Niccolo Conte
2024-06-18 19:08:30
www.visualcapitalist.com
See this visualization first on the Voronoi app.
Which NBA Team Takes Home the Most Revenues?
This was originally posted on our Voronoi app. Download the app for free on iOS or Android and discover incredible data-driven charts from a variety of trusted sources.
The NBA is projected to earn $13 billion in revenue this year before revenue sharing and debt payments, a 11% jump from last season, driving NBA team valuations even higher.
Since 2005, NBA team valuations have increased faster than any other major U.S. league by a wide margin. For perspective, the rise in their combined valuation has exceeded growth in the S&P 500 by more than threefold during this time period.
This graphic shows the top NBA teams by revenue, based on data from JP Morgan Asset Management.
Ranked: The Highest-Earning NBA Teams
Below, we show the revenue of all 30 NBA teams as of the 2022-2023 season:
| Ranking | Team | 2022-2023 Season Revenue |
Valuation |
|---|---|---|---|
| 1 | Golden State Warriors | $765M | $7.7B |
| 2 | Los Angeles Lakers | $516M | $6.4B |
| 3 | New York Knicks | $504M | $6.6B |
| 4 | Boston Celtics | $443M | $4.7B |
| 5 | Dallas Mavericks | $429M | $4.5B |
| 6 | Los Angeles Clippers | $425M | $4.7B |
| 7 | Houston Rockets | $381M | $4.4B |
| 8 | Chicago Bulls | $372M | $4.6B |
| 9 | Philadelphia 76ers | $371M | $4.3B |
| 10 | Miami Heat | $371M | $3.9B |
| 11 | Brooklyn Nets | $367M | $3.9B |
| 12 | Phoenix Suns | $366M | $4.0B |
| 13 | Denver Nuggets | $348M | $3.4B |
| 14 | Cleveland Cavaliers | $348M | $3.4B |
| 15 | Milwaukee Bucks | $329M | $3.2B |
| 16 | Atlanta Hawks | $326M | $3.3B |
| 17 | Washington Wizards | $323M | $3.5B |
| 18 | San Antonio Spurs | $319M | $3.3B |
| 19 | Toronto Raptors | $305M | $4.1B |
| 20 | Portland Trail Blazers | $300M | $3.1B |
| 21 | Sacramento Kings | $289M | $3.3B |
| 22 | Utah Jazz | $274M | $3.1B |
| 23 | Detroit Pistons | $274M | $3.1B |
| 24 | Charlotte Hornets | $269M | $3.0B |
| 25 | Oklahoma City Thunder | $267M | $3.1B |
| 26 | Indiana Pacers | $263M | $2.9B |
| 27 | New Orleans Pelicans | $262M | $2.6B |
| 28 | Orlando Magic | $261M | $3.0B |
| 29 | Minnesota Timberwolves | $259M | $2.5B |
| 30 | Memphis Grizzlies | $258M | $2.4B |
Revenue figures are net of arena debt service and revenue sharing
With $765 million in revenue, the Golden State Warriors are the highest-earning team in the league, thanks to the stellar performances of all-star players Klay Thompson, Stephen Curry, and Draymond Green.
These players were instrumental in driving the valuation of the franchise, which grew from $1.5 billion in 2015 to a remarkable $7.7 billion in 2023. At this valuation, the Golden State Warriors are the second-most valuable sports team in America, following after the $9 billion Dallas Cowboys NFL franchise. Since 2010, the Warriors’ revenue has increased by sevenfold.
Not only did the team have the highest NBA TV ratings in seven of the last eight years as of last season, the Warriors have the largest social media following across U.S. sport franchises, including 32.4 million Instagram followers. By comparison, the Lakers have 24.6 million followers. Adding to this, the team’s jersey patch deal with Rakuten is worth approximately $45 million per season alone.
Ranking in second are the Los Angeles Lakers, earning $516 million in revenue. Over the last decade, revenues have increased by 76% fueled by the star power of LeBron James and the team’s world-renowned brand. In 2021, the team signed a five-year $100 million jersey patch deal with Korean food brand, Bibigo, making it one of the most valuable in the league.
The New York Knicks are third in revenue with $504 million, followed by the 2023-24 season champions, the Boston Celtics with $443 million in the 2022-23 season and the Dallas Mavericks in fifth at $429 million.
How Do NBA Teams Earn Revenue?
Below, we show the primary sources of revenue for the National Basketball Association (NBA):
| Revenue Stream | 2022-2023 Season Revenue |
Share of Revenues |
|---|---|---|
| National Revenue (Media/broadcast deals, merchandise, shared ticket revenue, other sponsorships) |
$4.5B | 41% |
| Seating/Suites | $2.9B | 26% |
| Local Media | $1.4B | 13% |
| Team Sponsorships | $1.3B | 12% |
| Concessions/Parking/Other | $0.9B | 8% |
As we can see, national revenue makes up the league’s largest share, driven by broadcasting and streaming agreements with national providers.
Going forward, these contract values are set to grow substantially. Today, the league is negotiating broadcasting deals with Amazon, ESPN, and NBC worth an estimated $76 billion over 11 years—making the annual contract value 2.6 times higher than its current contract. With NBA viewership up 16% across ESPN and ABC compared to the 2021-2022 season, strong demand is driving bigger media deals. During the 2022-2023 season, average viewership reached 1.7 million per game across these outlets.
Ticket and suite sales, another key source of revenue, topped $2.9 billion over the 2022-2023 season. In some cases, courtside tickets cost upwards of $3,000 per seat, with a host of celebrities from Jack Nicholson to Kendall Jenner and Bad Bunny sitting close to the action.
Following next in line were local media deals, worth $1.4 billion, and team sponsorship deals, valued at $1.3 billion.
The post Ranked: Which NBA Team Takes Home the Most Revenue? appeared first on Visual Capitalist.
Source Link
