 2,521 | |||||||
Accrued income taxes (a) | 8,771 | — | |||||||
Accrued other | 9,251 | 7,398 | |||||||
Total | $ | 75,903 | $ | 57,578 | |||||
(a) At December 31, 2014, income taxes had a refundable balance of $1,141 and was included in prepaid expenses and other current assets on our Consolidated Balance Sheets. | |||||||||
Accrued other includes accruals for our international and licensing business activities, as well as other miscellaneous accruals, none of which categories individually exceeds 5% of current liabilities. The increase in accrued expenses is primarily due to accruals for WrestleMania related expenses and the change in the Company's tax position, partially offset by the payout of our fiscal 2014 bonus. |
Note_11_Debt
Note 11 - Debt | 3 Months Ended |
Mar. 31, 2015 | |
Debt Disclosure [Abstract] | |
Debt Disclosure [Text Block] | 11. Debt |
Aircraft Financing | |
On August 7, 2013, the Company entered into a $31,568 promissory note (the “Note”) with Citizens Asset Finance, Inc., for the purchase of a 2007 Bombardier Global 5000 aircraft and refurbishments. The Note bears interest at a rate of 2.18% per annum, is payable in monthly installments of $406, inclusive of interest, beginning in September 2013 and has a final maturity of August 7, 2020. The Note is secured by a first priority perfected security interest in the purchased aircraft. As of March 31, 2015 and December 31, 2014, the amounts outstanding related to the Note were $24,842 and $25,920, respectively. | |
Revolving Credit Facility | |
In September 2011, the Company entered into a $200,000 senior unsecured revolving credit facility with a syndicated group of banks, with JPMorgan Chase acting as administrative agent. Applicable interest rates for the borrowings under the revolving credit facility are based on the Company's current consolidated leverage ratio. As of March 31, 2015, the LIBOR-based rate plus margin was 2.52%. The Company is required to pay a commitment fee calculated at a rate per annum of 0.375% on the average daily unused portion of the credit facility. Under the terms of the revolving credit facility, the Company is subject to certain financial covenants and restrictions, including restrictions on our ability to pay dividends and limitations with respect to our indebtedness, liens, mergers and acquisitions, dispositions of assets, investments, capital expenditures and transactions with affiliates. | |
11. Debt (continued) | |
During 2013 and 2014 the Company entered into amendments to the revolving credit facility whereby (i) the maturity date was extended to September 9, 2016, (ii) changes were made to the applicable margin for borrowings under the facility, and (iii) restrictions on certain financial covenants were amended to provide for greater financial flexibility. The amendments also included certain additional allowances for the Company to make investments in special film entities. | |
As of March 31, 2015, the Company was in compliance with the revolving credit facility, as amended, and had available debt capacity under the terms of the revolving credit facility of approximately $161,000. As of March 31, 2015 and December 31, 2014, there were no amounts outstanding under the credit facility. |
Note_12_Concentration_of_Credi
Note 12 - Concentration of Credit Risk | 3 Months Ended |
Mar. 31, 2015 | |
Risks and Uncertainties [Abstract] | |
Concentration Risk Disclosure [Text Block] | 12. Concentration of Credit Risk |
We continually monitor our position with, and the credit quality of, the financial institutions that are counterparties to our financial instruments. Our accounts receivable relate principally to a limited number of distributors, including our Network, television, pay-per-view and home video distributors and licensees that produce consumer products containing our intellectual property. We closely monitor the status of receivables with these customers and maintain allowances for anticipated losses as deemed appropriate. At March 31, 2015 and December 31, 2014, our largest single customers made up 25% and 14%, respectively, of our gross accounts receivable balance. No other customers individually exceeded 10% of our gross accounts receivable balance. |
Note_13_Income_Taxes
Note 13 - Income Taxes | 3 Months Ended |
Mar. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | 13. Income Taxes |
As of March 31, 2015, we had $22,445 of deferred tax assets, net, included in current assets and $19,411 included in non-current income tax assets in our Consolidated Balance Sheets. As of December 31, 2014, we had $24,120 of deferred tax assets, net, included in current assets and $10,915 included in non-current income tax assets in our Consolidated Balance Sheets. The increase in our deferred tax asset balance was driven by the recognition of taxable income associated with deferred income receipts. | |
The Company considers all available evidence, both positive and negative, to determine whether, based on the weight of that evidence, a valuation allowance is required to reduce the net deferred tax assets to the amount that is more likely than not to be realized in future periods. The Company believes that based on past performance, expected future taxable income and prudent and feasible tax planning strategies, it is more likely than not that the net deferred tax asset will be realized. Changes in these factors may cause us to increase our valuation allowance on deferred tax assets, which would impact our income tax expense in the period we determine that these factors have changed. |
Note_14_Film_and_Television_Pr
Note 14 - Film and Television Production Incentives | 3 Months Ended |
Mar. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Film and Television Production Incentives Disclosure [Text Block] | 14. Film and Television Production Incentives |
The Company has access to various governmental programs that are designed to promote film and television production within the United States of America and certain international jurisdictions. Incentives earned with respect to expenditures on qualifying film, television and other production activities, including qualifying capital projects, are included as an offset to the related asset or as an offset to production expenses when we have reasonable assurance regarding the realizable amount of the incentives. For the quarter ended March 31, 2015, we received $697 of incentives related to television production activities that was recorded as an offset to production expense. We did not receive any incentives during the three months ended March 31, 2015 relating to film production activities, or infrastructure improvements incentives on qualifying capital projects. | |
During the three months ended March 31, 2014, we received $3,080 for infrastructure improvement incentives relating to qualifying capital projects. Of this amount, $2,937 was recorded as a reduction in property and equipment. During the three months ended March 31, 2014, we did not receive any incentives relating to film or television production activities. |
Note_15_Commitments_and_Contin
Note 15 - Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | . Commitments and Contingencies |
Legal Proceedings | |
On February 18, 2015, a lawsuit was filed in Tennessee state court, entitled Cassandra Frazier, individually and as next of kin to her deceased husband, Nelson Lee Frazier, Jr., and as personal representative of the Estate of Nelson Lee Frazier, Jr. Deceased, v. World Wrestling Entertainment, Inc. The lawsuit alleges many of the same allegations as the purported class actions regarding alleged traumatic brain injuries and that these brain injuries contributed to Mr. Frazier’s fatal heart attack. WWE removed the lawsuit to the United States District Court for the Western District of Tennessee and then moved to transfer to the U.S. District Court for the District of Connecticut based on forum-selection clauses in the decedent’s contracts with WWE. The Company believes these claims are without merit and intends to vigorously defend itself against them. | |
On October 23, 2014, a lawsuit was filed in the United States District Court for the District of Oregon, entitled William Albert Haynes III, on behalf of himself and others similarly situated, v. World Wrestling Entertainment, Inc. This complaint was amended on January 30, 2015 and alleges that the Company ignored, downplayed, and/or failed to disclose the risks associated with traumatic brain injuries suffered by WWE’s performers. On March 31, 2015, the Company filed a motion to dismiss the first amended class action complaint in its entirety or, if not dismissed, to transfer the lawsuit to the U.S. District Court for the District of Connecticut. On January 16, 2015 a second lawsuit was filed in the United States District Court for the Eastern District of Pennsylvania, entitled Evan Singleton and Vito LoGrasso, individually and on behalf of all others similarly situated, v. World Wrestling Entertainment, Inc., alleging many of the same allegations as Haynes. On February 27, 2015, the Company moved to transfer venue to the U.S. District Court for the District of Connecticut due to forum-selection clauses in the contracts between WWE and the plaintiffs. By Order dated March 23, 2015, the court granted the Company’s motion to transfer venue. On April 9, 2015, a third lawsuit was filed in the United States District Court for the Central District of California, entitled Russ McCullough, a/k/a “Big Russ McCullough,” Ryan Sakoda, and Matthew R. Wiese a/k/a “Luther Reigns,” individually and on behalf of all others similarly situated, v. World Wrestling Entertainment, Inc., asserting similar allegations to Haynes. Each of these suits purports to be a class action and seeks unspecified actual, compensatory and punitive damages and injunctive relief, including ordering medical monitoring. The Company believes these claims are without merit and intends to vigorously defend itself against them. | |
On July 26, 2014, the Company received notice of a lawsuit filed in the United States District Court for the District of Connecticut, entitled Warren Ganues and Dominic Varriale, on behalf of themselves and all others similarly situated, v. World Wrestling Entertainment, Inc., Vincent K. McMahon and George A. Barrios, alleging violations of federal securities laws based on certain statements relating to the negotiation of WWE’s domestic television license. The complaint seeks certain unspecified damages. A nearly identical lawsuit was filed one month later entitled Curtis Swanson, on behalf of himself and all others similarly situated, v. World Wrestling Entertainment, Inc., Vincent K. McMahon and George A. Barrios. Both lawsuits are purported securities class actions subject to the Private Securities Litigation Reform Act of 1995 (“PSLRA”). On September 23-24, five putative plaintiffs filed motions to be appointed lead plaintiff and to consolidate the two cases pursuant to the PSLRA. Following a hearing on October 29, 2014, the Court issued an order dated November 5, 2014 appointing Mohsin Ansari as Lead Plaintiff and consolidating the two actions. On January 5, 2015, the Lead Plaintiff filed an amended complaint. Among other things, the amended complaint adds Stephanie McMahon Levesque and Michelle D. Wilson as named defendants. On March 6, 2015, the Company filed a motion to dismiss the amended complaint in its entirety. The Company believes the claims are without merit and intends to vigorously defend itself against them. | |
In addition to the foregoing, we are involved in several other suits and claims that we consider to be in the ordinary course of our business. By its nature, the outcome of litigation is not known but the Company does not currently expect its pending litigation to have a material adverse effect on our financial condition, results of operations or liquidity. We may from time to time become a party to other legal proceedings. |
Note_1_Basis_of_Presentation_T
Note 1 - Basis of Presentation (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Amortization and Impairments Included In Cost of Revenues [Abstract] | ||||||||
Amortization and Impairments Included In Cost of Revenue [Table Text Block] | Cost of Revenues | |||||||
Included within Costs of revenues are the following: | ||||||||
For the three months ended March 31, | ||||||||
2015 | 2014 | |||||||
Amortization and impairment of feature film assets | $ | 710 | $ | 1,437 | ||||
Amortization of television production assets | 6,843 | 2,831 | ||||||
Amortization of Network content delivery and technology assets | 979 | 167 | ||||||
Total amortization and impairment included in costs of revenues | $ | 8,532 | $ | 4,435 | ||||
Note_2_Segment_Information_Tab
Note 2 - Segment Information (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Schedule of Net Revenue by Segment [Line Items] | |||||||||
Schedule of Net Revenue by Segment [Table Text Block] | The following tables present summarized financial information for each of the Company's reportable segments: | ||||||||
Three Months Ended | |||||||||
March 31, | March 31, | ||||||||
2015 | 2014 | ||||||||
Net revenues: | |||||||||
Network | $ | 37,559 | $ | 18,432 | |||||
Television | 58,188 | 40,587 | |||||||
Home Entertainment | 4,723 | 10,463 | |||||||
Digital Media | 4,345 | 6,687 | |||||||
Live Events | 39,287 | 21,666 | |||||||
Licensing | 16,463 | 14,080 | |||||||
Venue Merchandise | 8,431 | 4,979 | |||||||
WWEShop | 5,270 | 4,176 | |||||||
WWE Studios | 1,464 | 4,336 | |||||||
Corporate & Other | 448 | 166 | |||||||
Total net revenues | $ | 176,178 | $ | 125,572 | |||||
OIBDA: | |||||||||
Network | $ | (1,524 | ) | $ | (3,589 | ) | |||
Television | 25,934 | 10,874 | |||||||
Home Entertainment | 2,119 | 6,291 | |||||||
Digital Media | (129 | ) | (350 | ) | |||||
Live Events | 17,586 | 3,812 | |||||||
Licensing | 10,843 | 9,154 | |||||||
Venue Merchandise | 3,204 | 2,089 | |||||||
WWEShop | 1,104 | 654 | |||||||
WWE Studios | (367 | ) | 1,591 | ||||||
Corporate & Other | (37,724 | ) | (37,698 | ) | |||||
Total OIBDA | $ | 21,046 | $ | (7,172 | ) | ||||
Reconciliation of Net Income to OIBDA [Table Text Block] | Reconciliation of Total Operating Income (Loss) to Total OIBDA | ||||||||
Three Months Ended | |||||||||
March 31, | March 31, | ||||||||
2015 | 2014 | ||||||||
Total operating income (loss) | $ | 15,133 | $ | (12,180 | ) | ||||
Depreciation and amortization | 5,913 | 5,008 | |||||||
Total OIBDA | $ | 21,046 | $ | (7,172 | ) | ||||
Schedule of Net Revenues by Geography [Table Text Block] | Geographic Information | ||||||||
Net revenues by major geographic region are based upon the geographic location of where our content is distributed. The information below summarizes net revenues to unaffiliated customers by geographic area: | |||||||||
Three Months Ended | |||||||||
March 31, | March 31, | ||||||||
2015 | 2014 | ||||||||
North America | $ | 140,322 | $ | 101,718 | |||||
Europe/Middle East/Africa | 21,616 | 12,849 | |||||||
Asia Pacific | 11,992 | 8,990 | |||||||
Latin America | 2,248 | 2,015 | |||||||
Total net revenues | $ | 176,178 | $ | 125,572 | |||||
Revenues generated from the United Kingdom, our largest international market, totaled $12,212 and $7,072 for the three months ended March 31, 2015 and 2014, respectively. The Company’s property and equipment was almost entirely located in the United States at March 31, 2015 and 2014. |
Note_3_Earnings_Per_Share_Tabl
Note 3 - Earnings Per Share (Tables) | 3 Months Ended | |||||||||
Mar. 31, 2015 | ||||||||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||||||||||
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | ||||||||||
Three Months Ended | ||||||||||
31-Mar-15 | 31-Mar-14 | |||||||||
Net income (loss) | $ | 9,773 | $ | (8,036 | ) | |||||
Weighted- average basic common shares outstanding | 75,519 | 75,137 | ||||||||
Dilutive effect of restricted and performance stock units | 487 | — | (a) | |||||||
Dilutive effect of employee share purchase plan | 7 | — | (a) | |||||||
Weighted- average dilutive common shares outstanding | 76,013 | 75,137 | ||||||||
Earnings (loss) earnings per share: | ||||||||||
Basic and diluted | $ | 0.13 | $ | (0.11 | ) | |||||
Anti-dilutive outstanding restricted and performance stock units (excluded from per-share calculations) | — | 279 | ||||||||
Note_4_Stock_Based_Compensatio2
Note 4 - Stock Based Compensation (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Stock Based Compensation [Abstract] | ||||||||
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity [Table Text Block] | The following table summarizes the RSU activity during the three months ended March 31, 2015: | |||||||
Units | Weighted-Average Grant-Date Fair Value | |||||||
Unvested at January 1, 2015 | 119,220 | $ | 20.39 | |||||
Granted | 211,624 | $ | 14.36 | |||||
Vested | (5,100 | ) | $ | 13.9 | ||||
Forfeited | (9,628 | ) | $ | 14.08 | ||||
Dividend equivalents | 2,226 | $ | 16.78 | |||||
Unvested at March 31, 2015 | 318,342 | $ | 16.64 | |||||
Note_5_Property_and_Equipment_
Note 5 - Property and Equipment (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Property, Plant and Equipment [Line Items] | |||||||||
Property, Plant and Equipment [Table Text Block] | |||||||||
As of | |||||||||
March 31, | December 31, | ||||||||
2015 | 2014 | ||||||||
Land, buildings and improvements | $ | 106,476 | $ | 106,058 | |||||
Equipment | 112,632 | 107,753 | |||||||
Corporate aircraft | 31,277 | 31,277 | |||||||
Vehicles | 244 | 244 | |||||||
250,629 | 245,332 | ||||||||
Less accumulated depreciation | (136,764 | ) | (131,284 | ) | |||||
Total | $ | 113,865 | $ | 114,048 | |||||
Note_6_Feature_Film_Production1
Note 6 - Feature Film Production Assets (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Feature Film Production Assets [Abstract] | |||||||||
Feature Film Production Assets [Table Text Block] | |||||||||
As of | |||||||||
March 31, | December 31, | ||||||||
2015 | 2014 | ||||||||
In release | $ | 12,052 | $ | 12,063 | |||||
Completed but not released | 7,735 | 3,865 | |||||||
In production | 6,509 | 10,036 | |||||||
In development | 970 | 507 | |||||||
Total | $ | 27,266 | $ | 26,471 | |||||
Note_7_Television_Production_A1
Note 7 - Television Production Assets (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Schedule of Television Production Assets [Abstract] | ||||||||
Schedule of Television Production Assets [Table Text Block] | Television production assets consisted of the following: | |||||||
As of | ||||||||
March 31, 2015 | December 31, 2014 | |||||||
In release | $ | 467 | $ | 1,035 | ||||
Completed but not released | — | 1,259 | ||||||
In production | 1,931 | 3,538 | ||||||
Total | $ | 2,398 | $ | 5,832 | ||||
Note_8_Investment_Securities_a1
Note 8 - Investment Securities and Short-Term Investments (Tables) | 3 Months Ended | |||||||||||||||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||||||||||||||
Investment Securities and Short-Term Investments [Abstract] | ||||||||||||||||||||||||||||||||
Schedule of Available-for-sale Securities Reconciliation [Table Text Block] | ||||||||||||||||||||||||||||||||
March 31, 2015 | December 31, 2014 | |||||||||||||||||||||||||||||||
Gross Unrealized | Gross Unrealized | |||||||||||||||||||||||||||||||
Amortized | Gain | (Loss) | Fair | Amortized | Gain | (Loss) | Fair | |||||||||||||||||||||||||
Cost | Value | Cost | Value | |||||||||||||||||||||||||||||
Municipal bonds | $ | 18,340 | $ | 41 | $ | (7 | ) | $ | 18,374 | $ | 19,962 | $ | 39 | $ | (9 | ) | $ | 19,992 | ||||||||||||||
Corporate bonds | 40,733 | 122 | (26 | ) | 40,829 | 43,388 | 20 | (199 | ) | 43,209 | ||||||||||||||||||||||
Government agency bonds | 7,500 | — | (2 | ) | 7,498 | 5,000 | — | (15 | ) | 4,985 | ||||||||||||||||||||||
Total | $ | 66,573 | $ | 163 | $ | (35 | ) | $ | 66,701 | $ | 68,350 | $ | 59 | $ | (223 | ) | $ | 68,186 | ||||||||||||||
Schedule of Available-for-sale Securities [Line Items] | ||||||||||||||||||||||||||||||||
Contractual Obligation, Fiscal Year Maturity Schedule [Table Text Block] | ||||||||||||||||||||||||||||||||
Maturities | ||||||||||||||||||||||||||||||||
Municipal bonds | 3 months - 4 years | |||||||||||||||||||||||||||||||
Corporate bonds | 4 months - 4 years | |||||||||||||||||||||||||||||||
Government agency bonds | 3 years - 4 years | |||||||||||||||||||||||||||||||
Available-for-sale Securities [Table Text Block] | The following table summarizes the short-term investment activity: | |||||||||||||||||||||||||||||||
Three Months Ended | ||||||||||||||||||||||||||||||||
March 31, | March 31, | |||||||||||||||||||||||||||||||
2015 | 2014 | |||||||||||||||||||||||||||||||
Proceeds from sale of short-term investments | $ | — | $ | 7,778 | ||||||||||||||||||||||||||||
Proceeds from maturities and calls of short-term investments | $ | 6,090 | $ | 5,030 | ||||||||||||||||||||||||||||
Purchases of short-term investments | $ | 4,621 | $ | 2,511 | ||||||||||||||||||||||||||||
Gross realized gains on sale of short-term investments | $ | — | $ | 3 | ||||||||||||||||||||||||||||
Note_9_Fair_Value_Measurement_
Note 9 - Fair Value Measurement (Tables) | 3 Months Ended | ||||||||||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||||||||||||||||||||||||
Fair Value Inputs, Assets, Quantitative Information [Table Text Block] | |||||||||||||||||||||||||||||||||
Fair Value at March 31, 2015 | Fair Value at December 31, 2014 | ||||||||||||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | ||||||||||||||||||||||||||
Municipal bonds | $ | 18,374 | $ | — | $ | 18,374 | $ | — | $ | 19,992 | $ | — | $ | 19,992 | $ | — | |||||||||||||||||
Corporate bonds | 40,829 | — | 40,829 | — | 43,209 | — | 43,209 | — | |||||||||||||||||||||||||
Government agency bonds | 7,498 | — | 7,498 | — | 4,985 | — | 4,985 | — | |||||||||||||||||||||||||
Total | $ | 66,701 | $ | — | $ | 66,701 | $ | — | $ | 68,186 | $ | — | $ | 68,186 | $ | — | |||||||||||||||||
Note_10_Accounts_Payable_and_A1
Note 10 - Accounts Payable and Accrued Expenses (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Schedule of Accrued Liabilities [Line Items] | |||||||||
Schedule of Accrued Liabilities [Table Text Block] | |||||||||
As of | |||||||||
March 31, | December 31, | ||||||||
2015 | 2014 | ||||||||
Trade related | $ | 10,380 | $ | 6,721 | |||||
Staff related | 8,879 | 6,558 | |||||||
Management incentive compensation | 3,540 | 13,279 | |||||||
Talent related | 10,990 | 6,446 | |||||||
Accrued WWE Network related expenses | 4,921 | 5,155 | |||||||
Accrued event and television production | 12,032 | 5,612 | |||||||
Accrued home entertainment expenses | 799 | 953 | |||||||
Accrued legal and professional | 2,668 | 1,483 | |||||||
Accrued purchases of property and equipment and other assets | 1,151 | 1,452 | |||||||
Accrued film liability | 2,521 | 2,521 | |||||||
Accrued income taxes (a) | 8,771 | — | |||||||
Accrued other | 9,251 | 7,398 | |||||||
Total | $ | 75,903 | $ | 57,578 | |||||
Note_1_Basis_of_Presentation_C
Note 1 - Basis of Presentation Cost of Revenues (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Cost of Revenues [Line Items] | ||
Amortization of Television Production Assets | $6,843 | $2,831 |
Amortization and Impairment of Feature Film Production Assets | 710 | 1,437 |
Total Amortization and Impairment Included in Costs of Revenues | $8,532 | $4,435 |
Note_2_Segment_Information_Det
Note 2 - Segment Information (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Segment Reporting Information [Line Items] | ||
Document Period End Date | 31-Mar-15 | |
Revenue, Net | $176,178 | $125,572 |
Operating Income Before Depreciation & Amortization (OIBDA) | 21,046 | -7,172 |
Network [Domain] | ||
Segment Reporting Information [Line Items] | ||
Revenue, Net | 37,559 | 18,432 |
Operating Income Before Depreciation & Amortization (OIBDA) | -1,524 | -3,589 |
Television [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue, Net | 58,188 | 40,587 |
Operating Income Before Depreciation & Amortization (OIBDA) | 25,934 | 10,874 |
Home Entertainment [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue, Net | 4,723 | 10,463 |
Operating Income Before Depreciation & Amortization (OIBDA) | 2,119 | 6,291 |
Digital Media [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue, Net | 4,345 | 6,687 |
Operating Income Before Depreciation & Amortization (OIBDA) | -129 | -350 |
Live Events [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue, Net | 39,287 | 21,666 |
Operating Income Before Depreciation & Amortization (OIBDA) | 17,586 | 3,812 |
Licensing [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue, Net | 16,463 | 14,080 |
Operating Income Before Depreciation & Amortization (OIBDA) | 10,843 | 9,154 |
Venue Merchandise [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue, Net | 8,431 | 4,979 |
Operating Income Before Depreciation & Amortization (OIBDA) | 3,204 | 2,089 |
WWE Shop [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue, Net | 5,270 | 4,176 |
Operating Income Before Depreciation & Amortization (OIBDA) | 1,104 | 654 |
WWE Studios [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue, Net | 1,464 | 4,336 |
Operating Income Before Depreciation & Amortization (OIBDA) | -367 | 1,591 |
Corporate and Other [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue, Net | 448 | 166 |
Operating Income Before Depreciation & Amortization (OIBDA) | ($37,724) | ($37,698) |
Note_2_Segment_Information_Rec
Note 2 - Segment Information Reconciliation of OIBDA to Operating Income (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||
Operating Income (Loss) | $15,133 | ($12,180) |
Depreciation, Depletion and Amortization, Nonproduction | 5,913 | 5,008 |
Operating Income Before Depreciation & Amortization (OIBDA) | $21,046 | ($7,172) |
Note_2_Segment_Information_Net
Note 2 - Segment Information Net Revenues by Geographic Region (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Schedule of Net Revenues by Geography [Line Items] | ||
Document Period End Date | 31-Mar-15 | |
Revenue, Net | $176,178 | $125,572 |
UNITED KINGDOM | ||
Schedule of Net Revenues by Geography [Line Items] | ||
Revenue, Net | 12,212 | 7,072 |
North America [Member] | ||
Schedule of Net Revenues by Geography [Line Items] | ||
Revenue, Net | 140,322 | 101,718 |
EMEA [Member] | ||
Schedule of Net Revenues by Geography [Line Items] | ||
Revenue, Net | 21,616 | 12,849 |
Asia Pacific [Member] | ||
Schedule of Net Revenues by Geography [Line Items] | ||
Revenue, Net | 11,992 | 8,990 |
Latin America [Member] | ||
Schedule of Net Revenues by Geography [Line Items] | ||
Revenue, Net | $2,248 | $2,015 |
Note_3_Earnings_Per_Share_EPS_
Note 3 - Earnings Per Share EPS Table (Details) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||
Net Income (Loss) Attributable to Parent | $9,773 | ($8,036) |
Weighted Average Number of Shares Outstanding, Basic | 75,519 | 75,137 |
Weighted Average Number of Shares Outstanding, Diluted | 76,013 | 75,137 |
Earnings Per Share, Basic | $0.13 | ($0.11) |
Earnings Per Share, Diluted | $0.13 | ($0.11) |
Note_4_Stock_Based_Compensatio3
Note 4 - Stock Based Compensation Stock Based Compensation - RSUs (Details) (Restricted Stock Units (RSUs) [Member], USD $) | 3 Months Ended |
Mar. 31, 2015 | |
Restricted Stock Units (RSUs) [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Net of Forfeitures | 211,624 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $14.36 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures and Expirations in Period | -9,628 |
Note_4_Stock_Based_Compensatio4
Note 4 - Stock Based Compensation Stock Based Compensation - PSUs (Details) (Performance Shares [Member]) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Performance Shares [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock Issued During Period, Shares, Other | 1,000,146 | 278,281 |
Note_4_Stock_Based_Compensatio5
Note 4 - Stock Based Compensation PSU Grants (Details) (USD $) | 3 Months Ended | 12 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Executive PSU Award, Total Value | $15,000 | ||
Executive PSU Award, Per Year Value | 7,500 | ||
Executive PSU Award, First Year Value | 7,500 | ||
Executive PSU Award, Current Period Expense | 273 | ||
Executive PSU Award, Second Year Value | 7,500 | ||
Share-based Compensation | $2,479 | $3,130 | |
Performance Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock Issued During Period, Shares, Other | 1,000,146 | 278,281 |
Note_5_Property_and_Equipment_1
Note 5 - Property and Equipment (Details) (USD $) | 3 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 |
Property and Equipment [Abstract] | |||
Depreciation | $5,493 | $4,607 | |
Infrastructure Credit, Depreciation Expense | $1,202 |
Note_5_Property_and_Equipment_2
Note 5 - Property and Equipment Property and Equipment Table (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ||
Machinery and Equipment, Gross | $112,632 | $107,753 |
Property, Plant and Equipment, Gross | 250,629 | 245,332 |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | -136,764 | -131,284 |
Property, Plant and Equipment, Net | $113,865 | $114,048 |
Note_6_Feature_Film_Production2
Note 6 - Feature Film Production Assets (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Feature Film Production Assets [Line Items] | ||
The Flintstones & WWE: Stone Age Smackdown, Asset | $889 | |
Theatrical Film Costs, Released | 12,052 | 12,063 |
Theatrical Film Costs, Completed and Not Released | 7,735 | 3,865 |
Theatrical Film Costs, Production | 6,509 | 10,036 |
Theatrical Film Costs, Development | 970 | 507 |
Direct-to-television Film Costs | $27,266 | $26,471 |
Note_6_Feature_Film_Production3
Note 6 - Feature Film Production Assets Feature Film Production Assets (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Cost of Theatrical Film Development | $135 | |
Future Amortization Expense, Percentage, One Through Three Years | 72.00% |
Note_6_Feature_Film_Production4
Note 6 - Feature Film Production Assets Percentage of Films to be Amortized (Details) | 3 Months Ended |
Mar. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Future Amortization Expense, Percentage, Within Twelve Months | 44.00% |
Future Amortization Expense, Percentage, One Through Three Years | 72.00% |
Future Amortization Expense, Percentage, One Through Four Years | 80.00% |
Note_7_Television_Production_A2
Note 7 - Television Production Assets (Details) (USD $) | 3 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 |
Schedule of Television Production Assets [Line Items] | |||
Television Production Assets | $2,398 | $5,832 | |
Amortization of Television Production Assets | 6,843 | 2,831 | |
Network [Member] | |||
Schedule of Television Production Assets [Line Items] | |||
Amortization | 1,034 | 1,083 | |
Television Production Assets [Member] | Television Programming [Member] | |||
Schedule of Television Production Assets [Line Items] | |||
Amortization | $5,809 | $1,748 |
Note_7_Television_Production_A3
Note 7 - Television Production Assets Television Production Assets Table (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Schedule of Television Production Assets [Line Items] | ||
Direct-to-television Film Costs, Released | $467 | $1,035 |
Direct-to-television Film Costs, Completed and Not Released | 0 | 1,259 |
Direct-to-television Film Costs, Production | 1,931 | 3,538 |
Television Production Assets | $2,398 | $5,832 |
Note_8_Investment_Securities_a2
Note 8 - Investment Securities and Short-Term Investments Short Term Investments Fair Value (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Debt Securities, Amortized Cost Basis | $66,573,000 | $68,350,000 |
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax | 163,000 | 59,000 |
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax | -35,000 | -223,000 |
Available-for-sale Securities, Debt Securities | 66,701,000 | 68,186,000 |
Municipal Bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Debt Securities, Amortized Cost Basis | 18,340,000 | 19,962,000 |
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax | 41,000 | 39,000 |
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax | -7,000 | -9,000 |
Available-for-sale Securities, Debt Securities | 18,374,000 | 19,992,000 |
Corporate Bond Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Debt Securities, Amortized Cost Basis | 40,733,000 | 43,388,000 |
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax | 122,000 | 20,000 |
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax | -26,000 | -199,000 |
Available-for-sale Securities, Debt Securities | 40,829,000 | 43,209,000 |
US Government Agencies Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Debt Securities, Amortized Cost Basis | 5,000,000 | |
Available-for-sale Securities, Accumulated Gross Unrealized Gain, before Tax | 0 | |
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax | -15,000 | |
Available-for-sale Securities, Debt Securities | $4,985,000 |
Note_8_Investment_Securities_a3
Note 8 - Investment Securities and Short-Term Investments (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Investment [Line Items] | ||
Deferred Revenue, Noncurrent | $60,445 | $52,875 |
Deferred Revenue, Current | 41,627 | 38,652 |
Cost Method Investments | 7,850 | 7,200 |
Equity Method Investments | 13,800 | |
Long-term Debt | 24,842 | 25,920 |
Long-term Investments | 21,650 | |
Cost Method Investment, Software Application Developer [Member] | ||
Investment [Line Items] | ||
Cost Method Investments | 2,000 | |
Cost Method Investment, Additional Investment | 135 | |
Cost Method Investment, Live Event Touring Business [Member] | ||
Investment [Line Items] | ||
Cost Method Investments | 2,200 | |
Cost Method Investment, Additional Investment | 515 | |
Deferred Revenue, Tapout Service Obligation [Member] | ||
Investment [Line Items] | ||
Deferred Revenue, Noncurrent | 11,040 | |
Deferred Revenue | 13,700 | |
Deferred Revenue, Current | $2,660 |
Note_8_Investment_Securities_a4
Note 8 - Investment Securities and Short-Term Investments Debt Security Maturity Table (Details) | 3 Months Ended |
Mar. 31, 2015 | |
Municipal Bonds [Member] | |
Short-term Debt [Line Items] | |
Maximum Period Contractual Maturities of Debt Investments | 4 |
Short-term Investments | 3 |
Corporate Debt Securities [Member] | |
Short-term Debt [Line Items] | |
Maximum Period Contractual Maturities of Debt Investments | 4 |
Short-term Investments | 4 |
US Government Agencies Debt Securities [Member] | |
Short-term Debt [Line Items] | |
Maximum Period Contractual Maturities of Debt Investments | 4 |
Short-term Investments | 2 |
Note_8_Investment_Securities_a5
Note 8 - Investment Securities and Short-Term Investments Short-Term Investment Activity (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Investments, Debt and Equity Securities [Abstract] | ||
Proceeds from Sale of Available-for-sale Securities, Debt | $0 | $7,778 |
Proceeds from Maturities, Prepayments and Calls of Available-for-sale Securities | 6,090 | 5,030 |
Payments to Acquire Short-term Investments | -4,621 | -2,511 |
Available-for-sale Securities, Gross Realized Gain (Loss) | $0 | $3 |
Note_9_Fair_Value_Measurement_1
Note 9 - Fair Value Measurement Fair Value Leveling Table (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term Investments | $66,701 | $68,186 |
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 66,701 | 68,186 |
Municipal Bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 18,374 | 19,992 |
Municipal Bonds [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 18,374 | 19,992 |
Corporate Debt Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 40,829 | 43,209 |
Corporate Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 40,829 | 43,209 |
US Government Agencies Debt Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities | 7,498 | 4,985 |
US Government Agencies Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial Instruments, Owned, US Government and Agency Obligations, at Fair Value | $7,498 | $4,985 |
Note_10_Accounts_Payable_and_A2
Note 10 - Accounts Payable and Accrued Expenses Schedule of Accrued Liabilities (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Schedule of Accrued Liabilities [Line Items] | ||
Refundable Income Tax Included in Prepaid Expenses and Other Current Assets | $1,141 | |
Accrued Income Taxes | 8,771 | 0 |
Employee-related Liabilities, Current | 8,879 | 6,558 |
Accrued Bonuses | 3,540 | 13,279 |
Accrued Professional Fees, Current | 2,668 | 1,483 |
Other Accrued Liabilities, Current | 9,251 | 7,398 |
Accounts Payable and Accrued Liabilities | 75,903 | 57,578 |
Accrued Liabilities | $10,380 | $6,721 |
Note_11_Debt_Details
Note 11 - Debt (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Debt Disclosure [Abstract] | ||
Long-term Line of Credit, Noncurrent | $200,000 | |
Debt Instrument, Face Amount | 31,568 | |
Debt Instrument, Interest Rate, Stated Percentage | 2.18% | |
Debt Instrument, Periodic Payment | 406 | |
Long-term Debt | 24,842 | 25,920 |
Line of Credit Facility, Interest Rate at Period End | 2.52% | |
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.38% | |
Line of Credit Facility, Remaining Borrowing Capacity | $161,000 |
Note_12_Concentration_of_Credi1
Note 12 - Concentration of Credit Risk (Details) (Accounts Receivable [Member]) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Accounts Receivable [Member] | ||
Concentration Risk [Line Items] | ||
Concentration Risk, Percentage | 25.00% | 14.00% |
Note_13_Income_Taxes_Details
Note 13 - Income Taxes (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Income Tax Disclosure [Abstract] | ||
Deferred Income Tax Assets, Net | $22,445 | $24,120 |
Deferred Tax Assets, Net of Valuation Allowance, Noncurrent | $19,411 | $10,915 |
Note_14_Film_and_Television_Pr1
Note 14 - Film and Television Production Incentives (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Film and Television Production Incentives [Abstract] | ||
Television Production Incentives | $697 | |
Proceeds from Infrastructure Incentives, Gross | 3,080 | |
Proceeds from Infrastructure Incentives | $0 | $2,937 |