WWE Announces 4th Quarter Financial Results: Net Income Drops 28%

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World Wrestling Entertainment released its fourth quarter 2010 earnings report this morning. Here are some of the highlights of the conference hosted by WWE Chairman and CEO Vince McMahon:

– Revenues totaled $122.5 million compared to $117.3 million in the same quarter in 2009, a growth of 4%

– Operating income was $14.4 million as compared to $17.8 million in the prior year quarter, a decline of 19%.

– Net income was $8.1 million, or $0.11 per share, as compared to $11.2 million, or $0.15 per share, in the prior year quarter, a decline of 28%

WWE chairman Vince McMahon commented in the report. “In 2010, WWE achieved record operating performance, generating the highest level of reported EBITDA in the Company’s history despite a challenging environment, particularly over the latter part of the year,” McMahon said. “Difficult trends continued in the fourth quarter and were exacerbated by the performance of Home Video.

“For the quarter and the full year, our businesses exhibited three major areas of strength: increased value from our television content, significant growth from our new toy licensing partnership with Mattel, and continued financial discipline. These strengths served to mitigate the impact of a weak economy, changes in our talent base, and unfavorable industry trends in home video.

“We remain confident that we can address our talent related challenges, expand both our content and distribution and, leveraging our strengths, drive meaningful growth.”

We’ll have a lot more details throughout the day on WWE’s fourth quarter earnings, which came in significantly lower than what was initially projected.

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