According to a recent Moody’s Investors Service announcement, UFC Holdings, LLC, generated “well over $700 million” in revenue over the last 12 months ending in March 2018. UFC Holdings is the name of the corporate entity after Zuffa sold the promotion to Endeavor, Silver Lake Partners and Kohlberg Kravis Roberts & Co.
Former owners Frank and Lorenzo Ferttita are reported to have earned a $175 million payout for the record-setting accomplishment of a $275 million EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) over the Last Twelve Months (LTM) before the end of 2017.
To put that into perspective, the Earnings Before Interest figure was $226 million in 2016 and $189 million in 2015.
The Ferttita brothers stand to receive an additional $75 million at the end of 2018 if the UFC achieves an amount of $350 million in Earnings Before Interest.
Of course, 2017 saw the UFC earn a big piece of the blockbuster Floyd Mayweather vs. Conor McGregor pie, which likely played a part in last year’s record-setting revenues, earning the promotion about $200 million towards the overall $700 million figure.
Beyond that, the UFC still managed to score record numbers despite not having superstars like Brock Lesnar and the now-retired Ronda Rousey.
Moody’s Service announcement says the UFC’s upcoming deal with ESPN will be a “material positive event, but (doesn’t) impact the company’s B2 corporate family rating or stable outlook.”
The promotion currently has roughly $2 billion in debt and was sold by Zuffa for $4 billion to Hollywood-backed Endeavor back in July, 2016.
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