UFC Revenue Reaches $1.5B in 2025 as WWE Surpasses MMA Giant
UFC closed 2025 with $1.502 billion in revenue and an $851 million adjusted EBITDA, maintaining one of the highest profit margins in global sports. Yet for the first time since TKO Group Holdings was formed, the mixed martial arts promotion was eclipsed by its corporate sibling WWE in both total revenue and absolute profitability — a shift driven largely by WWE’s new media rights surge.
UFC’s Profit Machine Remains Intact
The promotion’s 7% year-over-year revenue growth underscores the durability of its business model. Media rights remained the backbone, climbing to $907.7 million as existing broadcast agreements delivered built-in escalators. Sponsorship and marketing revenue rose sharply, reaching $314.3 million, bolstered by new partnerships and renegotiated deals.
Live events and hospitality revenue climbed to $232.9 million, reflecting the UFC’s global touring strategy, which continues to extract premium gate receipts and site fees from host cities eager to stage marquee cards.
Adjusted EBITDA reached $851 million, translating to a 57% margin. Few sports properties operate at that level of efficiency. Even as total revenue expanded modestly, the UFC preserved its reputation as TKO’s margin leader — a distinction rooted in centralized operations, tight cost control, and a lean athlete compensation structure relative to revenue.
WWE’s Media Rights Reset Alters the Balance
While UFC posted another strong year, WWE’s new distribution agreements shifted the financial spotlight. WWE generated $1.709 billion in revenue, outpacing UFC by more than $200 million. Adjusted EBITDA reached $896.5 million, clearing the UFC by roughly $45 million.
The primary catalyst: media rights realignment. WWE’s agreements, including its high-profile partnership with Netflix for Monday Night Raw and additional ESPN arrangements, drove a substantial revenue step-up in 2025. Unlike the UFC’s steady contractual escalators, WWE experienced a structural reset in rights value — a surge that reshaped the internal balance within TKO.
Despite trailing in margin percentage at 52%, WWE’s absolute earnings advantage marked a symbolic turning point in the conglomerate’s portfolio.
Zuffa Boxing Signals Strategic Expansion
Beyond the UFC-WWE comparison, TKO’s launch of Zuffa Boxing in January 2026 adds a third combat sports pillar. The venture’s management and promotional revenues are currently housed within TKO’s “Corporate and Other” segment, which posted 17% growth to $199.1 million in 2025.
Executives framed the boxing initiative as a long-term growth driver rather than an immediate earnings boost. If major event staging scales successfully, it could diversify revenue streams and reduce dependence on legacy media rights structures across both UFC and WWE.
TKO’s Broader Financial Picture
On a consolidated basis, TKO generated $4.735 billion in revenue and $1.585 billion in adjusted EBITDA for 2025, representing a 47% increase in EBITDA year-over-year. Free cash flow reached $1.159 billion. The company returned more than $1.3 billion to shareholders through buybacks and dividends — an aggressive capital allocation strategy uncommon among sports entertainment firms.
For 2026, TKO projects revenue between $5.675 and $5.775 billion, with adjusted EBITDA ranging from $2.240 to $2.290 billion — signaling continued double-digit growth. The company also announced plans for up to $1 billion in additional share repurchases.
What It Means for the Combat Sports Landscape
UFC remains among the most profitable sports properties globally, but the competitive narrative within TKO has shifted. WWE’s rights escalation demonstrates how distribution leverage can rapidly reconfigure corporate hierarchies in sports media. The UFC’s model remains stable and highly efficient, yet it did not benefit from a comparable step-change in broadcast valuation during 2025.
Long term, the convergence of MMA, professional wrestling, and boxing under one corporate umbrella positions TKO as a dominant force in combat sports entertainment. The internal rivalry between UFC and WWE may be less about competition and more about portfolio balance — but in 2025, WWE seized the financial momentum.
Source: https://www.mmanews.com/article/ufc-revenue-1-5-billion-2025-tko-earnings