TKO Group (TKO) investor relations material

Financial performance and outlook

• Margins are projected to reach 39.6% this year, with further expansion expected in coming years.

• Free cash flow conversion is over 60%, and leverage ratio is expected to fall below 2x by year-end.

• Strong cash generation supports ongoing capital returns through dividends and share buybacks.

• Guidance for global partnerships targets $1.2 billion by 2030, with financial incentive packages between $380–$420 million.

• Investor Day is planned for end of Q1 to update on partnership and ad inventory progress.

Media rights and global expansion

• New media rights deals with Paramount+, Netflix, and ESPN are driving engagement and global reach.

• Paramount+ and ESPN partnerships are expanding, with new international carriage deals boosting exposure.

• International media revenue is growing, with recent deals in China, Japan, Korea, France, and Canada averaging a 1.7x rights fee increase.

• Global content distribution now spans over 200 countries and nearly a billion social followers.

• International events, such as a recent sellout in France, are enhancing brand and partnership value.

Sponsorship and partnership growth

• Ad inventory sales are gaining traction, with strong CPMs and volume, especially after new media deals.

• WWE partnership revenue is projected to grow over 20% this year, despite fewer events in Q3.

• Upside in WWE sponsorship is driven by holistic packages and a family-focused message, with special events planned with Disney in 2027.

• New categories and international opportunities are opening up for sponsorships.