TKO Group (TKO) Q4 2025 earnings summary

Executive summary

• 2025 marked a transformative year with historic media rights deals for UFC ($7.7B with Paramount) and WWE ($1.6B with ESPN), expanding global reach and audience engagement.

• Integrated IMG, On Location, and PBR, with results presented as if owned for all periods; launched Zuffa Boxing and executed a robust capital return program, including up to $1B in share repurchases.

• Achieved record momentum in UFC and WWE, with strong media rights agreements and global partnerships.

• Focus for 2026 is on operational execution, leveraging high-margin, recurring revenue streams and expanding global partnerships.

Financial highlights

• 2025 revenue was $4.735B and Adjusted EBITDA $1.585B, both exceeding guidance; Adjusted EBITDA margin reached 33.5%.

• Q4 2025 revenue was $1.038B (+12% YoY), Adjusted EBITDA $281M (+30% YoY), margin 27%.

• WWE margins surpassed 50% for the first time; UFC Q4 revenue grew 17% to $401M, margin 53%.

• Free cash flow for 2025 was $1.159B (73% conversion), with normalization above 60%.

• Returned over $1.3B to equity holders via share repurchases and dividends.

Outlook and guidance

• 2026 revenue guidance: $5.675B–$5.775B; Adjusted EBITDA: $2.24B–$2.29B; margin expansion to 39.6%.

• Drivers include step-ups in media rights, global partnerships, live events with $300M+ in financial incentive packages (FIPs), and major events like the White House UFC event and FIFA World Cup.

• Anticipates 21% revenue growth, 43% Adjusted EBITDA growth, and significant free cash flow generation.

• Additional guidance details to be provided on the earnings call.