WWE shares rise 6% on earnings beat
World Wrestling Entertainment Inc.
WWE,
shares were up 6% in after-hours trading Thursday after the sports-entertainment company reported fiscal second-quarter earnings that exceeded Wall Street estimates. WWE reported net income of $43.8 million, or 52 cents per diluted share, compared with net income of $10.4 million, or 11 cents a share, in the year-ago quarter. The company laid off employees during the quarter as part of significant cost cutting. Revenue fell 17% to $223.4 million from $268.9 million a year ago. WWE has been hit harshly by coronavirus, which has eliminated its ability to host events with fans and, surprisingly, driven its TV ratings to all-time lows. And with the return of professional sports, those ratings could plunge even lower. Analysts surveyed by FactSet had expected adjusted net income of 15 cents a share on sales of $231 million. WWE’s shares are down 30% this year. The broader S&P 500 index
SPX,
is up 0.5% in 2020.
