UFC saw a 64% increase in EBITDA and 104% increase in a PPV sales in 2015

[kpt018]

Earnings before interest, taxes, depreciation, and amortization is good but I'd love to see their interest expense. I read somewhere that the Station Casinos shovelled a bunch of debt into Zuffa. I wonder if that's true?

http://www.zuffainvestoralerts.org/2013/01/zuffa-basic-financials.html

I have no idea if the site is reliable, but interest was $20m (about right for $485m in debt) according the link. They took on a ton of debt to basically be the only show in town. I wonder when they'll buy Bellator lol.

 

[kpt018]

MMA is always gonna be structured around the spectacles. It can't have a regular schedule like normal sports because "games" can't be played regularly for health reasons. And the biggest spectacles are the ones containing the biggest stars. Because of that, the UFC is only as big as its biggest stars at the time. Basically, 2014 had no stars and 2015 had Conor and Ronda.

In 2014, both Silva and GSP were absent. Jones only fought once. Conor and Ronda were only rising as stars and not yet PPV draws. There were also injury problems and a record high amount of shows, spreading the cards thin. On top of that, there was neither a new year show at the start or end of the year, as UFC 168 fell in 2013 and UFC 182 fell in 2015.

In 2015, Ronda Rousey became the biggest mainstream star in UFC history, and a PPV draw, bringing in nearly 3 million in PPV buys, and setting a new attendance record. Conor McGregor became the biggest star in certain ways, bringing in huge PPV numbers himself as well as record-setting gate numbers. UFC 189, UFC 193, and UFC 194 are among the most historically significant shows ever, and they all happened in 2015. Jones/DC and Anderson Silva's return against Diaz also brought the PPV numbers. 2015 could be a tough year to top, but we'll see if the UFC can do it this year with UFC 200, multiple Conor fights, potentially multiple Jones and Silva fights, Rousey/Holm II, and maybe the return of GSP.

Good points. They also need their stars to win. If Conor gets exposed, Bones goes on a coke binge, the top guys in the HW division keep getting hurt and Ronda retires, it will hurt them in the short term. But they seem to continually crank out stars.

 

[skysolo]

http://www.bloodyelbow.com/2016/2/15/10985436/moodys-reports-a-big-2015-for-the-ufc

Where you at whiners?

The UFC is a private entity with no obligation to release financial information. There is no reason to believe those financials.

 

[DaveHilly]

http://www.zuffainvestoralerts.org/2013/01/zuffa-basic-financials.html

I have no idea if the site is reliable, but interest was $20m (about right for $485m in debt) according the link. They took on a ton of debt to basically be the only show in town. I wonder when they'll buy Bellator lol.

I had read that the Fertitas dumped their other corps debt into the UFC, I didn't realize that it may have been debt taken on for expansion.

I don't think that we'll be seeing Zuffa buy Bellator any time soon for a couple reasons. First, because of the anti competition suit that they're currently fighting, and second because I think that Viacom has decided that they want to be in the MMA game. So even if the UFC bought up Bellator I think that Viacom would create a new promotion and the same thing would keep happening, they'd slowly collect some valuable contracts until they were a legitimate competitor, at which point the UFC could purchase them again. The problem with that whole thing is that the UFC can just pay fighters more now to keep them so that they have no reason to buy an organization for the contracts later on.

Hey look everybody, I know what EBITDA is!!!

GTFO of here,biatch

Calm down, I wanted to write it out because some people don't know that interest is in there. A lot of people don't know where it is included in an income statement. I'm not trying to big time anybody here! I'm just curious about their interest because of what I read about their debt collection.

 

[John Wick]

Congratulations UFC. Now pay your damn fighters.

 

[SSgt Dickweed]

http://forums.sherdog.com/threads/ufc-ppvs-and-hollywood-box-office-comparison.3046041/

 

[giusti825]

Yes, because fighters are getting a cut of this gargantuan profit.

Not that they would need any bonuses of that sort. Theyre making great money. 10k per fight from which they should deduce taxes & expenses ... and a whopping 2500$ from reebok, plus shoes and sneakers.

Bellator's free for all sponsorship system could in no way compete with that. I dont see top 10's moving to Bellator because of that, or using it as a bargaining chip to increase their already immense UFC salary.

That 2500 from reebok is in payment and apparel. They dont get the full 2500. They likely get 1250 in payment and the other half in free apparel.

 

[Karaev fan]

Calm down, I wanted to write it out because some people don't know that interest is in there. A lot of people don't know where it is included in an income statement. I'm not trying to big time anybody here! I'm just curious about their interest because of what I read about their debt collection.

Not to be a douche, but you're digging your own grave here.

EBITDA isn't included on an income statement. It's a non-GAAP metric.

 

[Magnum1978]

Well done to Zuffa, that's solid business

Connor and Rousey should be handsomely rewarded

The over hype obviously works, so expect more Sage's PVZ's etc who bring in the dollars

 

[DaveHilly]

Not to be a douche, but you're digging your own grave here.

EBITDA isn't included on an income statement. It's a non-GAAP metric.

Well we use IFRS and ASPE in Canada lol, but yea I feel you, it's a worksheet kinda thing/finance. I'll just back off.

 

[cocoTHEONLYdiaz]

My torrent rating went up 500% last year....screw ufc brass

 

[stav]

Only because of Conor and Ronda.

Without them, the UFC is dying threads would still be there.

And without GSP and Brock b4 then the UFC was dying.
And b4 then it was chuck and Randy.

There is always stars. That's what the business always relied on. It is not new.

The truth though is that while Conor and Rhonda made up the bulk of 2015's PPVs they had big cards like Silva/ Diaz and Jones Cormier.

The 2 star rule followed by at least 1-2 good drawing fighters at any one time has been constant through the last 10 years. This is what keeps the UFC going.

When Chuck and Randy were the stars they had Hughes who also could draw.

When it was GSP and Brock they had Silva and BJ who could draw, as well as a revolving door of LHW champs like Machida, Rampage, Shogun, Rashad and Forrest that had decent PPV numbers at every title defence despite there being no dominant champ during that period.

Now we have Rhonda and Conor with Jones being the decent Draw under them as well funny enough Lawler while not being a huge draw is good for 400k PPVs which is quiet decent. The HW division has always been consistent in drawing "OK" numbers no matter the champ.
Even Tim Sylvia had decent PPV numbers.

The formula has been consistent with the UFC the 2 big stars with a couple of good back up stars.

 

[KingOfThePikeys]

Good for Zuffa, the Fertitas, and Dana White. They earned it. They don't owe the fighters anything more than what they're contractually obligated to pay. They already pay more than that through back room bonuses just out of generosity. The owners bare the risk so they should take the reward. Let's see the fighters try to start a successful MMA promotion if they want to complain

 

[Mikedh]

And without GSP and Brock b4 then the UFC was dying.
And b4 then it was chuck and Randy.

There is always stars. That's what the business always relied on. It is not new.

The truth though is that while Conor and Rhonda made up the bulk of 2015's PPVs they had big cards like Silva/ Diaz and Jones Cormier.

The 2 star rule followed by at least 1-2 good drawing fighters at any one time has been constant through the last 10 years. This is what keeps the UFC going.

When Chuck and Randy were the stars they had Hughes who also could draw.

When it was GSP and Brock they had Silva and BJ who could draw, as well as a revolving door of LHW champs like Machida, Rampage, Shogun, Rashad and Forrest that had decent PPV numbers at every title defence despite there being no dominant champ during that period.

Now we have Rhonda and Conor with Jones being the decent Draw under them as well funny enough Lawler while not being a huge draw is good for 400k PPVs which is quiet decent. The HW division has always been consistent in drawing "OK" numbers no matter the champ.
Even Tim Sylvia had decent PPV numbers.

The formula has been consistent with the UFC the 2 big stars with a couple of good back up stars.

Good point, they also make a killing in TV now after making paltry money on Spike.

During that time they made the UFC into a TV money machine with fox though. They make many times what they used to on TV and have trained a fairly large fan base to watch 10 fight 7 hour cards multiple times per month. Combat sports has always revolved around a couple stars but UFC has a lot of fans that will seek out every fight.

 

[DrDangles]

Also interesting was that I read distributed earnings to shareholders was $51 million.

That would mean roughly $5 million for Dana, $6 million for the Sheikh, $20 million for Uncle Frank and Lorenzo each.

So it means Dana is making about $5 million a year from ownership + his salary as President of the UFC. Hes making big bucks, but it doesnt seem like he is anywhere near Feritita level