TKO Group Holdings Sees Profitability Rise After UFC-WWE Merger

TKO Group Holdings (TKO) made an appearance at Goldman Sachs Communacopia + Technology Conference 2026, where it showcased itself as a larger and more profitable sports and entertainment platform following its UFC-WWE merger. According to President and COO Mark Shapiro, the company is benefiting from stronger margins, lower leverage, and rising free cash flow.

Shapiro stated that TKO is built to expand across media rights, live events, partnerships, and premium experiences, with a growing international footprint and a capital return program including dividends and aggressive share buybacks. He also emphasized the company's view of sports as a durable category in an AI-heavy media market.

TKO expects EBITDA margins of 39.6% at the midpoint of guidance this year, up 600 basis points from a year earlier. Leverage is expected to fall below 2x by year-end, while normalized free cash flow conversion is projected at 60% or higher.