TKO Group Holdings, Inc. (TKO) Business Profile

What it does

TKO Group Holdings is a sports and entertainment company that owns and operates live-event properties and provides services to other sports organizations. Its businesses include UFC, a mixed martial arts organization; WWE, a sports entertainment business; and Professional Bull Riders (PBR). It also participates in Zuffa Boxing, a professional boxing promotion operated through a joint venture.

TKO sells programming rights to broadcasters and streaming services, tickets and hospitality packages to eventgoers, advertising and sponsorship opportunities to brands, and licenses to companies that make and sell branded products. Its events and programming give fans ways to follow athletes and performers both in person and through video. UFC also operates FIGHT PASS, a streaming platform offering live preliminary bouts and a library of content.

Beyond its own sports properties, TKO serves rights holders through IMG, a sports marketing agency that sells media rights, produces content and manages events. On Location provides ticketing, travel and hospitality experiences for sports and entertainment events, including events operated by other organizations.

TKO was initially established through the combination of UFC and WWE in September 2023. It acquired IMG, On Location and PBR in February 2025. Ariel Emanuel is CEO and Executive Chair. As of December 31, 2025, TKO had over 4,000 employees in more than 30 countries.

How it makes money

TKO reports three business segments: UFC, WWE and IMG. PBR and boxing operations are included in Corporate and Other. UFC and WWE earn money from media rights, live events, partnerships and branded products; IMG earns revenue from media rights sales, commissions, production services, ticketing and premium experiences.

Media agreements pay TKO for the right to distribute live events and other programming. Agreements typically range from three to five years, although some significant contracts run from seven to 10 years. Beginning in 2026, Paramount+ exclusively distributes UFC events in the U.S. Netflix is the exclusive global home of WWE’s Raw and distributes WWE content outside the U.S. as rights become available. ESPN platforms are the exclusive U.S. home for WWE Premium Live Events. TKO also earns fees when IMG negotiates and sells media rights for other rights holders.

Live events bring in ticket sales and site fees paid to host events, as well as revenue from travel packages and VIP experiences. On Location sells hospitality, ticketing and travel services for events across sports and entertainment.

Brands pay for advertising in venues and broadcasts, product placements and digital impressions. IMG also earns commissions and fees for selling sponsorships on behalf of outside clients. Consumer products revenue principally consists of royalties, license fees and merchandise sales at events and through e-commerce. Licensees produce items such as video games, toys and apparel.

Multi-year media and licensing agreements provide recurring contractual revenue, while ticket sales, hospitality and merchandise depend on individual events and customer purchases. TKO also receives fees for executive and operational services provided to certain joint ventures.

Customers and how it sells

TKO serves fans, media distributors, advertisers, corporate hospitality customers and sports rights holders. Distribution partners include Paramount, Netflix, ESPN, Versant and the CW. Brand partners include Meta, IBM, Ram Trucks and Monster Energy. IMG works for federations, associations, events and teams, including the English Premier League, Wimbledon and the National Football League.

Fans watch programming through broadcasters, streaming partners and TKO’s own UFC FIGHT PASS service. They can also attend events, purchase hospitality packages or buy branded products through e-commerce and retailers. On Location offers experiences to both corporate clients and fans.

TKO’s properties reach more than 1 billion households across 210 countries and territories. As of December 31, 2025, a majority of UFC and WWE fans were in international markets. UFC content reaches audiences through broadcast partners in more than 170 countries, while WWE content reached more than one billion households in 24 languages in more than 150 countries as of that date.

PBR runs tours and international circuits in Australia, Brazil and Canada. TKO also produces events across countries and venues, with distribution arrangements varying by property and territory.

Suppliers and costs

Athletes and performers are central to TKO’s events and programming. UFC athletes, WWE Superstars and PBR riders are independent contractors. TKO discovers and develops talent through programs and facilities including UFC Academies and WWE’s NXT division and Performance Center.

TKO also relies on commercial partners to produce and sell licensed goods. EA Sports produces UFC-branded console video games, Take-Two Interactive Software produces WWE-branded games, and Mattel is WWE’s exclusive toy licensee. Fanatics has merchandise partnerships with UFC and WWE.

Direct operating costs include payments associated with athletes and talent, marketing, venues, event and experience production, ticket sales and media rights. They also include merchandise materials, distributor commissions and required payments under media sales agency contracts when minimum sales guarantees are not met. Selling, general and administrative costs include personnel, rent, travel, professional services and other overhead. Some service fees are paid to Endeavor Group Holdings under the applicable services agreements.

TKO also maintains licenses and permits for events and athletes in various jurisdictions, and venues are subject to building, health, safety and other requirements.

Competitive position

TKO competes for audiences with professional and college sports, other mixed martial arts and scripted wrestling promotions, and other live, filmed, televised and streamed entertainment. It also competes with websites and apps offering paid and free content. Its properties compete for athletes and performers with other combat sports and sports entertainment platforms.

IMG and On Location compete with other sports marketing agencies and hospitality providers for rights holders and corporate clients. TKO’s branded merchandise competes with products from entertainment companies, sports leagues and other merchandise makers. TKO does not name specific competitors.

TKO owns brands and content associated with UFC, WWE and PBR, and protects intellectual property through trademarks and copyrights. It controls content production and media rights, and UFC and WWE do not use a franchise system with multiple owner-operators. TKO also has long-term distribution agreements and relationships with sports rights holders through IMG.

Our reading: Ownership of recognizable properties and control over their content provide a meaningful competitive asset because TKO can license programming and sell related event and merchandise rights. Our reading: IMG’s client relationships and TKO’s distribution agreements support its reach, but competing agencies, entertainment options and talent platforms limit the protection those relationships provide.

Growth opportunities

TKO expects growth in media rights agreements when contracts are renewed, reflecting its view that demand for live sports and entertainment content will support higher rights values. The company also plans to make more content in different formats to engage fans, earn distribution fees and increase adoption of its direct-to-consumer offerings.

Internationally, TKO sees opportunities to earn more from existing fanbases through distribution partnerships, live events, consumer products and sponsorships. It is also focused on expanding content and programming distribution across Europe, Asia Pacific and the Middle East.

For live events, TKO believes it can increase revenue through ticket sales, site fees and premium VIP hospitality. The company expects that event popularity will help it secure site fees from local governments or tourism organizations in certain jurisdictions. Through On Location, it also plans to sell packages combining tickets, hospitality, accommodations and experiences to corporate customers and consumers.

In partnerships and marketing, TKO expects to expand sponsorship categories, increase product activations and improve sales of available advertising, particularly internationally. It also sees opportunities to grow product licensing in categories including apparel, casual games and online betting platforms, as well as through direct-to-retail channels.

Zuffa Boxing gives TKO a joint venture through which it provides promotional, operational and media distribution support for boxing events.

Structural risks

• Spending and audience preferences: Revenue from events, sponsorships and advertising depends on discretionary and corporate spending, which can be affected by economic conditions outside TKO’s control. Sports and entertainment popularity can also fluctuate unpredictably.
• Competition and talent: TKO competes for audiences with other sports, entertainment and leisure activities, including expanding streaming offerings. Its properties also compete for athletes and performers with other live combat sports and sports entertainment platforms.
• International operations: Political instability, diplomatic changes and unfavorable economic conditions can affect overseas operations. Distance, language and cultural differences can make operations harder to manage, while less sophisticated legal systems can impair enforcement of contracts.
• Regulation and intellectual property: TKO faces rules covering athlete licensing, event promotion, privacy, labor and other matters. Noncompliance can result in enforcement actions, fines or other consequences. Limits on ownership or enforcement of intellectual property rights are also a risk.
• Debt and structure: Substantial indebtedness could limit financing, acquisitions and responses to a downturn, while requiring cash flow for debt payments. TKO Group Holdings is a holding company dependent on distributions from TKO OpCo to pay taxes and other expenses.

Bottom line

Our reading

Our reading: TKO combines owned sports and entertainment properties with services for other rights holders, earning money from both long-term media contracts and individual events (item1; item7). Its brands and distribution relationships support that model, while audience preferences, competition, regulatory obligations and debt remain important exposures (item1; item1a).