Full Coverage, Audio: WWE Fourth Quarter 2019 Earnings Call Report
Welcome to Fightful’s live coverage of the WWE fourth quarter financial call. WWE Chairman Vince McMahon, interim Chief Financial Officer Frank Riddick, and SVP Financial Planning & Investor Relations Michael Weitz are hosting the call. You can view the press release announcing fourth-quarter financials here. You can listen to the call here or in the video above.
Weitz welcomes everyone to the call and goes over the forward looking statements. Vince on the call now. pic.twitter.com/AjMrkTlJ3p
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Vince goes over the operating highlights pic.twitter.com/bI8oSHYgxz
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Vince says the company won’t miss a beat with Barrios and Wilson gone. Said they made “more than significant contributions.”
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Vince says they are changing the WWE culture to being more collaborative and inclusive. “I have more confidence than ever that we’re going to exploit our opportunities”
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Riddick going over the following slides. pic.twitter.com/KYhaKLEZRy
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Riddick projects WWE Network subscribers will increase in the 1st quarter of this year to 1.47 million from 1.42 million. They are also looking at alternative strategic options for the Network.
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Now going over the following slides. Says decrease in live event revenue was caused by no Super ShowDown in Australia. Media was hurt with poor 2K20 sales, but operating cost was down and mobile gaming was good. pic.twitter.com/dRtSCsNqux
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Outlook for 2020 pic.twitter.com/7QV9PrsEzh
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Outlook for the first quarter of 2019. Says they are well positioned to take advantage of the rising value of sports and entertainment. pic.twitter.com/FuPN2wrgOL
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Strategy and business model for 2020. Says they are targeting a date in the 1st quarter to communicate its long term strategy. pic.twitter.com/dIFHrFaRxD
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Vince is asked about the Network. Says there is no better time to sell rights to the major companies. “they’re clamoring for our content. that could be a significant increase in our revenue.”
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Vince says the XFL is a separate entity completely from WWE.
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Vince says its possible a second revenue stream is adding to the Network, if they continue as it is. But if they want to enhance the Network, it will be up to the partners.
— Fightful Wrestling (@FightfulWrestle) February 6, 2020
Riddick says India deal has been delayed due to regulatory rights. MENA deal is delayed due to how the Saudi government goes about their business.
Vince says if they do a deal with someone else regarding the Network, it would be announced 1st quarter. “That’s how far we are”
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Vince says it takes awhile to put talent in the right place. “Going into WM, we think we have exactly what we want. And going forward as well.”
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Vince is asked about WWE Network being a “must have.” Says “nothing is a must have. we’ll deal with whats available.” Says dealing with major OTT players depends on negotiations.
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Vince says potential deals could be “transformative” for the company. No data numbers on free tier launch. Vince calls it a “soft launch.”
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Vince says AEW has not changed WWE content. Says they don’t need more edgy content. Says NXT is doing extremely well and is confident in NXT.
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Vince says he has broad shoulders and can handle a lot when asked about allocating his time moving forward.
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“Who wouldn’t want to work for WWE? I mean, come on” – Vince McMahon
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Guys. XFL is separate from WWE. Just clarify. In case there was any confusion.
— Fightful Wrestling (@FightfulWrestle) February 6, 2020
Vince says they have faith in the current management team when asked about replacing Barrios and Wilson. The search is on.
— Fightful Wrestling (@FightfulWrestle) February 6, 2020
Fightful will have a deep dive into the report later on Thursday.
