Stamford live- and televised-action promoter WWE posted a 65 percent drop in first-quarter profits, impacted by the timing of its annual Wrestlemania event an ongoing development of a new lineup of characters.
WWE earned $8.6 million, or 11 cents a share, in the three months ended March 31, down from $24.7 million, or 33 cents a share, the same quarter last year.
First-quarter revenues fell to $119.9 million from $138.7 million a year ago.
WWE said last year’s Wrestlemania XXVI was counted in its first-quarter 2010 results. In addition, the company incurred a $2.8 million impairment charge stemming from its 2009 action-film, 12 Rounds.
Chairman and CEO Vince McMahon said it is taking time to develop new characters with broad audience appeal.
“Looking ahead,” he said, “we are optimistic about our longer-term opportunities to leverage our strength as the ‘New WWE’.”
