In 2024, Texas Athletics Set School Records for Both Revenue and Expenses: Here’s Why
The University of Texas (UT) continues to be a powerhouse not only on the field but also in the financial landscape of collegiate athletics. In 2024, Texas athletics set school records for both revenue and expenses, highlighting the growing influence and scale of the university’s sports programs. While breaking financial records is impressive in its own right, the reasons behind these historic figures reveal a deeper story about the state of college athletics, the evolving nature of the sports industry, and Texas’ commitment to being a dominant force in both competition and business.
Record-Breaking Revenue
In 2024, Texas athletics generated record-breaking revenue, cementing its place as one of the most lucrative athletic departments in the country. This significant boost can be attributed to several factors, all of which reflect the university’s commitment to building world-class programs, capitalizing on media deals, and expanding the reach of their brand.
1. Big Ten and SEC Media Rights Deals
One of the most significant drivers of revenue for Texas athletics in 2024 was the money earned through media rights deals. The university’s move to the Southeastern Conference (SEC) was a monumental shift in the world of college sports, and it opened up lucrative opportunities for both television contracts and streaming rights.
The SEC, known for its powerhouse programs in football and basketball, secured one of the largest media rights deals in college sports history, with Texas’ entry increasing the value of the conference. The new broadcast contracts with ESPN and other networks are expected to bring in massive amounts of revenue for Texas as the school gains access to a broader national and international audience. As one of the most marketable schools in the nation, Texas stands to benefit greatly from these expanded television deals.
2. Expanding Fan Base and Ticket Sales
Texas boasts one of the largest fan bases in college sports, and their athletics programs are highly sought after by both local and national fans. The success of programs like football, basketball, and baseball has made it possible for Texas to fill stadiums and arenas year after year. The Longhorns’ passionate supporters, both in Austin and across the country, have created a steady stream of revenue through ticket sales, premium seating, and suite sales.
In 2024, Texas saw a continued surge in attendance across various sports. In particular, the football program, under head coach Steve Sarkisian, saw a significant increase in home game attendance, as the team positioned itself as one of the national championship contenders in the NCAA. Additionally, Texas’ basketball programs—both men’s and women’s—experienced record ticket sales due to their competitive play in the Big 12 and their consistent ranking among the nation’s top programs.
3. Sponsorship and Partnerships
Texas athletics is no stranger to lucrative sponsorships, and in 2024, these partnerships played a significant role in the department’s financial success. The university has established itself as a sought-after brand in the college sports world, attracting major sponsors and partners who want to be associated with the prestige of Longhorns athletics.
From Nike apparel deals to corporate sponsorships with companies like Coca-Cola, Learfield, and others, the partnerships Texas has formed generate millions of dollars each year. In 2024, the university’s athletic department experienced an uptick in sponsorship agreements, further solidifying its financial success.
Texas also made a concerted effort to leverage its athletic success to expand its partnerships with tech companies, including collaborations for broadcasting and fan engagement. The increasing integration of technology into the fan experience, such as mobile apps, live streaming, and virtual ticketing, has also helped boost sponsorship opportunities.
Record-Breaking Expenses
While Texas athletics saw record-setting revenue, the department also faced unprecedented expenses in 2024. The rapid expansion of programs, along with significant investments in facilities, salaries, and operational costs, has led to a rise in expenditures. The growth of the Texas athletic brand requires careful financial management, but also means increased spending to keep up with the competition and maintain its status as a college sports juggernaut.
1. Investment in Facilities
One of the key drivers of increased expenses for Texas athletics in 2024 was the continued investment in state-of-the-art facilities. Texas has long been known for having some of the best athletic facilities in the country, and that reputation only grew in 2024. The school completed several major facility upgrades and renovations, with a focus on enhancing the student-athlete experience and creating an elite training environment.
The $175 million renovation of the Darrell K Royal-Texas Memorial Stadium is one of the biggest expenditures of the year, as it includes new luxury suites, a revamped media center, and fan-friendly amenities. These improvements are part of Texas’ ongoing effort to stay competitive in the arms race of college athletics facilities, and the expenses associated with these projects were a significant portion of the department’s budget in 2024.
In addition to football, Texas made strides in improving other facilities, such as the Moody Center for basketball, the newly renovated track and field complex, and enhancements to the Longhorns’ baseball and softball stadiums. These investments not only attract top-tier recruits but also ensure that the current student-athletes have access to the best resources to succeed.
2. Coaching Salaries and Staff Expenses
The salaries of head coaches and assistant coaches are some of the largest expenses for any athletic department, and in 2024, Texas continued to push the envelope with regards to compensation for their coaching staff. With Texas’ football and basketball programs competing for national championships, the university invested heavily in coaching salaries to attract and retain top-tier talent.
Steve Sarkisian, head coach of Texas football, signed a new contract in 2024 that includes a significant pay raise, making him one of the highest-paid coaches in the country. Similarly, Rodney Terry, head coach of the Texas men’s basketball team, was also given a lucrative contract extension following his team’s strong performances in the NCAA tournament.
In addition to head coaches, assistant coaches and support staff also saw salary increases in 2024. This investment in the coaching staff is an effort to remain competitive on the national stage, as high-profile programs across the country are willing to pay top dollar to secure the best coaching minds in the business.
3. NIL Payments and Player Benefits
The landscape of college sports has changed dramatically in recent years, and the advent of Name, Image, and Likeness (NIL) deals has added a new layer of complexity to the financial landscape. Texas has been at the forefront of NIL, and 2024 saw significant investments in NIL deals for athletes across various sports.
While the exact figures are difficult to track, reports indicate that Texas athletics allocated a substantial portion of its budget toward NIL initiatives. The school has partnered with multiple NIL collectives and local businesses to help its student-athletes maximize their earning potential. Texas’ investment in NIL is not only a reflection of the changing nature of college sports but also a commitment to maintaining its competitive edge in recruiting.
4. Travel and Operational Costs
As Texas continues to compete at the highest level across various sports, the travel and operational expenses have also skyrocketed. With teams traveling extensively for away games, bowl games, and tournaments, these costs add up quickly. Texas football, basketball, and other high-profile programs typically travel with large contingents of staff, media, and support personnel, all of which add to the overall expenses.
In 2024, the athletics department also took steps to ensure that teams have the resources they need to succeed on the road. This includes charter flights, luxury hotel accommodations, and top-tier nutrition and recovery services for athletes.
Why the Record Numbers Matter
While the record-setting revenue and expenses in 2024 are impressive, they also highlight the changing nature of college athletics. As NIL and media rights deals continue to shape the industry, athletic departments like Texas are facing larger financial realities than ever before. The competition to field elite teams requires massive investments, and the financial landscape of college sports is evolving accordingly.
For Texas, the record-breaking figures represent more than just numbers on a balance sheet—they reflect a larger strategy to remain at the forefront of college athletics. Whether it’s through high-profile media deals, cutting-edge facilities, or generous NIL opportunities, Texas is positioning itself for long-term success, both on and off the field.
In conclusion, the record-setting financials of Texas athletics in 2024 are a testament to the university’s commitment to excellence in all facets of its sports programs. With the growing influence of media deals, a relentless pursuit of top-tier facilities and coaching talent, and the ever-expanding world of NIL, Texas is proving that it’s not just a powerhouse on the field—it’s also a juggernaut in the business of college athletics. The 2024 financial records are just the beginning of what could be a new era for Texas sports, one that will likely be defined by further success, both financially and competitively, for years to come.