It might shock you to learn that Louisville basketball banked nearly twice as much revenue as Kentucky basketball last season. With $42.4 million in revenue, Louisville basketball generated more net revenue than any other basketball program in the country, with Syracuse
a distance second at $26 million. Kentucky ranked fifth at $23.2 million.
Why the big difference?
Some believe it's because Louisville is able to sell alcohol in its arena. Under the athletic department's concession contract, it receives 50% of sales, which amounted to just under half a million dollars in 2011, and that was for all concession items. So probably not the beer.
So, where is Louisville making its money?
The fans. Donations to Louisville basketball last year came in at a whopping $21.5 million. That's more than most programs made from
all basketball-related revenue sources last year. In fact, only Syracuse, Duke, Arizona, and Kentucky had net revenue greater than $21.5 million
last year.
Louisville plays home games in the KFC
Yum! (NYSE:
YUM ) Center, which features 72 luxury suites. Those suites are rented for a price ranging from $85,000 to $92,000 each. That's more than $6 million simply in rent, and only 12% goes to the arena. Tack onto that the price of tickets, the donation required to purchase the tickets, food and drinks, and the number starts skyrocketing quickly. Other seats in the arena command donations ranging from $250-$2,500, with the exception of seven student sections and four sections with no donation requirement.
How much does Kentucky make from suites? Zero. Rupp Arena doesn't have suites.
