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Find out which top sport franchises in Texas are making a profit and what factors contribute to their success.
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The Dallas Cowboys
One of the most valuable sports franchises in the world, the Dallas Cowboys, are also the most profitable team in the NFL. Worth an estimated $4.8 billion, the Cowboys generate an annual revenue of $700 million. The team has been consistently profitable since its inception in 1960, with the exception of two seasons in the 1980s.
History
The Dallas Cowboys are a professional American football team based in the Dallas–Fort Worth metroplex. The Cowboys compete in the National Football League (NFL) as a member club of the league’s National Football Conference (NFC) East division. They are the second-most valuable sports franchise in the world, worth approximately $4 billion. As of 2019, the Cowboys have generated $8 billion in revenue from merchandise and licensing fees.
The franchise began play in 1960 as an expansion team. They joined the NFL as part of an AFL–NFL merger, which resulted in all remaining AFL teams forming the AFC. The Cowboys have made eight Super Bowl appearances – tied for second most with the Pittsburgh Steelers and Denver Broncos, behind only the New England Patriots’ record eleven Super Bowl appearances. They are also tied with eight other teams for second most Super Bowl losses (five). The Cowboys have won six NFC Championships, but no NFL titles since moving to the NFC in 1970; they currently play their home games at AT&T Stadium in Arlington, Texas.
Financials
Revenue: $840 million (2015), $1.15 billion (2019)
Operating income: $265.5 million (2015), $365.5 million (2019)
Profit: $365.5 million (2019)
Net worth: $4 billion (Forbes, 2019)
The Dallas Cowboys are a professional American football team based in the Dallas–Fort Worth metroplex. The Cowboys compete in the National Football League (NFL) as a member club of the league’s National Football Conference (NFC) East division. Since 1960, the Cowboys have won six NFC Championships, tied with the San Francisco 49ers for second most in league history, matching their record as of 2020.
Why They’re a Top Franchise
The Dallas Cowboys are one of the top franchises in Texas. The team makes a profit and is supported by a large fan base. The Cowboys have a long history of success, dating back to their days as a member of the American Football League. They have won five Super Bowls, including three in a row from 1992 to 1995. The team has also been to the playoffs numerous times, most recently in 2014.
The Houston Texans
The Houston Texans are a professional American football team based in Houston, Texas. The Texans compete in the National Football League as a member club of the American Football Conference South division. The team began play in 2002 as an expansion team after Houston was awarded the 28th franchise in the NFL. The Texans’ home games are played at NRG Stadium.
History
In February 2002, the Houston Texans were officially awarded the 32nd franchise in the NFL. The team’s name refers to the natural area in and around Houston known as Texas. The team’s primary colors are Deep Steel Blue, Battle Red and Torch Red, and their logo features a blue star meant to represent Texas tradition and pride. The Texans began play in 2002 as an expansion team, becoming the first NFL franchise in Houston since the Oilers left for Nashville following the 1996 season.
The Texans’ first game was an October 5, 2002 contest against the Dallas Cowboys at Reliant Stadium (now NRG Stadium), which resulted in a 19-10 Dallas victory. The Texans would not win their first game until their eighth game of the season, when they defeated the co-owner’s New York Giants 27-24 on November 3. The Texans finished their inaugural season with a 4-12 record under head coach Dom Capers.
Financials
In terms of revenue, the Houston Texans are the 3rd most valuable franchise in Texas, bringing in an estimated $532 million dollars per year. The majority of this revenue comes from the sale of tickets and merchandise, with television and radio rights contributing a smaller but still significant portion.
The Texans are also one of the most profitable franchises in Texas, with an operating income of $62 million dollars in 2017. This level of profitability is largely due to the team’s excellent on-field performance in recent years, as well as their strong relationship with local businesses and corporate sponsors.
Why They’re a Top Franchise
The Houston Texans are a professional American football team based in Houston, Texas. The Texans compete in the National Football League (NFL) as a member club of the league’s American Football Conference (AFC) South division. The team plays its home games at NRG Stadium in Houston’s Reliant neighborhood.
The Texans joined the NFL in 2002 as an expansion team after Houston’s previous franchise, the Houston Oilers, relocated to Nashville, Tennessee (now the Tennessee Titans). The franchise also holds the distinction of being the first NFL franchise based in Houston after previously having been located in Kansas City and Dallas.
In January 2014, Forbes ranked the Texans as the fourth most valuable sports franchise in Texas, valuing them at $1.45 billion.
The San Antonio Spurs
If you’re looking to make money in the sports industry, Texas is a great state to do it in. The San Antonio Spurs are one of the top sport franchises in Texas that make a profit. The Spurs have been around since 1967 and have won five NBA championships. They are worth an estimated $1.4 billion.
History
The San Antonio Spurs are an American professional basketball team based in San Antonio, Texas. The Spurs compete in the National Basketball Association (NBA), as a member of the league’s Western Conference Southwest Division. The franchise began play as an expansion team in 1967, under the name Dallas Chaparrals of the American Basketball Association (ABA). The Chaparrals moved to San Antonio in 1973 and later became known as the San Antonio Spurs.
The Spurs have won five NBA championships, four conference titles, and 23 division titles. As of 2019, they have the fifth-highest winning percentage among all NBA franchises. They play their home games at the AT&T Center in downtown San Antonio. The team’s primary market is San Antonio, and they are also popularly known as “the Silver and Black” or “Spurs Nation”.
Financials
The San Antonio Spurs are an American professional basketball team based in San Antonio, Texas. The Spurs compete in the National Basketball Association (NBA) as a member of the league’s Western Conference Southwest Division. They play their home games at the AT&T Center in downtown San Antonio. The team has won six NBA championships, with their most recent title happening in 2014.
Since joining the NBA, the Spurs have made the playoffs 33 times, winning 21 division titles along the way. They have also captured eight conference championships and have been regular season champions five times. All of this success has led to healthy financials for the organization.
Forbes values the Spurs at $1.625 billion, which makes them the 12th most valuable franchise in the NBA and the 43rd most valuable sports franchise in the world. The team generates $251 million in revenue and has an operating income of $44 million. These solid financials have allowed the Spurs to be profitable every year since 2002 and they are one of only two teams in NBA history to do so (the other is the Charlotte Hornets).
Why They’re a Top Franchise
The Spurs are one of the most recognizable and successful sports franchises in Texas. They’ve been to the playoffs nearly every year since 1997 and have won 5 NBA championships. The team is also profitable, something that can’t be said for all professional sports teams. So what makes the Spurs a top franchise?
First and foremost, the Spurs have a winning tradition. The team has been to the playoffs 22 times in the last 25 years and has won 5 NBA championships. That success has translated to financial success as well, with the Spurs generating $287 million in revenue last year.
Part of what makes the Spurs so successful is their commitment to player development. The team has a strong farm system that allows them to bring up young players and develop them into stars. That development system has produced players like Kawhi Leonard, who was named MVP of the 2014 NBA Finals.
The Spurs also have one of the best coaches in sports, Gregg Popovich. Popovich has been with the team for 20 years and has won 5 NBA championships. He’s widely respected for his basketball knowledge and his ability to develop players.
The combination of a winning tradition, financial success, player development, and good coaching makes the Spurs one of the top franchises in Texas.
The Texas Rangers
The Texas Rangers are a professional baseball team based in Arlington, Texas, located in the Dallas–Fort Worth metroplex. The Rangers franchise competes in Major League Baseball (MLB) as a member of the American League (AL) West division. Since 1994, the Rangers have played their home games at Globe Life Park in Arlington. The team’s name is borrowed from the famous law enforcement agency of the same name.
History
The Texas Rangers are a major league baseball team based in Arlington, Texas. The Rangers franchise was founded in 1961 as the Washington Senators, an expansion team awarded to Washington, D.C., after the first Washington Senators franchise moved to Minnesota and became the Twins. From its inception through 1971, the new Senators/Rangers franchise struggled despite some successful seasons. In 1972, the team won its first American League West division title, and went on to win the American League pennant. During this time period, players such as future Hall of Famers Nolan Ryan, Gaylord Perry, Ferguson Jenkins, and Duke Sims donned a Rangers uniform. The team also featured players such as Mike Hargrove and Ted Simmons who would go on to have successful careers as Major League managers.
Financials
The Texas Rangers are a professional baseball team based in Arlington, Texas, located in the Dallas–Fort Worth metroplex. The Rangers franchise competes in Major League Baseball (MLB) as a member of the American League (AL) West division. Since 1994, the Rangers have played their home games at Globe Life Field in Arlington. The team’s name is borrowed from the famous law enforcement agency of the same name.
As of 2019, the team’s estimated value was $1.65 billion, making them the seventh-most valuable baseball franchise in MLB and the second-most valuable sports franchise in Texas behind the Dallas Cowboys. The Rangers made headlines in 2019 when they achieved the highest operating income of any MLB team with $49 million, making them one of only two teams to achieve this feat since 2006. Despite this success, however, the team has not seen a significant uptick in profitability since 2010 and is still mired in debt from their 2010 World Series run.
The Rangers’ financial situation is further complicated by their lease agreement with Globe Life Field, which runs through 2048 and includes annual rent payments of $2 million to $4 million as well as a percentage of concession and parking revenue. In order to make a profit, the team will need to increase revenue or find cost savings elsewhere. One way they have attempted to do this is by shedding payroll; in 2019, they had the third-lowest payroll in MLB.
Why They’re a Top Franchise
The Texas Rangers are a top franchise because they have a rich history dating back to 1961. They have won two World Series titles and have made the playoffs seven times. The Rangers are also the only team in Major League Baseball to never lose a season series to any other team.
