You asked for a pro football team, and I'm giving you a pro footbal team.
The Green Bay Packers professional football team is publicly traded.
The team is a nonprofit corporation and does not apparently release
its financial statements to the public. However, you can see the
team?s financial statements through 2003 at
http://joe.bowman.net/Statement.htm. There you can see seven years of
income statements and balance sheets.
The Packers do not report revenue, just income, so when I refer to
profit margins, we?re not talking the traditional profits as a
percentage of revenue. The Packers report most revenue items as
income, then subtract the expenses from the income to get the net
income. I won?t repost the financials here for space and copyright
reasons, but I will provide some other data for you, all of which I
calculated from the numbers produced on the Web site.
I made one change to the financial statements, including expansion
payments as part of operating income, and calculated the following
ratios:
Tickets and media income represented 68.6% of the club?s 2003 profits.
The marketing/pro shop operations added another 13.7%, and the rest of
the line items are less than 7% of income. Player costs eat up more
than 49% of that operating income, and general and administrative
expenses nearly another 30%. Operating expenses accounted for more
than 82% of total income, including the expansion payment. After
accounting for interest and a loss on the sale of assets, the Packers?
net income was $18,856,639 including the expansion payment, or 11.9%
of total income (revenue).
Below, I have pasted a common-size income statement. In this
statement, each line item is presented as a percentage of operating
income, which is the closest thing we have to revenue. In this way,
you can see where the money came from and where it went.
Income/Expense Item % of Operating Income
Ticket & Media Income
Home games (net) 13.0%
Road games 6.8%
Television and radio 48.8%
TOTAL TICKET AND MEDIA INCOME 68.6%
Other Operating Income
Private box income 6.7%
NFL Properties income 3.0%
Expansion\revenue sharing income 3.2%
Marketing\Pro Shop (net) 13.7%
Other - Local Media, Concessions and parking (net) 4.9%
TOTAL OTHER OPERATING INCOME 31.4%
TOTAL OPERATING INCOME 100.0%
OPERATING EXPENSES
Player costs 49.1%
Game expenses 1.9%
General and administrative 29.9%
Lambeau Redevelopment Costs 1.3%
TOTAL OPERATING EXPENSES 82.2%
PROFIT (LOSS) FROM OPERATIONS 14.7%
OTHER INCOME (EXPENSE)
Interest expense -0.3%
Interest and dividend income 1.4%
Gain on sale of assets -1.0%
Income Before Provision for Income Taxes 14.7%
Provision for Income Taxes 5.9%
NET INCOME After Expansion Revenue 11.9%
For more information, visit the Packers Web site at
http://www.packers.com/stockholders/. There, you will find links to
statistics and analysis of the team?s financial history.
At http://www.packers.com/news/stories/2004/06/20/1/, you can read the
team?s analysis of its performance in the last fiscal year.
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