Quote:
Originally Posted by xrodmuc316
AEW is not profitable, no matter how many times Dave Meltzer says it is. It is a passion project Tony Khan got his father to foot the bill for.
There is 0 ways they can give every wrestler the "biggest and best contract of their whole careers" while the only revenue they get is a lower value TV deal, a few dollars on 50,000 t-shirts from pro wrestling tees, and PPVs that get 125,000 buys 4 times a year.
NXT was not meant to turn a profit, but then they got a TV deal which at the very least turned whatever they were losing into a profit threefold. That is not even counting the WWE ad rate deals, nor whatever way WWE wants to classify NXT's share of that new $200 Million a year Peacock deal and the overseas WWE Network subscribers.
Nobody on NXT's roster is making a million dollars a year. AEW is paying that to a 50 year old commentator for their lower profile YouTube show.
If you knew anything about P&L reports, there is no column for "daddy gave me more money, yay we are profitable".
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That's right, we shouldn't trust a reporter who actually knows the details, but rather a troll who didn't have his facts straight. AEW's TV deal pays them $15 million more than NXT's does, they have PPV revenue that NXT doesn't in the neighbourhood of $10-15 million a year, live ticket sales that were strong pre-pandemic and merch as a cherry on top. Oh, and they actually do get a cut of those ad sales, unlike NXT that was reported as only getting a flat fee, which if true, you also got wrong.
Here's a tidbit regarding NXT's profitability - "WWE co-president George Barrios was asked on the earnings call on October 31, 2019 if NXT (which debuted on USA the month prior) was now an EBITDA contributor. He declined to answer and deflected to emphasizing the long-term opportunity of monetizing NXT."
Sure doesn't sound that deal is making them money. But whatever, you've already decided the answer in your own mind.