April 9, 2020
The Atlanta Braves could have an operating loss of around $60 million this year, according to a report today from John Tinker of G.research LLC.
The report assumes that, because of the coronavirus crisis, the baseball season will start on the July 4 weekend and be reduced to 80 regular-season games (40 home games), with spectators for half the games, and, perhaps, an extended postseason.
Tinker believes the Braves’ revenue would drop to $174 million, from $438 million in 2019, with attendance dropping to 630,000, from last year’s 2.65 million. The drastic drop in attendance would cut revenue from the gate and concessions to about $55 million in 2020, from $202 million the prior year, and halve the broadcast and sponsor revenue to $118 million, from $236 million.
Player expenses, meanwhile, were lowered by only 50%, to $86 million, and operating expenses and SG&A costs by 40%, to $146 million.
Bottom line: Tinker estimates the team will post an operating loss of $59 million, versus an operating profit of $24 million in 2019.