World Wrestling posts earnings, revenue decline, hurt by lower consumer products sales

World Wrestling posts earnings, revenue decline

STAMFORD, Conn. — World Wrestling Entertainment Inc. reported a drop in its fourth-quarter profit and sales Thursday as it continues picking itself up from the mat after the blow of the recession.

It earned $11.2 million, or 15 cents per share, in the three months that ended Dec. 31, down 18 percent from $13.6 million, or 18 cents per share, a year earlier.

Its revenue fell 6 percent to $117.3 million, led by a decline in its consumer products division. Its live-event, pay-per-view, and television businesses all posted gains.

Analysts polled by Thomson Reuters on average expected it to report profit of 18 cents per share on revenue of $123.8 million. Analysts typically exclude one-time items from their estimates.

World Wrestling said the most recent quarter included a $6.4 million write-down and a $5.8 million tax gain, but it did not provide an adjusted profit figure.

The shares were down 3 cents, trading at $16.23 at midday.

For the full year, it earned $50.3 million, or 68 cents per share, compared with $45.4 million, or 62 cents per share, in 2008. Full-year revenue dropped nearly 10 percent to $475.2 million.

World Wrestling also said Thursday that Basil V. DeVito Jr., a 25-year veteran of the company, has been elected to its board.

He has served since 2003 as a senior adviser for business strategies.