World Wrestling Federation Profits Drop

NEWYou can now listen to Fox News articles!

World Wrestling Federation Entertainment Inc. Wednesday posted lower quarterly profits as the weak economy and Sept. 11 attacks led to softer television ratings and lower attendance and pay-per-view sales.

Net income in the fiscal second quarter ended Oct. 26 totaled $4.8 million, or 7 cents a share, compared with $9.5 million, or 13 cents a share, a year ago. The year-ago earnings included a charge of $2.9 million for discontinued operations.

Wall Street analysts had expected the company to earn 6 cents a share, according to research firm Thomson Financial/First Call. Total revenues dropped to $98.2 million from $111.9 million a year ago.

WWF said it aims to build ratings, develop a second brand, and expand internationally. It will open a new office in London in the beginning of calendar 2002 and will launch an international tour shortly.

It said it expects fiscal 2002 revenues of $395 million to $415 million. It said it will spend about $15 million to improve its television production facilities during the year. Analysts expect the company to earn 37 cents a share for 2002, according to First Call.