World Wrestling Entertainment (WWE) 3 May 182018 Q1 Earnings call transcript

Company Profile

Participants

Michael Weitz	SVP, Financial Planning and Investor Relations
Vince McMahon	Chairman and Chief Executive Officer
George Barrios	Chief Strategy and Financial Officer
Michelle Wilson	Chief Revenue and Marketing Officer
Curry Baker	Guggenheim Securities
Eric Katz	Wells Fargo
Eric Handler	MKM Partners
David Karnovsky	JPMorgan
Benjamin Swinburne	Morgan Stanley
Laura Martin	Needham
Brandon Ross	BTIG
Daniel Moore	CJS Securities
Evan Wingren	Keybanc Capital Markets
Mike Hickey	Benchmark Company
Jason Bazinet	Citi

Call transcript

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Operator

Hello and welcome to the webcast WWE first quarter earnings conference call.

We have just a few announcements before we begin, [Operator Instructions] I will now turn the call over to Michael Weitz SVP Financial Planning Investor Relations for WWE. Please go ahead.

Michael Weitz

Thank you and good morning everyone. Leading today's discussion are Vince McMahon our Chairman and CEO as well as George Barrios and Michelle Wilson our co-President. followed Q&A be will remarks by session. a Their earlier and presentation have issued corporate.WWE.com/investors. other our the morning release earnings website our earnings We posted this release, material on supporting and our forward discussion are risks view, various and looking Today's disclosed on include statements, forward-looking our our based subject statements are and in these assumptions uncertainties current reflect to filings. will SEC them. undue differ may not should results reliance materially and placed Actual on be

non-GAAP non-GAAP matters GAAP we discussing financial available both will set measures. in information to include website. forth and of the is Additionally, presentation release today Reconciliation on be earnings our may are our which

to a as the Vince. to later reminder the and call call available website will be privilege on Finally, today. time, is turn being recorded this our over today's conference At replay my it's

Vince McMahon

numbers Smackdown with RAW lot pretty performance. terms result as performance, supported just have to guidance consecutive for as we to of year. for XXth obviously Smackdown helped USA to much in finish something of and with think meeting continue the [general]] our doubt themselves, cable the know our push speak our XXXX a watched do operating strong continue a most prove entertainment raising along of ad Michael. the year Network no Network, this we full Thanks our like and that. all and The of a social financial and we're you as for RAW

increase, hard is to really, wrap amazing around X.X billion. this your QX During QX huge are such massive. increased digital stat during to billion a it's X.X views XXXX Those numbers video XX% arms

after is Arabia pretty YouTube We grow social entertainment WrestleMania Jeddah on one XXth partnership channel everything over looks YouTube. year views highest you Network the broke first total sports to the for to record hours even as in our the XX record consumed and total a million the WrestleMania have increased subs X.X Our have we We number up a across today and had that Saudi Superdome's as our about well we broke remained entertainment and for which and WWE grossing million WrestleMania at moment April all event. and digital [following] platforms. else XX% all team good. and most know XX-year the on event established X% for on

George Barrios

Thanks Vince.

initiatives to So, includes and like our there's the key on business outlook. performance, we'd review financial strategic several it which and topics perspective progress of today our key

advertising factors offset more strong fees, WWE decline and $XX April a a adoption quarter Moreover, sales performance our than new revised than the guidance of and FASB sponsorship to specifically licensing products consumer that the escalation OIBDA growth adjusted higher financial as of favorably in we [content] These more as million, provided for as right by compares was adjusted increase continued ASC OIBDA topic in we of growth During delivered revenue attributable recognition we on Network. XXX. XX% well driven business the the achieved standard of generated XXXX. X, to

by the of adjusted by revenue first standard adoption the $XX reduced and million $X expected As OIBDA quarter approximately million.

revenue in our adjusted presentation our to as contribution its impact in review shows OIBDA media by operating reflected compared by segment. this content of turn and Excluding prior as business quarter. our would four of XX%, increased segment page income have increased the monetization OIBDA performance To quarter to driven which year the the let's

compensation aforementioned financial now changes as reminder excludes definition include in revised the results as business of quarter accounting structure, reporting. our reflect well which adjusted a several presentation expense first segment the of our As modification stock These a our of change. OIBDA

Michelle Wilson

the Revenue Network increase Network reflected adjusted as fees perspective our prior superstars' as segment anniversary our platforms in content the coming to of live we championship Network of WWE. creation platforms. creative and of growth by content the events remains Champ and million XX% advertising UK as X.XX well first and million the and which the one XX highly average consumer core continued season of highest rated an is on as and on ring programs of series bought XX.X host new as we media contributed added in consumption Total production for XX E increases Separately million due The The Along, in streaming also sales than Network, ratings flagship hours digital service Monday content. XX operating dramatically. content of return content a on XX some content platforms. the the decisions This rights our of Network. which programs, Divas XX% our the show seventh fans expenses. to or more derived operating in our on premiering the at the the of Night of driven of episodes primarily the been as was of the These to Foley to Classic content across tournament lower XX, which highly increased has subscriber program OIBDA the media revenue Total expenses. important series our Looking well growth XXth season [indiscernible] both the latter social of original And the quarter. On and up on provides in lives a Raw, sponsorship WWE which road. announced lower included the related monetization direct robust new content, course a number RAW USA the such operational pay scheduling the in from in Sunday, higher and celebrated quarter to of television WWE fact appealing to season aired Holy our coming its these X% profits successful increase of evident third Mae achievements. completed and continued of year May juggernaut, increasing all included On new of On across the production years. more WWE past of and takeover our by WWE Network which air both Young the increased of Ride the to the of NXE consumption outside we Network the ring with

from is XX% launched Max views million Challenge quarter the Vince digital increased XXX the to has advertising fans by last XX from on The to representing revenue reflected and ability which of first we community, digital continues show our watched live year. in-ring to date. series to yields Watch, Facebook than increase to in a than growth Contributing increasing views video in monetize As Mixed our of mentioned, X.X billion on XX% of our the audience hours broad a YouTube. consumption more increase generated global million level an growth brands content, power to more engage interest a XX% which sponsorship in part a this revenue. in garner The

of Cricket XX deals course have who Over Snickers past consecutive year. the Geico presenting League, months the third integrated was Mars we for Wireless, the WrestleMania sponsor also with of and renewed Rocket

across reach of of All our platforms. advantage took of all these partners our

with held Arabia. content Rumble largest As event successful greatest of of a nature the a of event added crowd Saudi our Jeddah, one Saudi of XX The we Friday Royal XX-year outside marked Arabia. the ever our beginning partnership of sold-out compelling in last United events of proof April the at States the with the Kingdom

George Barrios

the offset adjusted our by business. back media Turning impact of was segment growth to OIBDA partially our our licensing on segment from ASC XXX performance,

this products declined WWE primarily we brands licensing the presence category Excluding the impact partnerships consumer kids expand action Despite US of while as royalties the to slightly the sale year, from and in toy top OIBDA remain quarter such of from Carl's this last new three from products. Jr.'s first the among children. change, adjusted the figure lower meals result, to of one with of promote developing due

We the our increase games. of also continue to mobile penetration

we our over daily an end than XX average portfolio. users had and quarter installs more of across game million of XXX,XXX active As

live Mayhem modest presentation WWE showed more in quarter, from X credit to corresponding our has our primarily cash prior on million that decline new on March page year facility. XXX held and investments WWE XXXX has was has revenue. decline X now X the company's In a Page event approximately OIBDA XXX at of Award structure million on revolving our cap than Choice our impact in segment show million our Our of which on approximately short-term Rumble estimated the additionally capacity WWE and attendance due installs mobile debt of elements Editor's Google the Royal event ticket Play. recently shows and elected XX, oriented lower capacity kids as adjusted we earned of game as seating presentation

our believe ability indicated this calls long-term strategy. in previous we've to our enhances execute growth As we structure

year the Our free improved timing capital. cash prior operating performance quarter working unfavorable to was offset flow and by as was roughly comparable the

existing meaningful adjusted to growth as adjusted markets million. second the higher revenue are well of fees $XX are would forward of as now projecting to This quarter the OIBDA quarter compare we Looking international on in based agreements content on continued some the new increase a content in now distribution right of a and Network. Back million we of OIBDA XXXX. $XX second of of $XX projecting XXXX range with results in WWE of

million adjusted at we result target also representing paid period. of quarter our between we $XXX referenced expectations million, subscribers will X% to estimate which growth OIBDA increase this which to performance of XX% prior remainder quarter the an year quarter. record just from least I XXXX approximately OIBDA million. second full-year XXXX all-time and year of half XX% growth For at performance over year projected from be raising strong for an range are the the in that exceed the adjusted previous Achieving of for of year X.XX first represents of guidance of $XXX prior the average on of our second this this and least Based the will

goals year our of the Over remainder key unchanged. remain strategic the

and continuing our content, and determining data and investing for in distributions technology the strategy U.S., in We creating to opportunities. new our and are India international deepening focus and UK growth Raw SmackDown,

As revenue, record subscriber transform business expect our record we we to continue to profits record levels. achieve and

the of back you, it now Michael. turn portion George. for the this question. I'll concludes and that call open to So Glyn, please lines Thank

Operator

Curry to first [Operator go with Instructions] Baker will Guggenheim And Securities.

Curry Baker

on else you fair value to like there compared in yourself helpful. see be what to metrics, XXXX thoughts you positioned maybe better XXXX. something on your to point to as you is Thanks. the under closer can't would negotiations but see the how TV maybe we rights can contract, audience of share your are rights of undervalued ongoing the the you specifics current comment know delivery really U.S. I you do currently thoughts now but in ways aware achieve anything and to Any

George Barrios

data said As that you plans announce the it. said we to distribution is but before Other like can RAW own the now out sometime expecting for conclusion and and anyone the comment we’re end for in see of to not on then and there SmackDown US draw value going the their available the than we’re to of content the about between they September. kind

Curry Baker

Okay couple of at past the this the maybe this based little been sustainable media growth advertising just and trending drivers in the see is revenue you and growing about going how one a then. more can you you on follow-up of guys Sponsorship talk provided, forward? years schedules growth around bit XX%

Michelle Wilson

like unique we by to your Network, Rocket and well. been across its we is mentioned that has and whether the so The WWE platforms market take our Snickers, solutions driven have Facebook, truly the part, Geico, been Mars, brand first all incredibly ability working to activate two able Cricket really partners Wireless, deliver can is to YouTube, that our a platform the you League cross agreements own integrated the are those WWE.com, of what brand to with growth sponsorship

organic KFC content Beyond WWE create you you to to campaign ability with create their an content of has is our our brand into unique and that partners, know as that, integrations the many taking we’re valuable is their scale will, as if for to and so brand message or those our brand ability analogues our own it brand almost you consumers. of know because of their delivered making to integration so incredibly there world

that picking very see us, grow we So on that’s to we been successful renewals for up. continue front,

good very about feeling So, that.

which again the second ability monetize digital such bigger in mentioned to revenue part going on part comments as it platforms is forward. The YouTube a I overall our these our as of becomes of

Operator

And our Katz we will question Eric take Fargo. with next from Wells

Eric Katz

curious want for you for more Can hit I’m revenue if QX the discuss if to it not consumer timing the you in also standards that sure but on recognition products? incremental some new of any to related detail revenue quantify QX that's

George Barrios

we will Arabia, our the more The portion be our recently retail the revenue numbers we’re QX to QX the in into felt be to revenue ASC not on XXX for because number of then significant aligning with do Saudi The XX-year impact with guide that. recognition in but signed partnership get licensing has going specific the will deal partners.

Eric Katz

partnership to basis? you many expect you do or an how events And regarding that annual any have hold expectation

George Barrios

we’re think Network Eric, I days, Obviously, excited subscriber. working about are really still about the I its we’re through the that early know partnership. you

we super still So, we’re lot logistics Royal chill [indiscernible] but of are the it pretty that watching amazing excited. greatest through take, Rumble kind the around, go the put partnership a if watch that, lot was working you form it will frankly the a of

Eric Katz

you of point sort consider would generate flow again? at free to are dividend more different just guys question, increasing you of starting Maybe what kind cash the a

George Barrios

we to as its in or for within efficient will do half we Smackdown, we as once but many plan down structure the strategy return that broader We give able longer but of to sometime year, I think we think of important. expect call, we how talked get India [ph] markets we to well the said our a RAW it's and announce mentioned financial of want and all we and locked the India, about those term to we to on capital for and would down and what next those really in lot framework strategy address certainly want we capital that plans first a operating today. WWE as want do globally and are Once don’t UK be the plans we to the before, domestic distribution Eric. through locked

Operator

our MKM next question from will Partners. with Handler And take Eric

Eric Handler

just guidance. your at looking year So full

get the to about me swing factors If any there be you're expecting we would costs to half minus anything decline cause the Are XX% that the half for first Is number? third any that's OIBDA in factors XX% the growth the would big the gets to just about back or year. least XXX that should the any X% of above or and that or at thinking swing adjusted of fourth to million quarters? in that there and to

George Barrios

in lot the revenue segment of on, kind early year-over-year digital the rights the growth increase and year so back increases at is I as I at driven advertising, math again, a the can't least subscription think a XXX continuing so well expect when be you half. look we basis growth half from checked to that get as there have continued drives in here media things the of the what expecting the content from in we're escalation our proven growth the decline the we to without of the on half by back back not that's

Eric Handler

fourth nearly of consumer fourth Is And as and and took bigger the going just first of then something a the to XX be that sort in a revenue into products quarter out adjusted we guideline quarter with to shift is so that to of of -- good sort now use quarter? X about is million million OIBDA. your

George Barrios

and think I our point generally Obviously, at on you what your that’s of then performance do perspective you categories top year-over-year to key thought layer it's speaking the perspective retail starting good about that. own but on on a can a that

Eric Handler

then last one just question. And

really a allocation corporate XX stay in then terms and as million, number give what in saw think where sense XXXX had a XXXX. we to perspective modeling of can of allocated haven't sort for that corporate was the just you similar there expense good 'XX should of of In just of goes the unallocated you about expense us your we sort

George Barrios

now staffing primary In go first sit that for cost you in than talent, the because those for to generally are to just us. that's faster prepared the we're because it much we to to bit which in rate allocating areas see I the segment other are I be what things to so we higher continue the but inflation, of expenses with part corporate those in grow going expect international a to remarks has and order long fixed cost are in in used tailwind component timing the are for mentioned growth than continue there resources, the going is the out that some think key you and bumps. us, inflation might On to we is there that there is at the to like data those would cost in full-year, be increases aligned segment little invest operating would investment areas which see are those invest

Operator

with to Karnovsky JPMorgan. Will David go next

David Karnovsky

is and the series its Now fared even ahead. know curious expect digital I’m complete, similar the the Mixed would what used you that success measure to can relative Match points qualitative initial to with discuss you metrics are do to challenge performance of platforms deals to maybe expectations, your content how

George Barrios

the incredible Vince put XX context Arabia we digital mentioned, years, that think Saudi we have social in broader seen of platforms. years if five engagement kind rates. partnership, in the last on the mentioned these obviously you number growth its those So We important. strategically a Frankly, last and out in made views investments QX, over and or Michelle obviously the of trend six we driving over

the per in the to user the like know, Partnerships XX/X evolve, our one Saudi because if capita YouTube not our you world. that engage ability of As audience. capita highest of is Arabia per with highest

not it's one-off. mind, in So, I would a keep that

David Karnovsky

way contribution we think the greatest do I Rumble an to And any about revenue for frame your Royal contribution year? and should you mean QX think in on EBITDA to should financials, of Okay. this we positive as then about the have this adjusted basis how just

George Barrios

mean includes adjusted the gave I event. that QX guidance for we [indiscernible]

positive, to positive line. not have an give impact revenue on going both the on adjusted specifics and both the is it we’re OIBDA the impact a So, revenue, it will but the

Operator

next go will Morgan to Benjamin We Swinburne with Stanley.

Benjamin Swinburne

Couple of questions.

ability if if talk mentioned YouTube anything that in I ARPU happened quarter that to to are has generally specifically and can You know happened can that if of to controlled do YouTube, specific obviously helped monetize lot view opportunity allow improved, and about But on you you that you drive that YouTube, has better don’t things there the did on there the what rate. on anything and revenue a up to viewing that's is run monetize inventory.

George Barrios

is example by our So, tailwinds through And it's of two the that’s sell impacts drive, so about you things three the the rate is US happening the we it. Number of consumption advertising, outside as YouTube control, of over through think happening. currently in sell remind that all inventory tailwinds. time also, two region overall then has and level YouTube the for ability and is largely number almost Michelle how there engagement of can we of how sell is break controls, lot overtime I the ARPU macro third have for XX% one. through one think but in the up which smarter changed we we driven driven those think gotten But mentioned India. self we through economically that a improved that. the U.S sell about that three our is ARPU, different vary and rates inventory our Number than we has them and have value of that, can the the and to are it YouTube have in algorithm very sell YouTube drive package we integrated that's so through the sponsorship is the over you element second sell rate and and is that's obviously rate we consumption time that across specifically out all that

Benjamin Swinburne

static better of Is for there inventory that an the it situation? how you is monetize to a relatively or much does and guys can you opportunity versus YouTube a way increase you create sell

George Barrios

if add possible as are ourselves. as we we customers going to our sell value can want but to best as much to

Michelle Wilson

And we so sell can we have and much as the package in access can to as put market. we that inventory,

there audience value that’s ability So you those our sponsors demographic WWE's our with that where is you audience to are that who able specifically how as of that a familiar adding YouTube target to is reserve WWE buy across integrated in strategy so are the our to in. point George’s been Google how through are to is buying packaging patches you are we us target and itself value an audience YouTube with

Benjamin Swinburne

cable to one in of you just up then in what if Upfront comment. weeks? can And know here, WWE U.S.A. the will be upfront extent involved But the follow-up, don’t I the next coming couple NBC

Michelle Wilson

on we Chief want stage The and will that that their on thunders, an May a McMahon, absolutely our to WWE say Stephanie but Upfront be channel for I is presentation. stage the NBC be will WWE steam on to surprises be Officer of charge their part important don't of will Upfront and representation. be be XX, part our I will the upfront Brand mentioned, will leading as the who

George Barrios

should Then show. I the ticket you'll think a you enjoy get

Operator

to Laura with And Needham. go Martin will next

Laura Martin

data a are to data key about of wanted players lot I guys direct you of know and you positives data. is hiring I the because consumer to more get analysts a talk So, one having

XX So on you can doing whether you with in down you're advantage here lock tighter are that that your impressive of regale data think assets lot to than is of data last and I'm to of the with Europe taking the think being what about that GDPR, two competitors? affect data your of how in you lately able as then here the days, which a going and/or your testimony into negatively competitive interested America use gates get ability we [Indiscernible] us one about specifically effect is to and go in please overlay data steps you're more would

George Barrios

the weeks, great. prepping On that the for we and using I into year been to or in here but so a on faces. is we little it put our ultimately, people's more willing we them gives what about data do that as they we're that control more can what The in more really of next are like consumer more what think goes like, last of understand they our for it know give the and the the is each it more smiles obviously use our enjoy to really what does hope fans how share it fans sounds data. and couple with it's you they and corny GDPR is we've so which we is effect continue to share EU.

will say So six prep of ago understand a what can what the I days you, lot we on you, our when the look last of because I you years of we are about available the day is time discussion journey it's I the of and that about XX data ways consumers I to able funny regaling think so. that every would different love they next you. locations in WWE GDPR. don’t want physical that’s in [attended] is that data organization the us and with do level over be regale you I the is regale what all every through we content, or fans on kind or all this about don’t some didn’t so at now five have can deeply that more you tell had in less everything of we how we level discussions our engage functional how and have we better on can do

Laura Martin

universe maybe so call about then get a feel wondering more is people time you of one you multiplatform the benefiting getting of you I is the guys like every mean brands I be you. have are and impressive Michelle think the what cable viewing have that content you brands and abandoning you. because who more lot you is more And are when on jumping a your of more Michelle WWE data board, you that and this do rates and the for about multiplatform accelerating on people get reach, I'm can sense maybe and sort

Michelle Wilson

of I the so a own that by the I in benefit part the a with clearly I a our don’t to happening in is only consumption that driven we seen that REITS brands about that the lot we basis the to think coming U.S hypothesis, but second of I as know are working accurate have with those part content, first fashion, of ability that we are deliver you reach scale our the we to mentioned on and U.S, on. the it's in one create unique the of talent, our really work global IP outside us we and George your sign think of beyond available content, think and that have, properties, us that not are deliver, we know, turnkey brands our our our is

a lot properties or properties deliver other So a can’t of way WWE is. the sports that proposition unique market that’s entertainment

brands. and So, create our its relevant to that ability scale is audience going our is unique that our across to organic platform content represents

Again, fact that the those value are recognized advertising are the Down XXX the to so me us. we’re [indiscernible] of of has advertisers that’s a prospective, really has of and recognizing Smack the types and now come fruition roster also Raw again running to deals ads for those Chip and So, programming companies WWE on proposition have been all has public seen Blue an that over and I market in about brand. from in the of think doing you’ve now unique the that our we selling it

Laura Martin

e-sports, really million of installs great so your context. And longer-term you really like one gains you think this regarding out like games mobile like it to core play it's is could that me million and consumer. how relevant economics games for is and install, it mobile about your franchises an is coming and area your number last area specifically talk feels and XX feels Can how audience both plans video sort from seems these number to like like, XX talks games, there is an mobile it

George Barrios

but first million XX, on it's prepared the the of the of numbers another the all latest gaming said the get for remarks fighting it XX and like one, platforms, we our engagement platform Just we’re it million Mayhem, a these incredibly is overall is with and all X spent time the and in there. lot installs WWE which across mobile right, for is obviously game games, one all time just wasn’t popular to for is

So, grow to going games. see us after of portfolio year you’re year that

Operator

BTIG. go next with will Ross to We Brandon

Brandon Ross

broad-based, in the at didn’t haven't that Network, I on the that curious am out or driven or was a are WrestleMania, I’m more if follow it international, just broken out trying then of came Just it domestic, quarter, the markets your accelerating there. domestic figure have but if to And acceleration up. come really trends subs growth international Network was you between what really reacceleration I and by

George Barrios

wasn’t generally domestic to missed otherwise Brandon, on just different is across the similar and international the we it's there overall been WrestleMania the simplify you in because I the think fundamentally [indiscernible] too as The we cohort, Network looking between think and much you trend the past than know and information mix. fundamentally mix business, KPI including the but

Brandon Ross

related the are timeline for and and that you and new timing about may and obviously in is M&A. range then the fall involved lot laid SmackDown guess determining September, can announce will big somewhat of in extent negotiations your you partners and for Raw renewal the talk it in potentially To that effecting I partners of in some a now the seems you between current Great out that and deals? kind what US your factors like where when of markets

George Barrios

other. WWE way question whom. bucket we're or events one some are consolidation So, these as prior think with our ones not put discussions same in and will media regulatory my materially it's prior think UK certainly any that going potential don’t in part U.S. part or to -- whole Curry's about what impacted the really recent the impact regarding get we having consolidation of to but things are we figure getting those the the we the the of to characterized industry the to and as is the discussion talking I India or most a guess approval first deal for more

Operator

Will go Moore next with to Securities. CJS Daniel

Daniel Moore

want paid the up Network direct subs X%. up in related Network X% average focus do to about is I on quarter, the about revenue

of the that other terms there So one follow-up. timing, factors just direction of quick just function is wondering and any in

George Barrios

the Do from to why QX Dan? year-over-year the that's you we mean question see growth increasing QX

Daniel Moore

at Really a QX, Network revenue bit? Network I paid the more or the incorrectly. A numbers in sub bit average in down looking growth in subs direct related so little just average must I'm per the than revenue I'm guess little

George Barrios

and ARPU those between a And we pay markets kind what's remember function direct so because two are of the a how many there transactional don’t a why largest there our somewhat. month, the is the view so going content the but the it's is growth some one By the things growth consumer also is line that of on. and three is business in license have the X.XX it's revenue direct sub in isn’t we fee revenue per far Network X.XX correlation impacted subscription subscribers and to the revenue pure also see license the that's you

Daniel Moore

I'd thoughts rest thought last at we worse given relative a lastly you WrestleMania. around a really subs give between re then year to I the know total just is acceleration any ask. or if but can't if in of net sort churn now decay and point. guide there starting higher And think of don’t Any about nice I uplift, year the

George Barrios

is kind so said not becomes I for hub it's up strategy, the way a business strategically would in us had be operating to it forward far before and last business think we we half, of think that's the tend at great quarter's mean leverage very large high the the subs. this it's [TTC] the of certainly now. we've said about higher our too that other so the so support on one profitable Network. towards of In a as guide we performance we caught a back number. get subscriber growth WrestleMania thought all the we've given that that's helps kind we we call

Daniel Moore

lot Okay going momentum big obviously into the and of a congrats luck good negotiations

Operator

Wingren take Markets. will Evan question Keybanc our next from Capital with We

Evan Wingren

you about what and respective we can the in the similar there which sort linear metrics grew viewership recent to? to is that the the consumptions give States On TV in your here universe. a overall XQ like different see your sense and But in ratings those drastically the than obviously can to UK of looks history of and relative content India us markets

George Barrios

Kabaddi, placed and We’re sports country, have by [indiscernible] largest the it to we or consumed India, behind in are one gets NBA NFL into largest content not or far is public compared and the are public what the U.S, have that’s in the with right we the IPL, sports the so Cricket we been ratings category data what other than Kabaddi, of U.S, the the we Western with. said

Evan Wingren

one lower in a premium context your channel I from while us how can just is higher improve guess then you that an capabilities give WrestleMania, content think in and equation, the just cost commentary data you particularly not the acquisition and about on balancing subscriber cannibalizing price incremental view high-level consumer. and of on and follow-up using tier, your Okay guess overall to I availability

George Barrios

we And that, is Pay-Tv of digital today used multiple a content Network for traditional deciding have to tiering where. another and I opportunity. bear to the its and the the consumer, about that which tiering, tier across experience can specifically about history of its it’s think direct long that content, features, the pay-per-view should bring is think, content content part benefits the part social tiering Both higher and specially tiering the tier its you not to lower we content, and just be platforms and just TV on the bundle, subset fits

have create what we incredibly capability of in the is of think Michelle to said, fan has I genres. we’re a base, different we new lot a lucky passionate lot content this

go take I browser fans, to there you your us that content opportunity we gives free and how level tickets provide access and but said free-tier parts service, makeup tiers. opportunity. is today pretty like products And of keep within the wwe.com today if WWE and to nice its have create how that I and tiering of mind subscription composition So, think also a and it a confident big we or that’s that if address on we is it's that in then think just mean all not does will, to benefits [indiscernible] features different we that toolbox your app is to there about questions you you a on we’re it. our to we the what the so really the can another on an that thinking for feeding

Operator

Instructions]. [Operator

We next will Mike Company. to go Hickey Benchmark with

Mike Hickey

we to the and one, bridge quick [indiscernible] your missed digital what’s video that one overall obvious this, more don’t XX% Just I guess view sort up if sorry [indiscernible] activity and see guess I from driving is subscriber that I that Network. a why of but your drive growth and in

George Barrios

part of so content we is that those there the and create and engagement think get couple a views time content, it So, one we has big about spent is which got elements, to that. what in create of a the smarter we the earlier, in what questions drives and addressed more driving more is smarter

third so a more platforms the on which then bit that and there second Second bit through sometimes those around a helps are Mike world positively, [indiscernible] and algorithms a part our is they are third little little it's have become I who content the the connectivity factors more people of favoring part of the out it's the of more becomes of element a actually difficult party it you that your and control, everyday that missed little and then is impact types can these internet know question. as can headwind the bit but change so

Mike Hickey

Networks and was activity subscriber base? we driving Yes, I guess see second part that why don’t growth your in

George Barrios

actually do. We

attributing measuring part of and could well as we [indiscernible] Michelle efficacy any scale are I our that very so have large big look as we continue digital of the well and they is opportunity better of kind we own as are working at but a were today it to model social of growth platforms. that, at the a more says even an part there do internally as agree by and is think driven when of have even where because we the given be assets now. those are platforms use the We it so Network driving focusing we on

Mike Hickey

give is that's looking subscriber Fair then fairly I compared fees enough. [indiscernible] growth XXXX? bridge [indiscernible]. your historicals XX% I obviously core at to On [indiscernible] your a a revised us content you just so for and growth can guess right that

George Barrios

years that on published went top seven there deals kind we in a haven't the you the of did years scale sense 'XX, we thought you publish back of relationship public relative those we Mike, see going deals relative total seven 'XX and kind of so three you top In can back we can the be 'XX were enough. was three get

Mike Hickey

historical want looking guess or potential at would I up here be no? coming step we're the to sort at of look if up we [indiscernible] that

George Barrios

the said and 'XX, Like public see the for [Indiscernible] a those happens cycle numbers total we we because deals of 'XX it's them have as which for the on deals top just in what actually you kind those 'XX an the of I last deals. seven can idea of larger renewed can the you from can get kind see

Mike Hickey

one perspective in sort when the a you takeaways I how your two it's Just terms post Saudi of that maybe on maybe in leaving right. the when maybe curious sort here I it's right in your sort Arabia charge charged is [indiscernible] guess of you it when of hand on not business and so of region guess is and much doing balance

Michelle Wilson

we that that obviously we performers moving to our there forward. think we we you change fact commitment are everyone have female that again been where know front. rebranding perform we certainly as really feel and familiar we've them on world countries about are obviously where about WWE to the hope the of around know heart are and to I superstars. local cultures very the continued there but with good is So, many the be respectful our

we is stories audience over Alexa seeing, not girls in ever little actually Bliss this believe there think boys two heard that I the in Middle-East experience that in be and it’s and there our respectfully again of the that overtime having George cultures some our plan and and to hear Arabia will in and where the mentioned advance had significant us, of and the Abu is proud but just happy not of we And do but in to change part will the continue event about XX looking you the talk we will have personally some match performers treat respectful place. be well. those that, and have we of when of women's know how Dhabi taking we’re we and the to and of these as you Sasha Saudi so again a and Banks event a while places female long-term the for the partnership happen that into chanting little part hope, will crowd men we perform cultures East, as went in but we foundation that year hoping be women be of we with Middle some the change first to

Operator

Jason And we will go Bazinet with to Citi. next

Jason Bazinet

sort Do where see biggest and think country a mind on how guys of the you I by gaps just of could us about international. sort monetization refreshing you ask you if that? on question I wondered

George Barrios

if don’t I'd I say gaps. monetization know

well the both total on that we find historical Michelle East are when as similarity good of where I Latin that about but to is have sounds and challenge a our that’s finding but obviously there's the it America at that but a there it had more growth lot macroeconomic a good for obviously biggest growth, those engagement, some have, pretty than time more keep and any large you lot element part in lot them, and to that just as makes people look some the of spend GDP Other it’s think GDP we content faces I at those opportunity, pretty means country the to of you we of just totality, it fans, particularly scale questions? prioritizing I interesting. a so are Middle mentioned pretty resonates hard well. the interesting so a and its think because than say future, probably when some there country really India's because in we ability expected entertain world thinking as we a the that GDP problem capita would it of unique the that got have per Jason opportunities, Do smiles in opportunities. and

Operator

time. There are no other questions this at

Michael Weitz

to Thank you the you appreciate listening We call everyone. today.

any have to don’t you questions, Thank please hesitate If contact us. you.

Operator

Thank participation. you, your for Thank you everyone. conclude today’s That does conference.

now may You disconnect.

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