Media Does this end the fighter pay talk for you?

[Tapatio]

 

[Poirierfan]

Is this the face of a liar?
View attachment 882416

Yes, lol.

 

[greatsantini]

Well, the problem with that logic is there are operating expenses and capital expenditures.

Operatiing expenses aren't the only expenses a business has. As I stated above every business also has to spend money on maintaining the property, improving or buying property, and developing business lines that aren't included in operating expenses. So you spout off about operating expenses being less than 50% of revenue but conveniently disregard capital expenditures that companies have to make to improve their businesses. Their total expenses are probably well over 50%.

according to John Nash their capex is around 3%. That’s it.

 

[abject]

It's never been an issue for me as I've always understood this, but does this end the debate for you?

Epic rant by Dana. Fuck Oscar.

Hopefully not reposted.

Dana is a one percenter and earns the same as 50% as the roster. Capitalism. Is normal.

 

[SirRealKiller]

according to John Nash their capex is around 3%. That’s it.

Well, that's a funny number because it fluctuates a lot year to year. They will have years where it's less than 3% but when they built the Apex center it was much more than that. They probably have years where it's 3% but I doubt that's typical.

 

[TorontoTO]

Here's the thing.

Look at the medical industry. People rag on them too, like drug companies. But there's massive overhead in research to develop drugs. So people point out that it costs them 50 cents to make a pill and they charge $50 per pill and say they are ripping people off. The thing is they probably spent billions in research and development over a decade or more to develop that.

Same applies to the UFC, like he said they built a huge platform for MMA. It cost a shit ton of money to build it and they keep expanding it.

People talk about they only pay the fighters 16-20% of revenue. Does nobody have a fucking clue about business? Typical businesses have costs roughly 40-50% of revenue. So that leaves 50-60% for profits. You take out 20% for development, that leaves 30-40%. You pay fighters 18% that leaves 12-22% profit for the owners. IDK, that seems pretty fair to me.

Ya no, I work in the medical industry and while the overhead is some circumstances, they make profits on profits far outreaching any research costs and most of the research is just for ways to treat symptoms and not diseases. Even after all the costs to bring a drug to market, the profits are still a good 5-20 billions in cash left over, per year. It takes about 1-2 billion over a decade to put a drug into the market, so you do the math. Also lots of research is heavily government subsidized, aka your tax dollars.

Good job for falling for the propaganda tho, I'll tell the boys in charge of the PR and media departments that they did a great job.

 

[greatsantini]

Well, that's a funny number because it fluctuates a lot year to year. They will have years where it's less than 3% but when they built the Apex center it was much more than that. They probably have years where it's 3% but I doubt that's typical.

The Apex was $20 million or about 2% of their current revenue. The PI was about half that. Again people are vastly overestimating their expenses. They issued a $300 million dividend for 2019 that would have been after CAPEX expenses and the interest on the loan they took out to pay the Fertittas.