The Flames had a very hot start to the 2024–25 season, but the tide has turned of late. However, the team did get some good off-ice news.
In the latest appraisal by Sportico of NHL franchises, the franchise value of the Flames jumped 39% to $1.58B in their 2024 report.
That is some serious value.
NHL business is booming
The NHL as a whole saw revenue grow dramatically, with every team reporting more than 20% growth. This was another year of economic recovery since 2020, when the shortened season and subsequent years decimated the league’s revenue picture. However, teams saw overall increased revenue and the salary cap increased as a result. New TV deals and agreements and more contributed to this across the league.
Every single team reported a value of greater than $1B, which is massive for the overall health of the league.
There appears to have been a historical undervaluing of NHL franchises, but now with the success of the Vegas Golden Knights and Seattle Kraken, the NHL looks to be a prime sports investment opportunity. The league is still below the other big American-based leagues, but this is a step in the right direction.
The Calgary Flames’ value
The Flames have never been one of the league’s highest-valued franchises in terms of dollars, but its $1.59B valuation puts them 18th in the league overall which is a decrease of one spot compared to last season. The Minnesota Wild came in one spot ahead of them at $1.6B, while the Colorado Avalanche dropped four spots and sit below the Flames at $1.57B.
The biggest reason why the Flames are not a top team is that they have less in the way of related businesses than other teams. There is a trend to move towards ownership of other related assets, including real estate around the arena, which the Flames have not done to this point. The team’s core and sole business is the team and affiliate teams as opposed to auxiliary assets.
The other reason is that their revenue remains low. While they did see a bump up from $175M to $196M, they remain below most other teams in this category. The expected increase in ticket and concession prices in the new arena should augment this in a few years.
Further, with hockey-related revenue improving, and the announcement of a new arena coming in the next few years, it’s safe to assume that the value of the Flames franchise is only going to continue to grow.
Among the seven Canadian teams, the Flames rank fifth in the list. Here is how the Canadian franchises stack up for 2024.
| Canadian Team | Value | League Rank |
|---|---|---|
| Toronto Maple Leafs | $3.66B | 1st |
| Montreal Canadiens | $2.93B | 3rd |
| Edmonton Oilers | $2.40B | 7th |
| Vancouver Canucks | $1.73B | 13th |
| Calgary Flames | $1.58B | 18th |
| Ottawa Senators | $1.14B | 29th |
| Winnipeg Jets | $1.1B | 31st |
The Flames’ future value
The team on the ice has struggled the past couple of seasons and while the valuation is higher, the Flames are expected to face major attendance issues again this season.
Perhaps this is the perfect time for the Flames majority owner, Murray Edwards, to capitalize on his initial investment and sell the team off. A boy can dream.
