The principal owner of the New York Yankees, Hal Steinbrenner, has stated the organization is still focused on securing a title in 2026, while also mentioning some reservation about monetary obligations in the future.
On Monday, Steinbrenner remarked that the team’s expenses for 2025 totaled $319 million, likely referencing the figure utilized for Competitive Balance Tax purposes. Data from Cot’s Contracts suggests that the team’s payroll, when considering Opening Day and the 40-player roster, was considerably less than what Steinbrenner indicated. Regarding this payroll figure, Steinbrenner commented, “Ideally, would we like to see it decrease? Naturally. But does this guarantee it will? Not necessarily. Our aim is to assemble a team that we believe has the capability to win a championship.”
The counterargument to this is that a team with the financial resources of the Yankees should be willing to invest whatever is necessary to position themselves for a significant attempt at the World Series. Steinbrenner also addressed the assumption that the Yankees generate profits, as reported by MLB.com:
“I prefer not to delve into specifics, but that assertion is inaccurate. Everyone tends to focus on revenue, but it’s crucial to consider our expenditures as well, including the $100 million obligation to the City of New York that we fulfill every February 1, even during the COVID year. These costs quickly accumulate.”
Whenever an owner discusses a team’s financial situation, it’s important to remember that, with the exception of the publicly traded Atlanta Braves, teams are not required to disclose financial details. In other words, any statements made by an owner regarding a team’s profitability, or lack thereof, should be regarded as attempts to shape public opinion rather than reflections of reality. Such comments from owners who are not legally required to be truthful about their team’s financial matters should be viewed with skepticism. The larger picture is that MLB franchises are assets, not businesses focused on immediate cash flow. The next owner not to earn hundreds of millions of dollars – or potentially billions – upon selling an MLB team will be breaking new ground.
In terms of the central issue, Steinbrenner’s Yankees are coming off a 2025 season where they achieved 94 wins and secured a wild card spot. Following a victory against the Red Sox in the Wild Card Series, they were defeated by the Blue Jays in the subsequent round. This means the Yankees haven’t reached the World Series since 2009.
As they look ahead to 2026, the Yankees face several uncertainties, notably the potential departure of outfielder Cody Bellinger as a free agent. Given the fiercely competitive nature of the American League East, Steinbrenner must be willing to do more than just the bare minimum. His remarks on Monday suggest this may not be the case.
