As previously reported, TKO Group Holdings, Inc., the parent company of WWE, announced its fourth-quarter earnings for 2025 and full-year results in a detailed press release on February 25. The release highlighted costs associated with certain litigation matters, including antitrust litigation involving WWE stockholders and issues concerning former WWE Chairman Vince McMahon.
According to the press release, McMahon has reimbursed the company over $12.2 million in relation to the WWE Board of Directors' investigation into him, following a lawsuit filed by former employee Janel Grant against both the company and McMahon in early 2024. This lawsuit led to McMahon's departure as Executive Chairman of the Board at TKO.
The filing also noted that TKO has taken on $3.5 million in liabilities related to future payments owed by McMahon as part of the WWE acquisition. These costs are recorded as “$3.5 million of expenses associated with payments made directly by McMahon to certain counterparties.” Furthermore, these expenses are included within the selling, general, and administrative expenses in TKO's consolidated statements of operations. TKO's notes indicate that McMahon has agreed to reimburse the company for any additional costs incurred in connection with these matters.
Endeavor-IMG completed its acquisition of WWE in September 2023. Following the acquisition, McMahon was appointed Executive Chairman of the Board of the newly formed TKO Group Holdings, Inc., but he stepped down from this position in January 2024 after Grant filed her lawsuit.
