WWE released their third quarter numbers and they had some real explaining to do.
Tony Maglio reports that WWE’s third quarter financials show a significant drop, but there is a reason for that. WWE’s net income for the WWE Network dropped by 83% from the last third quarter. It is said that this is due to the performance and not having as many tax benefits.
WWE Network had 1.51 million average paid subscribers in #Q3, down 9% from the prior year.
That 20,000 fewer than management expected. WWE now expects a decline to 1.43 million in Q4, which would be a 10% drop year over year.
I charted every quarter of #WWENetwork’s average paid subscribers since in launched in Feb. 2014 here if you wanna see that WWE’s net income dropped 83% from last #Q3 to this one. That’s due to performance and fewer tax benefits.
That’s a big number on a percentage basis, but we’re dealing w/ relatively light income to begin with ($33.6 million to $5.8 million), which makes it look so dramatic.
We’ll have to to see if they can turn things around with more shows to capture fans’ attention. With Steve Austin getting a new WWE Network show sometime soon that could always help. In the meantime, it does look like a very dramatic loss on paper.