On Thursday, the University of Michigan approved the largest athletic department budget in its history, anticipating $255.7 million in revenue and $253.6 million in expenses for the 2024-25 fiscal year.
If these projections hold, the Wolverines will have a $2.1 million surplus, up from approximately $200,000 in 2023-24. Michigan expects revenue to rise by more than $25 million, representing a 10% increase from the previous year.
The football team adding an eighth game to the 2024 schedule is expected to contribute $14.8 million in increased ticket sales, coupled with a slight increase in ticket prices.
A significant portion of the revenue boost comes from the expanding Big Ten television deal, which will include 18 teams with the addition of Oregon, UCLA, USC, and Washington later this summer. Additionally, newly-approved alcohol sales at Michigan Stadium are projected to generate $2.6 million, along with another $1 million from alcohol sponsorships.
Increased operating expenses include a $10 million allocation to a deferred maintenance fund for major repair and rehabilitation projects of athletic facilities and a $7.8 million transfer to the university.
Last season, Michigan led the Big Ten with seven team championships, marking the third consecutive year they topped the conference in total titles, and they ranked 11th nationally in the LEARFIELD Directors’ Cup standings for overall athletic department performance.
The college landscape is expected to change significantly by 2025 due to the House v. NCAA settlement, which will facilitate revenue-sharing with athletes.
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