The Packers are profitable for many reasons, with its fan base being one of the biggest factors. Raymond T. Rivard photograph

Packers net profits at $42.7 million in 2011

What will a Super Bowl championship, an MVP quarterback, several league stars and 15 wins bring an NFL team?

Just ask the Green Bay Packers - the franchise announced today that the team earned  $42.7 million in net profits this past fiscal year, a team all-time high. In fact, the figure destroyed the past all-time high of $25 million realized in 2005-05.

The team announced the numbers a week prior to the shareholders meeting set to be held Lambeau Field next week – a meeting that will be held in the shadows of major renovations at the iconic stadium.

What’s even more impressive is that much of that profit came from local income, with the majority coming from online Packers Pro Shop sales.

“A big focus for us has been driving more and more people to our website (for online merchandise sales),” team president Mark Murphy said in published reports this afternoon when the announcement was made.

Mark Murphy feels the Packers season was successful despite the first round loss to the New York Giants. Raymond T. Rivard photograph

“…we continued to ride the wave of the Super Bowl,” Murphy added.

The team won the Super Bowl in February 2011 and followed that victory with a 15-1 regular season record in 2011-12, though it failed to return to the Super Bowl. Most of the revenue increase was in local income, the majority from Packers Pro Shop sales. Sales in merchandise was $11 million, half of which came through online sales.

The Green Bay Press Gazette reported today, “The team reported total revenue of $302 million, also a record, and total expenses of $259 million. National revenue, local revenue, total profit from operations, net profit from operations and net income all were records. The previous highest net income was $25.4 million in 2004-05. The Packers reported $17. 1 million in net income for 2010-11.”

So, it’s no wonder that Murphy was quoted as saying earlier this week that despite a 15-win season and an opening Playoff loss to the Giants he thought the year was a success. The level of success in his head was clearly based not only on wins, but on all the factors that go into running an iconic sports franchise.

The numbers also demonstrate the talents employed within the organization. Clearly, the profitability of the organization comes about through the people employed – from Aaron Rodgers down to the team’s bean counters and janitors.

Murphy said that for the team to remain competitive, the franchise had to be within the top half of league rankings. At this point, the team is ranked 10th.

It’s difficult to think things could go south for the franchise with the pieces they have in place, but it does happen. Any Packers fan remembers the 70s and 80s and many wondered during those years whether the franchise would survive.

 

Back in 1987, Frank Deford, one of the most prolific and recognized writers in America, wrote a story for Sports Illustrated that was a wake-up call for the Green Bay Packers and the franchise's fans.

Remember the article the Frank Deford wrote for Sports Illustrated a couple of decades ago when he literally declared the team dead in the water and compared the franchise to the rusting street signs that dominated the city’s landscape?

Much has occurred since that time and our hope that the sky continues to be the limit.

GO PACK GO!

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