Paris Olympics Boost Endeavor Earnings as Silver Lake Deal Nears Completion

Sports were the big growth driver for Endeavor in its third quarter, with the company's owned sports segment (primarily its stake in TKO Group Holdings) growing by 53 percent, and with the Paris Olympics bolstering the company's events and experiences division.

Endeavor had revenue of $2.03 billion in the quarter, and a net loss of $420.4 million, with adjusted EBITDA of $277.6 million

The company's owned sports segment had revenue of $735.2 million, up more than 53 percent, largely driven by TKO and growth at PBR (which will soon be a part of TKO).

The company's events, experiences and rights segment saw its revenue soar by more than 145 percent year over year to $899.8 million thanks to On Location's hospitality business at the 2024 Paris Olympics

The representation segment had revenue of $429.2 million, up more than 11 percent, owing to growth in WME's talent and music businesses, offset by decreases in unscripted content production.

Endeavor is in the midst of multiple deals that will remake the company. First, it plans to offload PBR, On Location and IMG to TKO, which it also controls. It is also seeking buyers for the Miami Open, the Madrid Open, Frieze, OpenBet and IMG Arena.

And early next year Endeavor will complete a go-private transaction with Silver Lake, removing the firm from the public markets.

"During the quarter, our owned sports and representation segments delivered solid results driven by continued consumer demand for live events and content," said Endeavor CEO Ari Emanuel. "As we work toward the close of our take-private transaction with Silver Lake, we remain focused on delivering for our clients, partners, and shareholders, maintaining momentum throughout our business, and completing the sale of PBR, On Location and IMG to TKO."