The last two seasons have not been particularly kind for the Green Bay Packers.
It might have so bad that the organization’s total number of profits set some lows from last season.
According to a report by the Sacramento Bee and Yahoo Sports, the Packers’ financial report listed that they have lost nearly 98% of their profits from their last fiscal year. The fiscal year for the NFL ended on March 31st.
That number went down from $34.1 million in March 2018, down to only $724,000 for this March. The statistics also shown a 99% drop from their record $75 million from their fiscal year, which ended in 2017.
“It was a very unique year from a financial standpoint,” Packers President Mark Murphy explained in the report. “We were a little more aggressive than we’ve been in a number of years.”
Green Bay’s expenses have risen up from $420 million to $477 million this year due to a couple crucial offseason moves.
The team have signed their All-Pro quarterback Aaron Rodgers to a four-year, $134 million extension and they have included key free agency signings of defensive players Za’Darius Smith, Preston Smith, and Adrian Amos.
While the NFL’s overall revenue has gone up by 5.1%, the local market may have suffered in the process.
The Packers only saw a 2.3% boost in their revenue, which may have been caused by their back-to-back losing seasons; in which have plummeted Pro Shop sales and Lambeau Field and team Hall of Fame tours.
With the league’s collective bargaining agreement (CBA) set to expire in 2020, Green Bay only has a $397 corporate reserve fund to save up for the future.
Murphy stated that the team hopes the fund will last for a specific period of time, but it is wary about how to spend it.
“The plan was that we had enough money to cover expenses for a year. I think we’re in very good shape with that,” Murphy said. “We don’t have a rich, deep-pocketed owner, so we have a $400 million corporate reserve. Three or four years ago, we put $50 million into the corporate reserve. It’s grown since then with investment returns and we’ve made significant investments in real estate around this area.”