Earnings call transcript Q1 2023

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Operator

Please stand by we're about to begin. Hello and welcome to WWE's First Quarter Earnings Conference Call. [Operator Instructions]. I will now turn the call over to Seth Zaslow, Senior Vice President and head of Investor Relations. Please go ahead, Seth.

Seth Zaslow

you. Thank everyone. morning, good And to WWE's conference XXXX first quarter earnings call. Welcome

Riddick, Nick on Chief Chief Frank Chief today's us Khan, Officer. Content President Financial call and our Joining Levesque, are WWE's and Paul Executive Officer, our Officer;

call to our issued questions. our morning, I website. our Following and release this We posted earlier for the open release other remarks, we'll and prepared the earnings supporting materials

subject current to will of Today's Actual and for and statement. views our are be an materially forward-looking reflect assumptions, filings based may reliance include results refer discussion are the Please should placed statements therefore risks uncertainties. SEC uncertainties. to not various on these These on differ undue risks our and discussion a statements.

non-GAAP of call. certain provided on Additionally, supporting information and are be financial non-GAAP our GAAP we Reconciliations earnings release materials. in other discussing today's to measures will

call Lastly, recorded be website. replay the our today's on is available being will and

I'd now to that, call the turn With to Nick. like over

Nick Khan

morning. everyone start. Good thank strong Seth. you a us for today. is to And Thanks, XXXX off joining

in QX exceeded forward. few the business to other going in from positioned Frank operational But results along detail. a we do, and to and before want take guidance more a with financial well touch I is will quarter our highlights I address on our some Our moment topics.

shareholders. night review trade As options stock in response we listed all be all Angeles announced new, WrestleMania a X, company UFC soon publicly April the and alternatives, to conducted Stadium ticker to with strategic Monday that initiated into to after astounding. goal Los in and morning and the historic on maximizing we will was the process agreement two McMahon assessing the a a TKO. January, for under We an combine named WWE Vince fulsome a After of value announced WWE market process SoFi

will conditions the unlock and The are subject highly global cost and and vast kind, done. approvals, that synergies. WWE customary regulatory complimentary but a revenue one transaction combination sports including The closing entertainment required UFC get play we pure to business synergies of creates is that of intently a working to

We second half the expect happen that of will in XXXX.

of the and And process, the we're with whom are FOX, rights Arne currently of renewals on and media domestic heavily terrific. strategic Raw now focused conclusion for both With incumbent we me, our pardon current review NBCU partners, the SmackDown. have been engaged with --

With the enter positioned Raw ratings are viewership we well and we and believe for as seeing conversations. we've we success been SmackDown, these

the ago history. delivering operations Of evidenced the growth. XX, four and XX and delivered in event watched mentioned which our was company's earlier. remain day-to-day course, of on WrestleMania WWE most focused profitable This weeks we at most WrestleMania I

$X.X with revenue number attendance company. WrestleMania $XX.X XX with gate of million over new hours WWE over that of our at A XXX,XXX highlight record record and Record million, of fans, a strength XX% records the of WrestleMania. for million of over record XXX%, viewership viewership consumed domestic record which year-over-year million, over merchandise the increase revenue with over set a sponsorship year of increase we at $X our million, beating $XX in record prior over year-over-year, revenue, sales venue previous

WrestleMania records over million million consumed the XXX XX XX% platforms, over XX over hours event prior We blew event, and Internationally, the of our was year. through million across views over by viewers. generating video increase two-day social the a seen

Rumble highest grossing In staged and WrestleMania. Royal in success live limited events growth was history. our Royal most company not viewed Antonio, it is QX and premium Rumble in to San Our we

and the sales we increase The than Chamber Elimination and one February, took metrics more will merchandise the a Canada where are Montreal. generated to our delivered of market sponsorship and viewership revenue hosted this popularity XX% we our also XXX% Chamber in media Strategically we In deal. focused region. on product be history. gate sign Elimination WWE where in our clear next These key we any in international a event in increase a rights held year-over-year event Canada,

on our also seeing are the the one landscape. was demo the XX Monday in WWE, trend program 'XX down on to XX%.Not premium increases, weekly Raw events and see in was across our XX% XX viewership viewership TV XX the to the XX number of it at live demo first flagship was As and In up the TV demo growth, overall the properties cable quarter bucking of rest nights. the

our the tuning demo in in Raw demo and their one on in led for year-over-year, a three-hour at XX% longer are stadiums pace. the attendance XX SmackDown and SmackDown viewing show spent minutes our number Friday for the Raw, at fans also XX filling at record-breaking also their and on history, smarter two-hour And show. are than minutes highest North remains events watching SmackDown live X% broadcast a in program by nights. American We're time ticket and up arenas and revenue pricing. incredibly in are that strong. ever. saw a We higher increase Demand

in generating WWE seeing of markets signs a ticket of Rock. grosses highest the in as history we slowdown. from We're weekly, Angeles continue not Chicago to tour many and the is Los Little everywhere any Toledo to consistently

sections stadium Field sale opening day the this company’s keep up month, of show can of X, upcoming SummerSlam last with up we at August other In sale on for weeks we Detroit, in at any WrestleMania. outside WWE demand. the domestic history to saw the were coming so went SummerSlam sold in than we Ford for Field new our tickets expect sales More be another and Tickets event. on record This upcoming event. is Ford Saturday, first

approach for moment. in area do we are our substantial of to drive us location growth existing merchandise supercharge with been two This sales. offering month a should Fanatics growing over we relationship, specific Last and And and city localized a announced the with Fanatics. that e-commerce taken that venue for now years, merchandise talk already new those partnership so as a Fanatics past merchandise and sales to Let's our have WWE sales. Fanatics have the sales addition have venue business can we expanding

Looking exciting This we months Saturday, shows Bunny Bad ahead, be compete a rang arena. on biggest coming history. San embark of Priest, in are sold company Damien in our what WWE Rico, an our will international completely and emanate as out where moment Backlash run coming Puerto the will for Juan, from will against

for received also subsidy seven-figure We this a event.

number tourism updates the on groups future come as events in WWE a for governments, in are dialogue the when impact town. Look conversations with this these more economic our different We of of a about event organizations progress. local and to

weekend, in On region, returned out The Saturday, decades. Memorial of premium July our Bank Night closed Arena Jeddah Super OX at international Money Champions. over We to event X XX, X, live on first Dome In of Day which Saturday July May the the one biannual run in in weekend, the the shows for with our Saturday two of our we the is the London, in London

Bank Kingdom will UK at We the Money will SmackDown In Prime also The live pm media SmackDown the Arena. have Time our at Friday Local night air OX United also as Night conversations Both and rights X continue. before

events these sold will that shows. of both be out London in expect We

to all footprint. global and deliver growing year-over-year live of expect while events, all our As growth with of we our showcasing the events premium

by we about how business. another to record We're In closing, OIBDA. XXXX the adjusted with expect revenue of are performance year I and to want deliver reiterate of our pleased and excited

UFC. execute in excited agreement continuing Our future. the strategy our agreement for our to company and about Until It's then, closing is amazing on our while extremely focused long-term about on WWE, historic well positioned with grow with that and business. we're remain an Endeavor very our we are we optimistic time and deal,

With I'll call Frank. the now turn that, to over

Frank Riddick

Nick. you, Thank

Endeavor. Before financial performance review announced discuss I last transaction outlook, to month and business I the we our want briefly with

we Endeavor the highlighted, WWE and we're there flow characteristics. new entity growth, be increase with uniquely to We Nick very cost the believe financial reached synergies. growth and agreement opportunities excited company significant is and growing with OIBDA of various businesses. margins adjusted ecosystem. the revenue with The combined the be profile quite the combine company of free strong entertainment revenue attractive sports will profile The through cash positioned, organic to the about will UFC and As

The transaction company. Transaction estimated at to billion. share. per at $XXX transaction represents approximately the of cash WWE an public closing, excess $X.X WWE Pursuant distribute agreement values the of its a business new will contribution the price WWE to

excess Following determine which dividends cash to public company the we as to We're such its second the transaction, half can to of shareholders. quickly the the occur in XXXX. close is as working the expected closing, new may

million $XXX which strong high-end first revenue X. and to XXXX $XX Turning guidance. of quarter, the we OIBDA our operations start. In exceeded is a generated of our Slide to adjusted the of on million, off

year Our touch I'll us outlook more full the track firmly outlook. on my places and in full on in remarks. second the detail performance year for quarter in quarter later the meet to our

event, shows On prior in and Slide adjusted the quarter. to our operating compared presentation, year which staging as quarter of large to reflected scale occur is XXXX, of quarter timing in of the of in in a which of X revenue, segment detailed in quarter, XXXX. contribution the our but The business the the quarter the international first second income we OIBDA the performance shift expected by results occurred the

revenue. Adjusted OIBDA most international decreased on to on segment absence item The result XX% event. a driving Media our in notable the was other large at decrease X. XX% Looking the the decline of Slide due revenue in scale a

due due Raw which the the contractual offset to premium fees revenue period. reflect SmackDown. These primarily of weekly for quarter in our one in Network to increase the in events, to an rights, live partially event were decreases less timing year the prior of decreased escalation rights content core programming by XXXX of and media first resulted compared

premium The in related partially the in was related the timing our expenses. expenses decrease the costs decrease production to lower operating decrease The in offset live was to events. of revenue primarily by

presentation. Live let's from Events improved $X.X increase business, Event revenue. of Now $X.X Adjusted based shown our our turn X Slide as OIBDA a in million our on on million to Live

events. quarter, average demand America, period. we up prior for our attendance compared live first the to year in held We XX the XX%, with North experienced During events strong as

moving in segment, reflected was revenue revenue reflected Venue OIBDA per a increased number Products collectibles million Slide of capita due and on In and of X, flat shown adjusted revenue both in our attendance revenue. as pieces. to revenue Results higher sales. segment $XX Consumer relatively $XX increase gaming an merchandise million. video the Licensing on

we quarter, collectibles. recorded of revenue a agreement for the During $X termination result early an as of the in our million licensed

platform our discussed, e-commerce the to previously Fanatics. in digital retail of reflected revenue the As transition change

$XX generating of with shown in prior most XX to let's collections our free notably quarter, presentation. Now The due million In capital, $XX was flow scale year the the international used on primarily capital the the in million timing the turn decrease period. large working to timing events. first Slide of as associated cash WWE's structure to we compared of

In $XX headquarter expenditures, the first quarter, we million which $XX million related capital of facility. to our new incurred of

$X HQ been quarter. Excluding have cash free million would CapEx, in the the new flow

During of the the $X million to in paid. shareholders quarter, dividends capital we of form returned

As including of million, $XXX XX, associated million March short-term carrying held totaled the in $XXX approximately cash we of notes. with XXXX, $XXX our and convertible million value investments. Debt

$XXX We credit. amounts our under million have no of revolving outstanding line

changing the full ahead, at outlook year Looking this for time. we're OIBDA adjusted not our

a million all time for the $XXX million, target to continue We be an which $XXX company. would record to of range

XXXX we're call, and As discussed earnings we last targeting relatively in flat record operating our revenue expenses. on

favorable of flagship the second we're approximately million year from of scale timing which the premium of shift contractual targeting events. to impact the and As to range prior domestic event in related quarter. media $XXX fees quarter growth an revenue programs $XXX for XXXX, to represents large international the of million, escalation of of rights for the OIBDA the XX% estimate XX% increase the adjusted The the reflects and our of

will that increase also second results expenses. operating an We in quarter anticipate reflect

our demand In across of conclusion, and increased WWE generated for programming reflected consumption robust continued platforms. results events strong that first quarter

live of believe We and supported our value fan deliver demand reach the is domestically continue increasing term outlook both content that globe. by for and around sports the companies media and to long rising engagement,

of transaction coming lines progress with our the we ahead, the We look remain quickly to take to close as of advantage focused all initiatives our significant you opportunities the Looking day-to-day believe growth as possible. well business. these on while positioned across We on operations, WWE updating of forward quarters. Endeavor remains that working of to in

Seth. remarks, turn back concludes That our I'll and now it to

Seth Zaslow

Thanks, line. Frank. open Operator, for we're Q&A. ready Please the

Operator

Guggenheim. go Baker with Thank you. first [Operator to Instructions] Curry We'll

Curry Baker

little Nick. And for in question. you the for I've to one Frank think thanks and the the more provide Hey, Can increase a second are, half on incremental the what year? magnitude guidance, maybe first commentary these mentioned Frank, one an quarter creation. operating costs Maybe for the you how investment quarter? the the in content for to in related got of one any the color content second back in costs about around

Frank Riddick

So into the are on it's primarily, production first of related second, adequately the those of in cost from and really the doing variable some cost other the costs think guidance. moved the built costs. the to inflationary that We incurred we've that so events increase to shows primarily we've There that. quarter to increase impact related staging our of staging

with should line we we what see guided year, margins substantial Looking the of to. of be content creating trend we've to in changes ahead the in the expect to don't rest the

Curry Baker

for in the window case cycle? you how you provide your Nick, the exclusive the able expectation If completed about a FOX. be And great. both that year? base you're High this this Okay. and SmackDown incremental From can with timing are feel about color, renewals Thanks. is would you're perspective, level, to and talk then positioning NBCU Raw any

Nick Khan

had A of both conversations product both growth the couple the things. productive with the the I in they're that the product, product, NBCU. of impact and FOX We've of way. right the believe seeing

about that. So all optimistic we're of

can a lot or it experienced thing process agreement. you of things, In terms control deal when during to is you control when can done, timing of a that you an never on it, closes these the get one the of getting I've

remain So I we but Raw can't that estimate on and bullish yet, SmackDown.

Curry Baker

the Thanks guys. questions, for

Operator

to next go We'll LightShed Brandon Ross Partners. with

Brandon Ross

off to I'll there. guys. Good question follow-up Thanks, couple last Curry's questions morning. Maybe start with a of

way exclusive There's of embark negotiations during about first guess rights the negotiating you parties all, that parties I on. any able what your the that position to of and and both as Is During are on there thinking sports time? have other know from to you Then, NBA IOIs with outside FOX they're is NASCAR. period, those NBCU? these that negotiating get

it, in been you finally, extension are including the an what negotiations? how the those talk then And you're understand of any deal negotiations As has doing? intertwined -- these with there of Peacock

Nick Khan

in order, So no with Peacock is what the particular Nick. We'll happens this see Brandon, situation.

for As that's a of I years. think up couple knows, everyone not

time, sports of the of other rights up In are and aware terms of around period that them. same we're certainly

a is our We In folks' terms out to beyond own to on analysis show high our opinion, there, to really offer. and of We NBCU a every high of the above each needs and and including buyer an priority intention have earned what exclusive. keep all really, clean, and have getting in it other or that lot on buyers to want NBCU. FOX -- and exclusive we're of FOX any offers the them. want lists we respect No, of

out. So see period the of let's shakes time how next

Brandon Ross

international, always to biggest was you for the guys U.S. the possible opportunity And outside deals seemed it domestic then just the from India ahead looking like

the just maybe the biggest the as happening what or after factor deals promise? fulfill specifically opportunity? to in is what the analyze domestic India see ones, do getting rights gating you its you simultaneously international As And

Nick Khan

The gating factor COVID. India was on

As been efforts very and to India time, have which unpaused. out you during Those that know, in our period there. difficult paused of of get

a waiting until is merger regulatory deal I'm in with through for top my know, on later that. remembering That approval the going of off Sony India, up if you as is Zee. correctly XXXX, They're head. not

then on the is we're often. is, our India media merger, plan of with India Zee-Sony constant but Sony what approval rights, to the dialogue shift hyper in post U.S. So focused

We can and to where about is. go that feel them it with good about where So we beyond. feel good

Brandon Ross

one that. in you're follow-up aggressive And that It Is that is Jio just a that region. seems on like getting little watching? partner more a

Nick Khan

one We're Look, Yeah. ended the were them. all up that to saw up. ago, even rights three months how of you that six watching cricket on

increases. the saw You

quite attention doing free things But Viacom, questions Reliance, way, which XX idea was the we'll we felt the India. that of, see from was is that all see Murdoch that think, we're a how total to out. it and all paying on By smart in You you. close going Group yeah, a James shakes there, I for

Brandon Ross

Sorry.

Nick Khan

No, No no. more.

Brandon Ross

-- Thank No, my for of to some I peers. stay some got you.

Operator

Ben Morgan next Swinburne We'll go to with Stanley.

Ben Swinburne

guys. Hey, good morning,

the a larger run. be the how have going wouldn't been family think, It's for Frank, but thoughts -- level both how guys on -- the sort of a time. big organization prepared around how on has you how -- of inside certainly, I'd that you mean, management sustaining confidence transition I long been trends business to how is in change this a that company, company. importance of kind Nick, curious your lot feel you I creative in highlighted be company you of given deck a a a morning. sort love and to keeping ratings -- say your business specific -- this run fresh the the for the the structure pretty side, of the is particularly prepared think life for on I'd I the this is for decades. the guys that and of business

Nick Khan

trying is represent you on whatsoever. way And or give that interfere to that to creative a UFC at Keep couple Their no that A one will and full Ben. UFC and about certainly speaking, to us. in us. happen that together known strangers long of in I folks these Nick period has not there's Endeavor not the the folks we of excited everything so embrace any they're strange is a with something We're in emphatically on the with to. should for mind, all from any things style It's Endeavor. interest that with time, we've can that. This to

told to almost match no, also to this they're do don't what and the That's do. not That's my do know not White represent be the but would or never what guess specifics, think that that's I say they never you folks never, Dana has way. would or going it should Endeavor you I this do, should you they they do. what not him,

deal All And we business forward and revenue things into the talked about of we experts and to terms other is they're domestically, build to getting and in at. of all more once looking a continuing the that approved. we're of think that internationally

Ben Swinburne

maybe just And Nick. helpful, ahead, That's more sir. go one --

Paul Levesque

Paul, here that is I just continuing Creatively, and the what to high. has. level really can and mean, about to look what on speak think really the of and the momentum across internationally is do that, reiterate I it do that efforts I on for myself, what top excitement them we to that growing incredibly utilize table This and do we forward the we expand we And to can and excited our Endeavor I globe. I'm brings them how hyperfocus

they'll I be there. think incredibly helpful

Ben Swinburne

That's ask just great, about to you I the want Paul. And guys Fanatics deal.

made you had what a Obviously, based more talk products. is Nick, comment you some just this bringing? consumer they're give you about it's your to up results think, little on the the now surging business probably morning. Can right supercharge around I But sales the bit clearly, economics.

is more tell your going a So in about over can little that you help just to us CP ambitions in bit time? deal how

Frank Riddick

Hey, Frank Ben. Riddick. It

that sourcing scale, it's will structure us. And will significantly business. as their supercharge create to deal, So as there our favorable believe guarantee, very similar we the the the the upside the products ability and it's positive deal growth, table, venue we be us. with e-commerce in they given outperform business. eventually, which to the think -- respect negotiated deal is business, e-commerce to grow their was economics, with very a in very be they've for brings minimum if their it continue for done The and a -- the obviously, of to contribute and execute the With us it to to to respect to they'll we and the what

of contractual improves nature a So for now business. we're derisk bullish. very the and It us. the contract also our business It's

going what on the bullish we're to So very table. bring to it's

Ben Swinburne

Thanks, everybody.

Nick Khan

Thank you.

Operator

with Cahall We'll go Wells next Steven Fargo. to

Steven Cahall

could expense Thanks. Frank, WWE's if corporate was little unpack I bit. wondering you a

think some ask you that looking to cost could want there deal opine a to costs, think $XXX if take between like I just synergies. the there about I I are WWE's corporate are at of could the follow sort things. just have in optimistic you was public quick And million wondering to buckets in up. but overhead some major filing the and staff, what maybe on be that, then upside And us offices, things those of help some I

Frank Riddick

Yeah.

corporate consider finance, primarily we as unallocated we but segments, have to analytics, executive of obviously. groups other business that the corporate, So the and overhead, international expenses technology, well corporate it's cost the the the But is are expense the allocated as that typical the office. data marketing the

that's the in primary the are buckets. cost that corporate So

bucket. There D&O cost have cost shows and SEC If in up not public of the of you The part where cost and company it, board we that is expense the But look compensation, the like the that. at that for and main things filings people. is expense opportunity. insurance cost is the doing of and are of costs the cost there running people corporate are biggest the of like

cost to we've the buckets to articulated think but might to and million very synergies, looked ourselves and at And closes. get $XXX deal Endeavor, respect are organize opportunities. And be for potential the those costs about we're starting million where $XX to with that's not the with how independently costs the been to comfortable in go there with once our range

Steven Cahall

done was you. exactly changes it some of help in done are, kind to think you've the I just can what Thanks. what best Thank in a of higher And this you've then as is know investing from far us done that the terms in the I different viewership of made And being quarter Nick, and content. But performance find. we've Paul, deliberately you've ratings was ball drive before? can at Paul through back how the lot you think seen, my about going as least the I

Paul Levesque

Thank for question. you. the Thanks Paul. This is

the about excited extremely we're yeah, performance. So

mentioned, the Nick Raw SmackDown cable the successful As board, one and viewership WrestleMania the high number broadcast in show and on the in history, history, on across up most on Rumble is night. the night ratings on

So incredibly exciting.

us down assembled really team that comes think right having I just the to across board. the

We through developmental have through day our our international systems, through every grow world-class NIL, recruiting, superstars, domestic to continues that recruiting. through and

So the pipeline in coming is very strong.

think up recent opinion, team saw that what and WrestleMania world just for and world. look nothing the of out we and regular everything there's that and what the or that the in that nothing there's And there, in my the on to nothing of draft and feel a from world. else, product do the you in coming the we out fans like world-class. else it the And through forth the it I engages draft NXT. ability team, our in and they we do in basis, like saw amount and put like back talent had that The production writing Dunn's is pipeline, Kevin it anybody the

far where what focused development. are engaged we're think I see across storylines as talent. And So as character super focused on our the fans you in that on, we're

Zayn level. really, six-eight months, character last but over especially last take reached the Sami years, of whole Let's that in the the new development couple story Bloodline a and has where and

invested been fans in long our they excited it's time. I haven't like a think got in content the and

And planning extending horizon. event for us, the the of

it always to to and box a year and backtracking new ahead, I of planning. trying we don't just it's of and And then curve then there, thinking and consider always we getting want better not have what and outside failure. be doesn't. consider ahead what of what something we're do it things where learning. works that working year-over-year, the a and So allows I so next us looking a seeing out from

So about this. all where we the and really, future take can really excited of

Steven Cahall

you. Thank

Operator

next go Eric with Roth MKM. Handler to We

Eric Handler

Yes. Good the Thanks question. morning. for

does how exclusive window First guess, for? question, go FOX I to the long for and U.S.A. Nick,

Nick Khan

a each. About month

Eric Handler

deals, at sponsorships maybe looking have point you're for getting Okay. sort talk any you Obviously, Are from really you're are in about speaking, by any the seeing? And But with little year-round seeing growth can contract of and this size? more event? for event advertising never can just of to Great. looking terms bit And you you -- you good UFC worked you what all a just that encompassing in are WrestleMania. response people of terms do sponsors sort about before? business talk broadly secondly, that

Nick Khan

couple Thanks, Eric. A of things.

all, deals. we we into and be lot. longer The side. sales right matters shift That them and think the let a place of the First more in have sign let's deals leadership been robust sponsorship has the on simple term

numbers. series So rather partnerships. than a effective, get that is the of that been believe has term let's go reflective into We in one-offs, longer out of business as and all

to ignite sales business In once waiting terms think any going we're And our UFC is closed. that of and sponsorship happens, we the sponsors, doing not it's even gun jumping. We're further. until this deal

Eric Handler

Thank you.

Operator

Supino Wolfe to with next go We'll Reseach. Peter

Peter Supino

Good thanks. morning,

related the in potential on update about of interest United of you are on once renewed from outside excited up And you investing TV Europe, most ratings, the America, discussion Following wondered you'd what your to revenue rights, I if Latin I higher us that, wondered States, acquisitions have Asia. in.

Nick Khan

A of things. is couple This Thanks, Nick. Yeah. Peter.

and In terms of product the acquisitions, U.S. the of our continuing sort is Endeavor right build at future through rights. with deal closing business media focus and hand otherwise now threefold, the the to existing

and excited everyone that what acquisitions, in do, are that wants settled So things well. in, terms we'll conversations But to we're we're of aren't at about those as once having see moment. this future

Peter, had. ratings sorry, TV you me question I'm repeat the that

Peter Supino

on I keep renewed what to dollars Yeah. To TV additional OpEx keep revenue rights. turning. to the flywheel interested thanks ratings wondered that you'd your growing, as spending in soon-to-be your be try to rises,

Nick Khan

your money obviously God's it. to to mouth from Once potential the deals. the with comes we see we'll on in, new ears judicious be want Look,

business the the about and that always in way, taken of. financially responsible right it's care growing the investing business So in being sure while are shareholders and making our

spend could that to it the want out. on it going get we're shakes there's think specifically don't going We're the if all, and nothing see to we optimistic as articulate to, it let's either. that gun on get, we So jump increase about to We well, how I x. we're

Peter Supino

Thank you.

Nick Khan

Thank you.

Operator

with We'll next to JPMorgan. go David Karnovsky

David Karnovsky

rights can Hi, any the that still a for you license sell Nick, in up thank you core the out or engaged Or to provide WWE with update tied market? will content? on there including that the process you. network that content be UK? more internationally, Are sales

Nick Khan

the reason core at is network Bank now July for conversations and event, It's haven't having who have heck the a OX them yet. to entertainment London is a live, content the exactly them see to product of we Arena of Money all The is. seen the in X us simply the our UK easier so buyers both people in articulating We're Part about it what for believe compared of what rights once us it understand to with the WWE lot sports ones buyers the can the for In

going of as open of SoFi show core Angeles the London negotiation to the course, the in we're terms So into rights business Los WrestleMania U.S. intentional. the obviously, network is rights. media But And and, UK well. the was content

David Karnovsky

you've you that wanted attendance. well events, then to the drive the Obviously, pricing just helping this. on of of And speak just doing product if both could actions helps, to live marketing pricing and strong see some specific on for but kind quarter Okay. or are taken

Nick Khan

from we ticket believe, the at was, the was I talked about ticket $XX. the Yet WrestleMania ticket, ticket price getting top Xx You the lowest building year exactly our premium looked same record at -- our revenue, prior. the which WrestleMania,

product, biggest from spend So especially our sure on and it's if make events, for on attend our paths socioeconomic example, that sure you're folks our good can to never call, spend. exclude fans. to At us, We're a to want this event, everyone to time, we that family-friendly that different for same willing you're making like the events. the willing you take an we're willing all we

pricing. event. sure market those be locations, we've of at making can unless in time, We So that period smarter we're events events we think, think the even supplemental to terms been it's with same other in of our geographic not in big

cost by efficient a in put routing of time a So specific here a efficient energy it sure we're good that and lot lot that's way it's folks to of also. just and profit make

David Karnovsky

Nick. Thanks,

Nick Khan

Thank you.

Operator

Loop We'll with next to Alan Gould go Capital.

Alan Gould

Two, Thanks questions. the please. for taking

you at subsidies First, maybe And your interesting. Nick, Thanks. other part not guild. comment Rico, the of type this the new? I'm It is something WWE quite strike, programming, on writer have your are sounds writers impact that secondly, about the Puerto government A&E? Does assuming the in

Nick Khan

Thank you.

In no we're guild, are so the guild, writers of on terms our us -- not there's of whatsoever. not the effect members no,

efforts, Of other of order. hopeful that guild in and a writers between reached are we're and the supportive course, their can the of them we're members who deal side and be the short

continue we both to domestically our the In there show internationally. Puerto I what was where subsidies, terms the hit it. a all Labor started last of on Wales, Day do kicked yes, think to with Rico that government it part believe replicate for be and And so in off to markers we we've subsidy and weekend that, event. obviously, significant now We

having different specific thing And back conversations we're Rico, product what States either. Puerto number in with a the can in just we no cities the do. guild writer's one to abroad and of terms United question, A&E the on of impact So

Alan Gould

you, Thank Nick.

Nick Khan

you. Thank

Seth Zaslow

last we please? don't Operator, one take why question,

Operator

Thank Bazinet you. with to next We'll Jason Citi. go

Seth Zaslow

Jason, are you there?

Jason Bazinet

me? hear you can Sorry,

Seth Zaslow

just hear We you can from We you but you now, yet. initially. maybe hear didn't the if could start beginning,

Jason Bazinet

Okay. Great.

on that special it to the short-term including investors cash should as relates the sheet? dividend, it just the the Thanks. the be or As about dividend define as balance think potential size they investments of you

Frank Riddick

payment be and on -- dividend equivalents. The any cash based will potential cash

really investments short-term we have are the cash just equivalents. So

Jason Bazinet

thank Okay, you.

Seth Zaslow

for call. Operator, you, thank conclude Well, call. can us the joining today's you on Great. everyone,

Operator

your does This for today's We you thank participation. conference. conclude

World Wrestling Entertainment (WWE) 3 May 232023 Q1 Earnings call transcript