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Sep 30, 2021

Endeavor Q3 2021 Earnings Report

Endeavor's Q3 2021 financial results were released, demonstrating growth and recovery from the pandemic's impact.

Key Takeaways

Endeavor reported a strong Q3 2021 with revenue of $1.4 billion and a net income of $63.6 million. The company benefited from the increased demand for premium content and live events as the pandemic's impact lessened. Increased revenue guidance for 2021 was also announced.

Delivered best nine-month, year-to-date period in UFC history.

Representation revenue increased significantly due to the resumption of productions and touring events, and increased brand spending.

Announced the intended acquisition of OpenBet to integrate with the Company’s IMG ARENA business.

Increased 2021 revenue and adjusted EBITDA guidance.

Total Revenue
$1.39B
EPS
$0.33
Adjusted EBITDA
$283M
Gross Profit
$1.39B
Cash and Equivalents
$1.03B
Free Cash Flow
$296M
Total Assets
$10.7B

Endeavor

Endeavor

Endeavor Revenue by Segment

Forward Guidance

Endeavor increased its full year 2021 revenue and adjusted EBITDA guidance.

Positive Outlook

  • Revenue is expected to be between $4.89 and $4.95 billion
  • Adjusted EBITDA is expected to be between $835 and $845 million
  • Capitalizing on the elevated demand for premium content
  • Capitalizing on the elevated demand for live events
  • Unique positioning within the sports and entertainment industry

Challenges Ahead

  • Impact of the COVID-19 global pandemic on Endeavor’s business
  • Changes in public and consumer tastes and preferences and industry trends
  • Dependence on key relationships with television and cable networks
  • Dependence on key relationships with satellite providers
  • Dependence on key relationships with digital streaming partners

Revenue & Expenses

Visualization of income flow from segment revenue to net income