Green Bay Packers Experience Record-Breaking Fiscal Year Amidst NFL's Revenue Surge
The Green Bay Packers have made headlines with a landmark fiscal year in 2024, reporting an unprecedented $402.3 million in national revenue from the NFL. This milestone marks the highest national revenue in the franchise's storied history.
For the first time, every one of the league's 32 teams received over $400 million in national revenue, with the NFL's total revenue distribution nearing the $13 billion mark. This impressive figure surpasses the previous fiscal year's total, where for the first time, the NFL crossed the $12 billion threshold. In comparison, the league revenue was $10 billion just a year earlier.
Mark Murphy, President and CEO of the Packers, emphasized the significance of these financial figures, noting, "I think probably the main takeaway is that it's another strong year from a financial standpoint for the Packers, and I think really speaks to the popularity overall of the NFL."
Despite this financial success, the Packers' operational profit saw a downturn, falling to $60.1 million from the previous year's $68.6 million. While local revenue increased from $235.9 million to $251.8 million, a 6.7% rise, it was insufficient to counterbalance the rising costs associated with stadium depreciation and player salaries.
Murphy addressed these challenges, stating, "The increase in local revenue was not enough to offset the increasing costs of stadium depreciation and player salaries." He also remarked, "We are in a good, strong financial position, but there will be challenges along the way."
The impressive revenue figures are accompanied by a surge in viewership, with 93 of the 100 most-watched TV broadcasts in 2023 being NFL games. This dominance in viewership underscores the league’s unique position in the entertainment landscape. "It's one of the few things that people watch live anymore," Murphy noted, highlighting the key reason networks are willing to invest heavily in broadcasting rights.
However, the landscape is shifting with new ownership models and evolving media consumption habits. Murphy observed, "Things are changing within the league with the new ownership, the private equity, new owners, billionaires." While he does not foresee any immediate changes to the revenue-sharing model, he acknowledged, "The revenue sharing, I don't see that changing in the short term, but if that ever changes, that could be an issue."
Murphy also touched on the trend towards streaming, stating, "We're very fortunate that we're in that position and the networks are willing to pay, but we're also looking at where the future is going and, certainly, streaming is growing." The ongoing shift to digital platforms is expected to play a significant role in the league's strategy moving forward. "The economics of the league are changing pretty dramatically," he added.
Leadership changes are on the horizon for the Packers, with Murphy set to retire in July 2025 upon reaching the mandatory retirement age of 70. Ed Policy is anticipated to be his successor, ensuring a smooth transition in the team's executive leadership.
On the field, the Packers made a notable playoff run in 2023 under the leadership of quarterback Jordan Love, continuing the team's tradition of competitive excellence.
As the NFL continues to break financial barriers and adapt to a rapidly changing media environment, franchises like the Packers remain at the forefront, balancing historic success with modern challenges. Murphy's insightful reflections encapsulate the ongoing evolution and enduring appeal of the NFL. "One of the things the league has talked about is trying to meet people where they are," he commented, underscoring the league's commitment to maintaining its strong connection with a diverse and evolving fan base.