The Green Bay Packers’ profit from operations rose by $11.4 million to a club-record $54.3 million in fiscal 2013, thanks to falling costs that Chief Executive Mark Murphy credited in part on late signings by Aaron Rodgers and Clay Matthews.
Murphy said player expenses for the only publicly owned franchise in the four major North American sports leagues were about $19 million less than in 2012, partly because recent contract extensions with Rodgers, a Super Bowl-winning quarterback, and Matthews, a Pro Bowl linebacker, won’t count on the books until fiscal 2014.
“We’ll see the impact of that on the financial numbers next year,” Murphy said yesterday in a conference call with reporters. “But not having those in last year’s numbers I think inflated our profit from operations.”
The profit in fiscal 2012 also set a club record.
Rodgers, the NFL’s Most Valuable Player in 2012, signed a five-year contract extension in April worth $110 million, according to the Green Bay Press Gazette. Matthews, a four-time Pro Bowl selection, signed a five-year, $69.77 million extension also in April, the newspaper said.
Net income also rose, increasing about 1 percent to a record $43.1 million from $42.7 million in 2012, according to numbers sent by the team.
Total revenue was up about 2 percent to a record $308.1 million from $302 million, Murphy said. National revenue rose about 5 percent to $179.9 million from $171.6 million, helped by the league’s new apparel agreement with Nike Inc. (NKE:US) and new deals with cable providers to carry the league’s NFL Network, he said.
Expenses fell about 2 percent to $253.8 million from $259 million, the team said.
“The combination of revenue going up and expenses down allowed us to have a record profit from operations, which was a relatively significant increase from last year,” Murphy said.
Green Bay Packers Inc. has been a publicly owned, non-profit corporation since August 1932, according to the team’s website. Last year, the team conducted the fifth stock sale in franchise history, adding about 250,000 shareholders and raising $64 million. The shares pay no dividend and cannot be resold, except back to the team for a fraction of the original price.
The Packers finished last season with an 11-5 record, earning their fourth consecutive playoff appearance, including a Super Bowl victory in 2010.
To contact the reporter on this story: Aaron Kuriloff in New York at email@example.com.
To contact the editor responsible for this story: Michael Sillup at firstname.lastname@example.org.