Ohio State Buckeyes Generate $210 Million Last Fiscal Year
The CoVID-19 pandemic is having a catastrophic effect on college athletics, but some schools are more well-suited to handle the financial cliff dive than others. As they have been each of the last couple years, the Ohio State Buckeyes are among the most profitable athletic departments in the country.
It’s part of the reason why Athletic Director Gene Smith told reporters last week that the university is not considering cutting sports or reducing coaches’ salaries at this time.
In USA Today Sports’ annual look at collegiate athletics financial reports, Ohio State produced over $210 million in revenue during the 2018-19 fiscal year. The Buckeyes ranked third in the nation in revenue, edging out the University of Michigan by nearly $13 million. It’s the second straight year the Buckeyes have annual revenues topping $200 million.
The University of Texas topped this list by making over $223 million last year. Ohio State, the highest ranked school in the Midwest, only fell behind second place Texas A&M by approximately two million dollars. In total, 40 NCAA Division I institutions reported revenues of at least $100 million.
44.6% of Ohio State’s revenue was generated by rights/licensing fees ($93.9 million) with ticket sales generating another $59.8 million in revenue. For the first time since 2014, OSU fell below the $60 million mark in ticket sales revenue with last year’s output.
Also detailed in USA Today’s report were the total expenses of all college athletic programs. Nobody in the country spent more money than Ohio State last year, totaling over $220 million in expenses - $79 million in coaching/staff salaries, $22 million in scholarships awarded to student-athletes, $54 million in facilities/overhead costs and $65 million categorized as “other expenses”.
Only the University of Texas ($204 million) reported expenses exceeding $200 million. Ohio State, Alabama and Louisville are the only three schools among the top 20 in revenue that operated at a loss last year.
Considering The Ohio State University sponsors more varsity sports than any other school in America, it’s not a huge surprise that their expenses are so high. But it also underscores the importance of having a football season after March Madness was cancelled, even if games are played in empty stadiums, because the television revenue can help stabilize the choppy waters 2020 has produced.
Over the last several years, revenue in collegiate athletics for top tier FBS programs has trended significantly upwards. However, COVID-19 undoubtedly will change that trajectory in the 2019-2020 fiscal year. As college athletics are mired in perhaps the most uncertain time in NCAA history, schools are forced to make some tough financial decisions. But for now, the Buckeyes are in good shape to manage through this okay.
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