credit EWN
WWE released their fourth quarter financials today. Here are some of the details that may interest you…
* Revenues totaled $112.9 million as compared to $122.5 million in the prior year quarter.
* Operating loss was ($13.1) million as compared to Operating income of $14.4 million in the prior year quarter.
* Live Event revenues were $26.9 million as compared to $26.6 million in the prior year quarter. Revenues increased 1% as an increase in overall average ticket prices was offset by the occurrence of 6 fewer events in the quarter.
* Pay-Per-View revenues were $14.6 million as compared to $13.8 million in the prior year quarter, reflecting a 2% increase in total pay-per-view buys. Buys for the four comparable events in the current and prior year quarter declined 3%, but were more than offset by an increase in prior period buys, which resulted in a 6% increase in pay-per-view revenue.
* WWE.com revenues were $2.7 million as compared to $4.5 million in the prior year quarter, primarily reflecting a reduction in online advertising.
* WWE Studios: Current year, we recorded revenue of $4.3 million as compared to $7.9 million in the prior year quarter, with the decline in revenue driven by the relative performance of our current film releases compared to the prior year quarter releases. Film profits declined $13.2 million from the prior year quarter due to $12.2 million in non-cash film impairment charges, primarily driven by lower DVD sales expectations associated with previous releases, The Reunion, See No Evil, Knucklehead, The Chaperone and pending releases, Bending the Rules andBarricade. The decline in film profits also reflected lower receipts from our other films.
* Vince McMahon, Chairman and Chief Executive Officer had the following to say in today's press release…
"In 2011, we evaluated several paths for creating new programs and distributing all of our content in a way that optimizes its value. Executing this strategy effectively, including the potential creation of a WWE Network, has the power to transform our business. While we made significant progress toward this objective, our fourth quarter and full year results were impacted primarily by three items: significant non-cash film impairment charges stemming from the weak performance of our movie releases, strategic decisions to withhold several hours of previously licensed television content for distribution on other platforms, and initial start-up operating expenses associated with our emerging content and distribution strategy. Regarding the first item, we have taken several measures to improve the profitability of our movie business. And, regarding the other items, we believe that our ongoing investment to expand and maximize the value of our content is the most potent approach for driving our future earnings."
WWE released their fourth quarter financials today. Here are some of the details that may interest you…
* Revenues totaled $112.9 million as compared to $122.5 million in the prior year quarter.
* Operating loss was ($13.1) million as compared to Operating income of $14.4 million in the prior year quarter.
* Live Event revenues were $26.9 million as compared to $26.6 million in the prior year quarter. Revenues increased 1% as an increase in overall average ticket prices was offset by the occurrence of 6 fewer events in the quarter.
* Pay-Per-View revenues were $14.6 million as compared to $13.8 million in the prior year quarter, reflecting a 2% increase in total pay-per-view buys. Buys for the four comparable events in the current and prior year quarter declined 3%, but were more than offset by an increase in prior period buys, which resulted in a 6% increase in pay-per-view revenue.
* WWE.com revenues were $2.7 million as compared to $4.5 million in the prior year quarter, primarily reflecting a reduction in online advertising.
* WWE Studios: Current year, we recorded revenue of $4.3 million as compared to $7.9 million in the prior year quarter, with the decline in revenue driven by the relative performance of our current film releases compared to the prior year quarter releases. Film profits declined $13.2 million from the prior year quarter due to $12.2 million in non-cash film impairment charges, primarily driven by lower DVD sales expectations associated with previous releases, The Reunion, See No Evil, Knucklehead, The Chaperone and pending releases, Bending the Rules andBarricade. The decline in film profits also reflected lower receipts from our other films.
* Vince McMahon, Chairman and Chief Executive Officer had the following to say in today's press release…
"In 2011, we evaluated several paths for creating new programs and distributing all of our content in a way that optimizes its value. Executing this strategy effectively, including the potential creation of a WWE Network, has the power to transform our business. While we made significant progress toward this objective, our fourth quarter and full year results were impacted primarily by three items: significant non-cash film impairment charges stemming from the weak performance of our movie releases, strategic decisions to withhold several hours of previously licensed television content for distribution on other platforms, and initial start-up operating expenses associated with our emerging content and distribution strategy. Regarding the first item, we have taken several measures to improve the profitability of our movie business. And, regarding the other items, we believe that our ongoing investment to expand and maximize the value of our content is the most potent approach for driving our future earnings."
