A Decade of NBA Profit: How Did The League Fare in 2020?
The NBA has gained undeniable traction over the last decade, at least from a financial standpoint.
In 2011, 22 of the 30 teams were losing money, and the average operating income per team sat at $6 million. But, fast forward to 2020, and every team in the league was profitable, with average operating income surging to $62 million.
Here’s a look at team profitability since 2011, according to Forbes:
|Year||Average Operating Income||YOY Change|
Despite years of momentum, the NBA was not immune to the impacts of COVID-19 last year. However, thanks to hefty TV contracts and player salary cuts, average operating income only fell by 11.4%, from $70 million to $62 million.
The Most Valuable NBA Teams
Despite a decrease in NBA profit per team last year, team values are up 4%—from $2.1 billion in 2020 to $2.2 billion this year.
Here’s a look at the top five most valuable teams in 2021:
|Rank||Team||2021 Valuation||1-Year Change|
|1||New York Knicks||$5.0B||9%|
|2||Golden State Warriors||$4.7B||9%|
|3||Los Angeles Lakers||$4.6B||6%|
The Knicks took the top spot for the sixth consecutive year, but the Lakers lost their long-standing second place ranking to the Warriors. It’s the first time another team has made the top two since 1999.
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