$2.55B Valuation $395M Revenue $34M Profit

[rockondlouie]

Cardinals Valuation/$2.55B, Revenues/$395M and Net Profit/$34M in 2024.

Plus only 7% Debt as % of value.

Yet BDWJr sought to slash as much payroll as he could this offseason while adding only one major league player, P. Maton at $2M.


CNBC’s Official MLB Team Valuations 2025: Here’s how the 30 franchises stack up

https://www.cnbc.com/2025/04/11/cnbcs-o ... -2025.html

[hullie]

Cardinals Valuation/$2.55B, Revenues/$395M and Net Profit/$34M in 2024.

Plus only 7% Debt as % of value.

Yet BDWJr sought to slash as much payroll as he could this offseason while adding only one major league player, P. Maton at $2M.


CNBC’s Official MLB Team Valuations 2025: Here’s how the 30 franchises stack up

https://www.cnbc.com/2025/04/11/cnbcs-o ... -2025.html

Does this include minor leagues?

[desertrat23]

Cardinals Valuation/$2.55B, Revenues/$395M and Net Profit/$34M in 2024.

Plus only 7% Debt as % of value.

Yet BDWJr sought to slash as much payroll as he could this offseason while adding only one major league player, P. Maton at $2M.


CNBC’s Official MLB Team Valuations 2025: Here’s how the 30 franchises stack up

https://www.cnbc.com/2025/04/11/cnbcs-o ... -2025.html

In before Cranny and Tank tell us that $34M profit isn’t that much.

[Voldemort]

When looking at profit, don't forget that DeWallet makes a s... load of money from Ballpark Village.

[Cranny]

Cardinals Valuation/$2.55B, Revenues/$395M and Net Profit/$34M in 2024.

Plus only 7% Debt as % of value.

Yet BDWJr sought to slash as much payroll as he could this offseason while adding only one major league player, P. Maton at $2M.


CNBC’s Official MLB Team Valuations 2025: Here’s how the 30 franchises stack up

https://www.cnbc.com/2025/04/11/cnbcs-o ... -2025.html

Cash flow is a better gauge than net profit. What's 7% of $2.55 Billion? Debt service that, including any principal reduction required by the banks each year.

[scoutyjones2]

Great, like other forms of entertainment, it's a business. Priority of business...make money.

[Rojo Johnson]

Cardinals Valuation/$2.55B, Revenues/$395M and Net Profit/$34M in 2024.

Plus only 7% Debt as % of value.

Yet BDWJr sought to slash as much payroll as he could this offseason while adding only one major league player, P. Maton at $2M.


CNBC’s Official MLB Team Valuations 2025: Here’s how the 30 franchises stack up

https://www.cnbc.com/2025/04/11/cnbcs-o ... -2025.html

Cash flow is a better gauge than net profit. What's 7% of $2.55 Billion? Debt service that, including any principal reduction required by the banks each year.

Can you explain this a little better? What’s 7% of the present value of the franchise have to do this?

[jbrach]

Cardinals Valuation/$2.55B, Revenues/$395M and Net Profit/$34M in 2024.

Plus only 7% Debt as % of value.

Yet BDWJr sought to slash as much payroll as he could this offseason while adding only one major league player, P. Maton at $2M.


CNBC’s Official MLB Team Valuations 2025: Here’s how the 30 franchises stack up

https://www.cnbc.com/2025/04/11/cnbcs-o ... -2025.html

In before Cranny and Tank tell us that $34M profit isn’t that much.

profit?...how dare they make a profit

[riff raff]

Cardinals Valuation/$2.55B, Revenues/$395M and Net Profit/$34M in 2024.

Plus only 7% Debt as % of value.

Yet BDWJr sought to slash as much payroll as he could this offseason while adding only one major league player, P. Maton at $2M.


CNBC’s Official MLB Team Valuations 2025: Here’s how the 30 franchises stack up

https://www.cnbc.com/2025/04/11/cnbcs-o ... -2025.html

What's your point? Other than they don't spend their money how you think they should.

[WLTFE]

Cardinals Valuation/$2.55B, Revenues/$395M and Net Profit/$34M in 2024.

Plus only 7% Debt as % of value.

Yet BDWJr sought to slash as much payroll as he could this offseason while adding only one major league player, P. Maton at $2M.


CNBC’s Official MLB Team Valuations 2025: Here’s how the 30 franchises stack up

https://www.cnbc.com/2025/04/11/cnbcs-o ... -2025.html

I'm going to enjoy watching the front office (donkey) kissers hijack this thread!

[Cranny]

Cardinals Valuation/$2.55B, Revenues/$395M and Net Profit/$34M in 2024.

Plus only 7% Debt as % of value.

Yet BDWJr sought to slash as much payroll as he could this offseason while adding only one major league player, P. Maton at $2M.


CNBC’s Official MLB Team Valuations 2025: Here’s how the 30 franchises stack up

https://www.cnbc.com/2025/04/11/cnbcs-o ... -2025.html

Cash flow is a better gauge than net profit. What's 7% of $2.55 Billion? Debt service that, including any principal reduction required by the banks each year.

Can you explain this a little better? What’s 7% of the present value of the franchise have to do this?

Interest is deductible on an income statement.
But any principal reduction required by the banks
isn’t.

Multiple 7% times a value of $3.55 billion and it will tell you what the principal of the debt is.
How much they owe the banks. Only on the cash flow statement would it show principal reduction required by the banks.

So any poster who only talks about net profit doesn’t totally understand accounting and the difference between an income statement and a cash flow statement.

[scoutyjones2]

Cardinals Valuation/$2.55B, Revenues/$395M and Net Profit/$34M in 2024.

Plus only 7% Debt as % of value.

Yet BDWJr sought to slash as much payroll as he could this offseason while adding only one major league player, P. Maton at $2M.


CNBC’s Official MLB Team Valuations 2025: Here’s how the 30 franchises stack up

https://www.cnbc.com/2025/04/11/cnbcs-o ... -2025.html

I'm going to enjoy watching the front office (donkey) kissers hijack this thread!

[SalukiTex]

My understanding is that tax benefits play a part in the valuation.

1. Depreciation of “Assets”

When someone buys a team, they’re not just buying the players or the stadium — they’re buying intangible assets like: Player contracts, Brand value, Media rights deals & Goodwill (basically reputation and fan base)

Under U.S. tax law, you can “depreciate” these intangible assets over time (typically over 15 years). Depreciation lets owners subtract a portion of the team’s purchase price from their taxable income every year, even if the team is gaining value in real life.

Example: If an owner buys a team for $3 billion, they might be able to write off $200 million+ per year in depreciation — which can drastically lower how much they owe in taxes.

2. Paper Losses, Real Gains

Even if a team is profitable, depreciation and other deductions can make it look like it’s losing money on paper. That means: The owner pays less in taxes (sometimes none at all). Meanwhile, the team’s actual market value is likely going up.

3. Selling the Team = Huge Capital Gain

When the owner eventually sells the team (which likely appreciated over the years), they pay a capital gains tax, which is lower than regular income tax. So they get years of tax breaks, then a big (but relatively low-taxed) payday when they cash out.

[RunSup]

I'm no accountant. I do pay a mortgage. Just running the numbers from the discussion above.

7% of $2.55B is $178.5M of debt. God only knows what they are including as debt.

Then, ... Over how many years to pay back? At what interest rate?

With 0% interest rate and paying off in X years, the debt service is at least:

5 years: ~ $36M a year
15 years: ~ $12M a year
30 years: ~ 6M a year.

Real accountants can correct this and any of my thinking.

[billybaseball]

Well there goes my argument that the Cardinals won't be a revenue sharing payor anymore. Ballpark village must be ridiculously profitable with these numbers for a down year.

[rockondlouie]

Cardinals Valuation/$2.55B, Revenues/$395M and Net Profit/$34M in 2024.

Plus only 7% Debt as % of value.

Yet BDWJr sought to slash as much payroll as he could this offseason while adding only one major league player, P. Maton at $2M.


CNBC’s Official MLB Team Valuations 2025: Here’s how the 30 franchises stack up

https://www.cnbc.com/2025/04/11/cnbcs-o ... -2025.html

Cash flow is a better gauge than net profit. What's 7% of $2.55 Billion? Debt service that, including any principal reduction required by the banks each year.

Huh

Cash Flow is simply the movement of money in and out of the business, are you trying to act like the Cardinals are cash poor?