University of Michigan athletic department: $17.1 million surplus for 2022 fiscal year

Tony Garcia
Detroit Free Press

The University of Michigan athletic department reported a $17.1 million operating surplus for the 2021-22 fiscal year, according to a financial report obtained by USA TODAY.

The department created $210,652,287 in operating revenues compared to $193,559,375 in expenses for the fiscal year from July 1, 2021, to June 30, 2022. It's the first time U-M has exceed $200 million (without adjusting for inflation) in annual operating revenue in one year — the previous high was $197.8 million in the fiscal year of 2019.

Michigan student section cheers for the Wolverines against Rutgers during the first half at Michigan Stadium in Ann Arbor on Saturday, Sept. 25, 2021.

For comparison Ohio State's operating budget was $251.6 million, Texas' was $239.3 million and LSU's was $199.3 million. The $17.1 million surplus is Michigan's largest since 2012, when it was at an all-time high $24.9 million, according to data collected by USA TODAY in partnership with the Knight-Newhouse Data Project at Syracuse University.

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It's a notable swing from last year's numbers, when the department reported a $47.6 million deficit for the 2021 fiscal year, which was the most affected by the pandemic and included a shortened football season without fans in attendance.

In 2019-20, Michigan reported an $11.6 million surplus.

The main reason U-M was able to get back to pre-pandemic levels was due to ticket sales. U-M athletics reported $55,266,135 in ticket sales ($47,502,989 of which came from football) compared to just $54,168 the year prior, which was the single largest source of income.

The Big House would normally be teeming with fans for one of the biggest rivalries in Big Ten football, but instead an empty Michigan Stadium dotted with cardboard cutouts greets players before the Michigan State/Michigan game in Ann Arbor on October 31, 2020.

The media rights deals brought in more than $46,948,614 between the football ($37,558,891) and men's basketball ($9,389,723) programs. Contributions was the third largest pillar, which jumped year-to-year from just more than $13 million to $43,536,297.

Other significant contributors to the surplus were royalties, licensing, advertising and sponsorships ($27,440,760), other operating revenue ($9,050,858), conference distributions of football bowl generated revenue ($7,272,697) and athletics restricted endowment and investments income ($6,995,895).

The most significant of the expenses were support staff/administrative compensation, benefits and bonuses ($37,934,250); coaching salaries, benefits and bonuses ($36,562,081); athletic student aid ($28,305,835); direct overhead and administrative expenses ($23,125,272), athletics facilities debt service, leases and rental fee ($17,488,509) and team travel ($11,100,438).

USA Today's Steve Berkowitz contributed to this report.