WWE Reports $325.3m in 2022 4th Quarter Earnings Revenue amid Vince McMahon's Return

WWE generated a company record $1.3 billion across its 2022 fiscal year, sparked in part by a $325.3 million fourth quarter.

"2022 was another strong year for WWE," chief executive officer Nick Khan said Thursday. "We generated record financial results and our business continued to perform well due to the strength of our content and brand, which drove audience engagement and monetization across multiple platforms."

Live events were one area where WWE saw a big boost to its bottom line. Based on its full earnings report, the company made $57.8 million in revenue from live events in 2021. That figure rose to $123.1 million in 2022, with ticket sales more than doubling from $46.3 million to $97.9 million.

WWE also boasted of a 70% increase in domestic viewership on the Peacock streaming service. The Royal Rumble this past Saturday had its highest-ever viewership.

WWE said it's projecting to have even higher overall revenue in 2023:

"This anticipated performance reflects an expected increase in media rights fees for the Company's flagship weekly programming and premium live events, as well as a full live events touring schedule, including two large-scale international events, and an increase in advertising and sponsorship revenues."

However, it remains to be seen what—if any—impact Vince McMahon's return to an official role within the company will have on achieving new media rights deals.

Last June, WWE announced McMahon was removing himself from his chairman and CEO duties pending an investigation into allegations of misconduct. The following month, he abruptly retired.

The step came after the Wall Street Journal's Joe Palazzolo, Ted Mann and Joe Flint reported McMahon had paid more than $12 million to settle sexual misconduct allegations. Federal authorities became involved to scrutinize whether the payouts had been reflected in WWE's corporate earnings.

For all intents and purposes, it looked as though McMahon's long reign at the top of WWE was over.

Then the 77-year-old unexpectedly announced on Jan. 5 he was looking to return as the executive chairman of the board, at the same time removing three members of the board and installing three hand-picked replacements.

"WWE is entering a critical juncture in its history with the upcoming media rights negotiations coinciding with increased industry-wide demand for quality content and live events and with more companies seeking to own the intellectual property on their platforms," McMahon said.

That renewed rumors of a sale, or perhaps a deal that would allow McMahon to take the company private again.

Given his experience and the extent to which he's synonymous with WWE, his presence could strengthen the company's position when negotiating over a new media rights contract. Conversely, the scandalous circumstances leading to his hiatus could turn away potential suitors or lead them to drive a hard bargain.