The University of Michigan approved the largest athletic department budget in school history on Thursday, featuring $255.7 million in anticipated revenue and $253.6 million in projected expenses for the 2024-25 fiscal year.
If those figures come to fruition, the Wolverines would boast a $2.1 million surplus, up from about $200,000 in 2023-24. Michigan’s revenue is expected to jump more than $25 million, a 10% increase from 2023-24.
The Wolverines should get a $14.8 boost in ticket sales thanks to their football team adding an eighth football game to the 2024 schedule. They are also implementing “a slight increase in ticket pricing.”
A large portion of the revenue increase is from the television deal for the Big Ten, which is growing to 18 teams later this summer with the additions of Oregon, UCLA, USC, and Washington. Another chunk of revenue will come from newly-approved alcohol sales at Michigan Stadium, which is projected to total $2.6 million in sales along with another $1 million from alcohol sponsorships.
Part of the increase in operating expenses is courtesy of a $10 million transfer to a deferred maintenance fund for “significant repair and rehabilitation projects for athletic facilities.” Another $7.8 million will be transferred to the university.
Michigan paced the Big Ten with seven team championships last season, representing the third year in a row season the Wolverines have led the conference in total titles. They placed 11th nationally in the LEARFIELD Directors’ Cup standings of best overall athletic departments.
The college landscape will look a lot different as soon as 2025 in the wake of the House v. NCAA settlement that paved the way for revenue-sharing with athletes.
I am a bit surprised that they’ll only pull in $2.8M from alcohol sales and $1M from alcohol sponsorships.
Winning the national title in football is helpful for the old budget.
Go Blue!!