Indians score hefty profits

December 15, 2008
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indiansIn good times and bad, the Indianapolis Indians continue to be a hit with local sports fans. The Indians scored a $1.23 million profit this year on $8.7 million in revenue, according to the publicly traded company’s most recent financial disclosure. That compares to a profit of $1.27 million on revenue of $8.22 million in 2007.

Revenue gains were offset by slight increases in expenses, with the most notable a $320,000 bump in advertising and promotion to $1.7 million. Grounds operation expenses were up slightly to $3.52 million and general and administrative expenses bumped up to $1.35 million.

As a result, Indians stockholders will get a dividend of $350 per share. That’s the same as last year, but up from $200 per share in 2006. The team is offering to buy back shares of stock currently for $21,328 per share. The stock, which is listed in the Pink Sheets, has traded for as high as $25,000 in the past year. Some stockholders believe the thinly traded stock is worth more than $30,000 per share. If you want to get in on the action, you might be a little hard pressed. There are only 774 shares outstanding. At $25,000 per share, that would value the team at $19.4 million.

There’s a reason why Indians stock is so valuable. It’s one of a dwindling number of sports properties that makes any money in Indianapolis. And it’s easily the most consistent.

Even in a year when the economy was less than stellar, the Indians saw increases in ticket revenue, concession sales and advertising income. Signboard advertising increased almost $100,000 from 2007, hitting $592,850. Promotional advertising revenue was up more than $130,000 to $858,827 and advertising in the team’s game-day souvenir program also was up. This shows that corporate Indiana understands the value of reaching this predictably solid audience.

This year the Indians drew 606,155, the team’s highest attendance mark since 2000. That put the team’s average attendance at 8,538 per game. If the economy continues to stagger, sports marketers think sports fans looking for relatively inexpensive entertainment options, could push the Indians attendance higher next season.
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  • This is great news for the average sports fan that can't afford to spend $100-$200 per game for a family outing to a sporting event. A spot on the lawn with the kids and a picnic basket is still the best value in town. I agree that the Indians will likely see another year of record crowds. People won't stop spending money, just spending it more wisely. And an Indians game is a bargain in my book!
  • I echo Boomer's sentiments. For a family of four on a budget there are few better ways to spend an evening in the summer than on the law at the Vic.

    As Harry Carray used to say You can't beat fun at the old ballpark.
  • Who does the Indians marketing? It's nice to see they convinced the Tribe to pony up some money for marketing - it definitely paid off this season.
  • It's my understanding that locally based Hirons & Co. handles advertising/marketing for the Indians.
  • As an HR Manager I convinced our president to purchase season tickets last year and it was a big hit among employees and clients. Even though the economy has somewhat impacted us, we have already renewed for 2009 since their prices are so low. We are proud to back the Indians.
  • Here's a web address that should appear hyperlinked in the blog: http://www.ibj.com, and here's www.ibj.com

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  1. So much for Eric Holder's conversation about race. If white people have got something to say, they get sued over it. Bottom line: white people have un-freer speech than others as a consequence of the misnamed "Civil rights laws."

  2. I agree, having seen three shows, that I was less than wowed. Disappointing!!

  3. Start drilling, start fracking, and start using our own energy. Other states have enriched their citizens and nearly elminated unemployment by using these resources that are on private land. If you are against the 'low prices' of discount stores, the best way to allow shoppers more choice is to empower them with better earnings. NOT through manipulated gov mandated min wage hikes, but better jobs and higher competitive pay. This would be direct result of using our own energy resources, yet Obama knows that Americans who arent dependent of gov welfare are much less likely to vote Dem, so he looks for ways to ensure America's decline and keep its citizens dependent of gov.

  4. Say It Loud, I'm Black and Ashamed: It's too bad that with certain "black" entertainment events, it seems violence and thuggery follows and the collateral damage that it leaves behinds continues to be a strain on the city in terms of people getting hurt, killed or becoming victims of crimes and/or stretching city resources. I remember shopping in the Meadows area years ago until violence and crime ended make most of the business pack you and leave as did with Lafayette Square and Washington Square. Over the past 10 to 12 years, I remember going to the Indiana Black Expo Soul Picnic in Washington Park. Violence, gang fights and homicides ended that. My great grandmother still bears the scares on her leg from when she was trampled by a group of thugs running from gun fire from a rival gang. With hundreds of police offices downtown still multiple shootings, people getting shot downtown during Black Expo. A number of people getting shots or murdered at black clubs around the city like Club Six on the west side, The Industry downtown, Jamal Tinsley's shot out in front of the Conrad, multiple fights and shootings at the skating rinks, shootings at Circle Center Mall and shooting and robberies and car jackings at Lafayette Mall. Shootings and gang violence and the State Fair. I can go on and on and on. Now Broad Ripple. (Shaking head side to side) Say It Loud, I'm Black and I'm Ashamed.

  5. Ballard Administration. Too funny. This is the least fiscally responsive administration I have ever seen. One thing this article failed to mention, is that the Hoosier State line delivers rail cars to the Amtrak Beech Grove maintenance facility for refurbishment. That's an economic development issue. And the jobs there are high-paying. That alone is worth the City's investment.

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