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Discussion Starter #1 (Edited)

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So if they are making great profits could it mean that they will maybe consider continue keeping it at the performance centre or a fixed arena in the future?
 

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They cut millions in expenditures while maintaining their over-inflated television contracts... how is a high profit margin shocking?

The "WWe is dying" mentality comes from the expectation that collapsing ratings will prevent WWe garnering the billion dollar television deals that keep them afloat in the future.
 

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these stupid analyst suck soo badd. 😂 😂

I'm looking at the results now.

Revenue down by 45m, they decreased their operational expenses by 80m.

I assume the analyst took an operational expense similar to the one from last year and that's the 35-40m difference in the estimates.
 

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Sorry, but I don´t take Meltzers word for anything.
From S.I (I´m not sure it´s allowed to post links to other wrestling related sites)
"
Investors wanted to see expenses reduced, so that is the route McMahon took. The employees were cut because McMahon’s top priority is his fiscal responsibility to his shareholders, and a combination of lost revenue from the WWE and XFL put him in a position where he chose to act before Wall Street completely devalued his stock.

To McMahon, the wrestlers he cut were expendable. The priority here was the company stock, and Wall Street rewards when companies work lean. WWE stock has underperformed throughout 2020, but it took a slight jump on Wednesday following the news of the cuts. It has been common among big corporations to reduce cash and lay it at the feet of the pandemic, and this was McMahon’s chance for WWE to look fiscally responsible.

"
 

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They made those cuts to make sure they hit their expected profit margin.. It´s no secret.
That in itself is scummy. Releasing talent they had been hoarding like crazy should have been the last resort, even if they were just struggling to break even.
 

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That in itself is scummy. Releasing talent they had been hoarding like crazy should have been the last resort, even if they were just struggling to break even.
That´s how business works. And the larger the company, the less they care about employees. I can´t get mad at WWE for doing it, it´s no different from a lot of other big companies who just managed to do it quietly. As you say, it´s scummy, but money (and investors) talk.
 

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That´s how business works. And the larger the company, the less they care about employees. I can´t get mad at WWE for doing it, it´s no different from a lot of other big companies who just managed to do it quietly. As you say, it´s scummy, but money (and investors) talk.
That's not necessarily how all businesses work. Money is ofcourse important but so is goodwill. For decades they have been making money off of talent they rely on and cut them loose at the first chance they got right when the shit hit the fan. Such business practices are looked down upon.
 

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That's not necessarily how all businesses work. Money is ofcourse important but so is goodwill. For decades they have been making money off of talent they rely on and cut them loose at the first chance they got right when the shit hit the fan. Such business practices are looked down upon.
Looked down upon by blue collar workers. The money men only care about profit. Big companies like Nestle, Google, Facebook and others don´t pay taxes (at least not compared to their profits) in Europe, they use all sorts of loopholes to avoid it. The rich people only think about how to get richer.. And if it´s at the cost of the common man, then so be it.
I don´t agree with these tactics, I´m just saying I understand how it works.
 

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They cut millions in expenditures while maintaining their over-inflated television contracts... how is a high profit margin shocking?

The "WWe is dying" mentality comes from the expectation that collapsing ratings will prevent WWe garnering the billion dollar television deals that keep them afloat in the future.
WWE cannot die unless the TV deals are cancelled and RAW/Smackdown are not picked up by another media entity.
 

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Looked down upon by blue collar workers. The money men only care about profit. Big companies like Nestle, Google, Facebook and others don´t pay taxes (at least not compared to their profits) in Europe, they use all sorts of loopholes to avoid it. The rich people only think about how to get richer.. And if it´s at the cost of the common man, then so be it.
I don´t agree with these tactics, I´m just saying I understand how it works.
None of the big companies you mentioned lay off any employees, FB is even planning to hire 10000 new workers this year.

I dont have a problem with rich getting richer. More power to them... my point was WWE could have still been profitable without releasing talent. It wasnt even that big of a percentage they saved from it.
 

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WWE cannot die unless the TV deals are cancelled and RAW/Smackdown are not picked up by another media entity.
This scenario would lead to massive layoffs. They will have to cut costs in that scenario. I think their relationship with USA is great but Fox on the other hand 👀
 

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Just for reference the live mlb game last night on ESPN did 0.25 in 18-49 demo and 752,0000 viewers.

Mlb make $2 billion a year from US tv money which makes WWEs tv deal look like chump change in comparison

None of the big companies you mentioned lay off any employees, FB is even planning to hire 10000 new workers this year.

I dont have a problem with rich getting richer. More power to them... my point was WWE could have still been profitable without releasing talent. It wasnt even that big of a percentage they saved from it.
Lots of companies have The coronavirus outbreak has triggered unprecedented mass layoffs and furloughs. Here are the major companies that have announced they are downsizing their workforces.

A big % of Facebook revenue wasn't live ticket sales and merch
 
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