Synopsis
SEC Soars with Record-Breaking $853 Million: In a remarkable comeback, the Southeastern Conference (SEC) has reported an impressive $853 million in revenue for the 2023 fiscal year, marking a significant increase from the previous year.
This surge in income underscores the SEC’s resilience and financial strength, positioning it for continued success in collegiate athletics.
The Southeastern Conference (SEC) has bounced back strong after a dip in revenue last year, according to newly released federal tax records. In its fiscal year ending on Aug. 31, 2023, the SEC raked in a whopping $853 million in total revenue, marking a significant increase of around $50 million, or 6%, compared to the previous year.
SEC Soars with Record-Breaking $853 Million – Revenue Growth and Distribution
With this surge in revenue, the SEC was able to distribute an average of about $51.3 million to each of its 14 member schools, up from approximately $49.9 million per school in the 2022 fiscal year. This upward trajectory indicates a promising financial outlook for the conference.
Path to Future Growth
Looking ahead, the SEC seems poised for even greater financial success in the coming years.
The addition of Oklahoma and Texas to the conference in the 2024-25 fiscal year, coupled with ESPN/ABC taking over the Saturday afternoon football TV package and the expansion of the College Football Playoff, sets the stage for a potential revenue milestone of $1 billion to $1.1 billion.
Television and Radio Rights
While revenue from television and radio rights remained relatively stable at $544 million in 2023, the SEC saw a boost in income from postseason events and investment returns.
However, an increase in interest expenses due to outstanding loans taken during the COVID-19 pandemic tempered some of these gains.
Impact on Revenue Shares
As the SEC prepares to repay these loans, there may be implications for revenue shares among member schools.
Oklahoma and Texas, despite not receiving money from the primary revenue-sharing pool in 2024-25, stand to benefit from football- and basketball-specific distributions and transition payments funded by ESPN.
Executive Compensation
SEC Commissioner Greg Sankey’s total compensation for 2022 amounted to just over $3.6 million, reflecting a slight decrease from the previous year. This adjustment is attributed to a one-time merit bonus provided to Sankey in 2021 for his leadership during the COVID-19 pandemic.
Future Outlook
With revenue on the rise and strategic expansions on the horizon, the SEC remains a powerhouse in collegiate athletics. As it continues to navigate the evolving landscape of sports entertainment and financial management, the conference is poised to maintain its position at the forefront of college sports.