In 2017, the Los Angeles Lakers were navigating a rebuilding phase under new ownership and fresh leadership, with franchise valuation steadily climbing amid league-wide revenue growth. During this period, analysts estimated the team value in the billions, reflecting long term investments in brand, market size, and player development.
As the organization stabilized under new management, investors closely watched metrics like operating income, market valuation, and expected revenue from media deals. The following breakdown captures key financial indicators and performance highlights for the Lakers in 2017.
| Category | 2016 Value | 2017 Value | Notes |
|---|---|---|---|
| Team Valuation (Forbes) | $2.6 billion | $2.9 billion | Includes market, brand, and revenue potential |
| Operating Income (Forbes) | $41 million | $45 million | Reflects operational efficiency gains |
| National TV Deal Value | $2.6 billion per season | $2.7 billion per season | NBA media contracts rose league wide |
| Sponsorship Revenue | $90 million | $95 million | Includes arena and digital partners |
| Luxury Tax Position | Above threshold | >Above threshold | Paid into league revenue sharing |
Lakers 2017 Roster Construction and Player Costs
Core Payroll Breakdown
During the 2017 calendar year, the Lakers managed a carefully balanced payroll that blended veteran leadership with emerging talent. Salary allocations were structured around long term contracts and competitive retention bonuses, while incentives tied to performance added variability to actual cash flow.
| Player | 2016-17 Salary | 2017-18 Projection | Role |
|---|---|---|---|
| D’Angelo Russell | $8.5 million | $8.9 million | Primary ball handler |
| Julius Randle | $7.1 million | $7.4 million | Forward development |
| Brandon Ingram | $5.5 million | $5.9 million | Wing scoring |
| Lonzo Ball | $5.8 million | $6.2 million | Point guard |
| Kobe Bryant (final game) | N/A | N/A | Legacy influence |
Market Position and Revenue Streams
Local and National Media Rights
The Lakers held one of the most valuable media packages in the NBA, driven by both the size of the Los Angeles market and historic brand equity. In 2017, regional and national partners renewed long term agreements, pushing per season values higher and increasing the baseline for future valuation.
Sponsorship and Arena Partnerships
Sponsorship packages tied to the Lakers expanded in 2017, with new and renewed deals across automotive, technology, and beverage categories. Staples Center naming rights and premium seating agreements added predictable annual revenue, supporting higher valuation multiples in discounted cash flow models.
Performance Impact on Valuation
2016-17 Season Results
On the court, the 2016-17 campaign was a transitional year, with the Lakers securing a playoff berth after several seasons outside postseason contention. Improved win shares and higher attendance rates strengthened revenue forecasts, which analysts factored directly into the upward revision of team worth.
Long Term Growth Drivers
Going forward from 2017, the Lakers were positioned to benefit from a larger media deal, expanding international fanbases, and a youthful core under player development programs. These elements signaled sustainable earnings growth, justifying the increased enterprise value observed mid-season.
Key Takeaways for Stakeholders
- Team valuation grew from $2.6 billion to $2.9 billion year over year
- Operating income improved alongside revenue diversification
- Media rights and sponsorships formed the core of cash flow
- Strategic roster investments balanced youth and experience
- Performance on the court supported higher attendance and engagement
FAQ
Reader questions
How did Forbes estimate the Lakers net worth in 2017?
Forbes used a discounted cash flow model based on revenue streams, arena income, media rights, and market size, applying an appropriate multiple to arrive at the team valuation figure.
What portion of Lakers revenue came from media deals in 2017?
Media rights represented the largest share of Lakers revenue in 2017, driven by national television contracts and digital distribution agreements that scaled with league wide growth.
Did operating costs rise faster than revenue for the Lakers in 2017?
Operating costs increased in line with revenue, but improved arena utilization and sponsorship sales helped maintain or slightly expand operating margins compared to prior years.
How did the Lakers payroll in 2017 compare to other NBA teams?
The Lakers payroll in 2017 ranked among the top tier league wide, reflecting the cost of retaining star adjacent players and competing in a high salary cap environment while planning for future contention.