afaqs! news bureau

RCB, cricket contributed 16% to United Spirits net profit for 2023-24: ET

RCB's revenue saw an increase of163% to Rs 650 crore in 2023-24 from Rs 247 crore in the previous year.

United Spirits (USL), India’s leading liquor producer, attributed approximately 16% of its net profit for the fiscal year 2023-24 to cricket, following a significant revenue increase for its team, Royal Challengers Bangalore (RCB), as per an ET report.

RCB's revenue soared by 163%, reaching ₹650 crore in 2023-24, up from ₹247 crore the previous year. This resulted in a net profit of ₹222 crore, largely due to an increase in central rights income from the Board of Control for Cricket in India (BCCI). In contrast, the team had reported a net loss of ₹15 crore the year prior, according to the Indian subsidiary of Diageo Plc, the world’s largest distiller, in its latest annual report.

RCB's revenue streams include central rights earnings from the BCCI, sponsorship income, and other commercial revenues from franchise rights. Additionally, apart from ticket sales revenue shared by the BCCI, the company benefits from play-off revenue when the team qualifies for extra matches based on league rankings.

Two years ago, RCB's contribution to USL’s profit was merely 8%. The introduction of a women’s cricket team last year, which triumphed in its debut at the Women's Premier League, also added to the financial success.

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