Green Bay Packers report record revenue of $610 million ahead of shareholders meeting on Monday
GREEN BAY – The Green Bay Packers reported record revenue for last year. Profit from operations and net income were less than the year before, but in the Packers' case, that's not a serious issue.
The Packers reported $610.3 million in revenue for the 2022-23 fiscal year, which concluded at the end of March. The team reported profit from operations of $68.6 million and net income of $35.6 million. The year before, revenue was $579 million, profit from operations was $77.7 million and net income was $61.6 million.
"It was another strong financial year for the Packers, the second year after the pandemic with normal operations," said Packers President and CEO Mark Murphy. The Packers released their financial results Wednesday, ahead of the annual shareholders meeting scheduled for 11 a.m. Monday at Lambeau Field.
The Packers are the NFL's smallest-market team, its only publicly owned team, and the only one that makes its financial results public. Total revenue and profit from operations, rather than net income, are the more significant numbers in Packers' finances because all money, whether profit or not, goes into team operations or the community. Packers stock cannot be traded and does not pay dividends.
How the financials break down
The team reported $374.4 million in national revenue and $235.9 million in local revenue. National revenue was up $7.8% and local revenue was 1.8% higher. National revenue is shared equally by all 32 teams and is funded primarily by television and other media deals. In 2021-22, national revenue exceeded player costs and team expenses and is likely to do so this year. The team did not release player costs on Wednesday, but that will be included in the annual report given to shareholders on Monday.
"We are in a great position to provide football all the resources they need to be successful and also to continue to invest in Lambeau Field and the community," Murphy said. "Local revenue did grow, although at a smaller rate. One of the issues there was one less home game because we played in London."
Year-to-year comparisons will be more challenging in years to come because the Packers will have eight and nine home games in alternating years, plus they will have at least one international game each eight years. Each regular-season home game is worth more than $15 million in total economic impact.
"That extra (home) game would have put us right around last year's (profit) level, if not higher," said Paul Baniel, Packers vice president of finance and administration. "So it really was the difference when you look at the operating profit."
Murphy said the league last year changed its contribution for international games. In the past, it tried to reimburse for lost home revenue when a team played out of the country, but in the 2022 season, it paid only travel costs. The belief is that now that all 32 teams are required to play at least one international game every eight years, the costs will even out.
Expenses were $541.6, an 8% increase, or $40 million, over the previous year. Team officials attributed that to increased players costs, which tend to be cyclical, one-time league assessments, and the gradual ramping up of team operations after the COVID-19 pandemic slowdown.
Also contributing to lower net income was a $20.5 million loss in the team's investment fund. The investment fund was about $475 million at the end of the fiscal year. Baniel said the investment fund reflects the stock market, which was down from the end of the previous fiscal year.
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Murphy said national revenue, led by media deals, will continue to grow.
"The real keys are the combination of the long-term collective bargaining agreement (with players), I think we have eight years remaining, and the long-term media deals," Murphy said.
Lambeau Field investments
Excess revenue, beyond player costs and team expenses, was invested in Lambeau Field.
"Over the last two years, we will have invested over $200 million. That's a combination of three different projects, the new football facility, the new video boards and a series of renovations to our concourse," Murphy said.
The recent investment includes $50 million for the video board system, which will debut at Monday's meeting of shareholders.
The team has more than 537,000 shareholders. About 8,000 to 12,000 normally attend the meeting.
The team contributed $5 million to the Packers Foundation, which brought its endowment to $50 million. The team's overall charitable contributions were just under $10 million, Murphy said.
Contact Richard Ryman at rryman@gannett.com. Follow him on Twitter at @RichRymanPG, on Instagram at @rrymanPG or on Facebook at www.facebook.com/RichardRymanPG/.
This article originally appeared on Green Bay Press-Gazette: Green Bay Packers report record revenue of $610 million last year
