Overview

* TKO Q3 revenue of $1.120 bln meets analyst expectations

* Net income for Q3 rises significantly due to lower operating expenses

* Company raises full-year 2025 revenue and Adjusted EBITDA guidance

* TKO announces $800 mln share repurchase

Outlook

* TKO raises full-year 2025 revenue guidance to $4.690 bln-$4.720 bln

* Company raises full-year 2025 Adjusted EBITDA guidance to $1.570 bln-$1.580 bln

* TKO cites media rights deals and integration efforts as key growth drivers

Result Drivers

* IMG REVENUE DECLINE - Revenue decreased due to absence of 2024 Paris Olympics revenue, impacting IMG segment

* WWE REVENUE GROWTH - Increase driven by higher ticket sales and media rights fees, including new events

* NET INCOME INCREASE - Significant rise due to lower operating expenses, mainly from reduced IMG costs

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Meet $1.12 $1.12

Revenue bln bln (18

Analysts

)

Q3 Net $106.80

Income mln

Q3 $360.20

Adjusted mln

OIBDA

Q3 Free $398.90

Cash mln

Flow

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 18 "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the entertainment production peer group is "buy"

* Wall Street's median 12-month price target for TKO Group Holdings Inc ( TKO ) is $220.00, about 14.8% above its November 4 closing price of $187.35

* The stock recently traded at 36 times the next 12-month earnings vs. a P/E of 36 three months ago

Press Release:

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)