Recently, details surrounding some of the UFC’s business standings were made public in an SEC (United States Securities and Exchange Commission) filing. In April, Endeavour purchased WWE with plans of merging it with UFC. While the two entities likely won’t crossover, the merger came at a massive price tag for its parent company.
While financial concerns are a thing of the past for the Las Vegas-based promotion, the issue of fighter pay keeps looming over the leading MMA juggernaut. UFC recruits several athletes every year who try to do their best in the Octagon. However, many fighters aren’t happy with what they earn for their in-cage outings. A few have even quit the company after having contract disputes.
On May 12, Endeavor Group Holdings, Inc. filed financial statements with the SEC for UFC, an organization they purchased in 2016. The WWE did likewise, as both entities prepare for their planned merger at the end of 2023.
UFC is making an insane amount of money, with profits that exceed literally every other fight promoter in the world… combined.
Meanwhile, fighter pay has dropped even more and their revenue share might just be the worst it’s ever beenhttps://t.co/Bk0ibAHsLD
— Anton Tabuena (@antontabuena) May 22, 2023
The said filing includes details about their Sports Properties, and UFC makes up the biggest chunk. For the most part, the report doesn’t consist of specifics regarding the company’s finances. However, it does contain consolidated statements that give away enough about their finances for the last 3 years.
Looking through the financial details, one can only conclude that the UFC runs an amazingly unparalleled business while at the top of the mountain. However, the likes of Francis Ngannou have left the company to join its rivals in recent times. Many former fighters have even come out to claim they make better purses than they did while in the UFC.
UFC marked its highest-ever revenue last year
According to the filing, last year the UFC generated $1.140 billion in revenue. This marks the highest revenue the company has ever reported for an annum. And if reports are to be believed, the promotion made more profits than all other MMA and boxing organizations combined.
As per a report by John Nash from BloodyElbow, the SEC filing has shown the PPV revenue share dropping to the range of 13% – 14.5%, thanks to a reduction in “athlete costs” which includes fighter pay. This estimate would mark the lowest fighter pay share in the Endeavor era.
CBS Sports combat sports analyst Luke Thomas made a comment on the reported profits. “They made in profit – profit – this is how much they get to fully keep on their own after all of their expenses,” Thomas said. “This is take-home pay. They made $387 million in 2022 alone. Profit.”
The UFC made more in 2022 than every combat sports promoter combined.#MorningKombat w/ @Lthomasnews & @Bcampbell is LIVE: https://t.co/uZoEVSP5v5 pic.twitter.com/UrxzMBq21G
— Morning Kombat (@morningkombat) May 22, 2023
To put things into perspective, the company made a revenue of $891 million in 2020. Whereas in 2021, it was marked at $1.031 billion.
In terms of profits, the year 2020 saw the promotion generate $177 million, whereas the following year saw a huge jump to $272 million. The reports describe last year’s profits to be at $387 million. The Direct operating expenses for the three years stand at 30%, 32%, and 29% of the revenue.
This huge revenue has now put the fans in dilemma once again as the promotion continues paying its athletes less. Unfortunately for the athletes, their base salary continues to stay between $10,000 and $30,000. This purse continues to grow for the top-tier athletes who earn more as their UFC run continues.
This excerpt from @heynottheface‘s reporting on the UFC’s most recent financial report is stunning.
The UFC is likely making more than *all MMA AND boxing promotions combined*. Might be most any promoter has ever made in a single year.https://t.co/bLMWzARkeZ pic.twitter.com/dTJYpJjUcy
— Luke Thomas🏋️♂️ (@lthomasnews) May 22, 2023
A top-tier UFC athlete can earn anywhere between half a million dollars to $3 million and more, depending on their marketability and the magnitude of the fight. Aside from that, the company also gives out post-fight bonuses, which continue to stay at $50,000.
For now, speculations suggest this year will be another profitable year for the UFC. The promotion has already hosted star-powered cards, including the return of Jon Jones. Irish megastar Conor McGregor also looks to make his grand comeback by year-end.