Forbes values Pirates at $1.32 billion, 24th in baseball team rankings

Forbes placed the team value of the Pittsburgh Pirates at $1.32 billion again in its annual rankings of baseball’s most valuable teams, which ranks 24th out of 30 major league franchises.

Despite the Pirates enduring a second consecutive 100-loss season, Forbes estimated they made $51.5 million in operating income in 2022, which ranks eighth among MLB teams, and $41 million in gate receipts.

The Pirates’ projected payroll for the 2023 season, per Cot’s Contracts, is $71,862,500. That’s an increase of $16.1 million from last season, yet it still ranks 27th among MLB teams. The Pirates are one of three teams, along with the Colorado Rockies and Houston Astros, that AT&T SportsNet reportedly told to reclaim its broadcast rights by March 31 or it would file for bankruptcy.

The Pirates spent more than $30 million in free agency in the offseason, signing left-handed starting pitcher Rich Hill, first baseman Carlos Santana, outfielder Andrew McCutchen, catcher Austin Hedges, right-handed starter Vince Velasquez and lefty reliever Jarlin Garcia.

Baseball’s Most Valuable Teams 2023: Price Tags Are Up 12% Despite Regional TV Woes https://t.co/xWB22s7wTo by Mike Ozanian and Justin Teitelbaum pic.twitter.com/dFv79grvJt

— Forbes (@Forbes) March 23, 2023

The New York Yankees continued to rank first in value at $7.1 billion — no other team has ranked higher than the Yankees since Forbes started publishing the list in December 1998 — followed by the Los Angeles Dodgers ($4.8 billion), Boston Red Sox ($4.5 billion), Chicago Cubs ($4.1 billion) and San Francisco Giants ($3.7 billion).

Only the Cleveland Guardians ($1.3 billion), Tampa Bay Rays ($1.25 billion), Kansas City Royals ($1.2 billion), Cincinnati Reds ($1.19 billion), Oakland A’s ($1.18 billion) and Miami Marlins ($1 billion) had lower team values than the Pirates.

The Pirates ranked behind the Seattle Mariners ($83.8 million), Giants ($74.9 million), Red Sox ($71.6 million), Baltimore Orioles ($64.7 million), A’s ($62.2 million), Texas Rangers ($58.1 million) and Cubs ($57.5 million) in earned operating income.

Per Forbes, the average team value increased 12% to $2.32 billion, as teams enjoyed a 64% increase in ticket revenue to $2.4 billion and a 35% increase in premium seating to $1.16 billion. The average operating income was down 20%, to $17.7 million, as player costs rose 13% to $5.2 billion.

Forbes determined the revenue and operating income (earnings before interest, taxes, depreciation and amortization) as the “net of revenue sharing, competitive balance taxes and stadium revenue used for debt service,” as well as revenue and expenses from non-baseball events at the stadium that go to team owners.