Strong attendance and local television ratings boosted the values for teams like the Philadelphia Phillies (up 13% to $609 million) and Cincinnati Reds (up 13% to $375 million). The Yankees are baseball’s most valuable team for the 14th straight year (since Forbes began valuing franchises in 1998). The gap between the Yankees and No. 2 Baltimore in 1998 was 12%. Today the Yankees are 86% more valuable than No. 2 Boston.
Yankee Global Enterprises is a three-engine money-making machine. The baseball team generated $325 million in revenue from regular-season tickets and luxury suites in 2010. Sponsorship revenue at the stadium is $85 million annually thanks to deals with PepsiCo, Bank of America, MasterCard, Delta Air Lines and others.
The YES Network, the team’s 34%-owned regional sports channel, is the most profitable RSN in the country and had over $400 million in revenue last year. The Yankees own a stake in Legends Hospitality Management, which manages stadiums, and generates $25 million in operating income. The enterprise value for the Yankees, YES and Legends is $5.1 billion.
Wednesday, March 23, 2011