MUMBAI: IPL, cricket’s annual showpiece event, has seen its business value jump 13% in a year to $18.5 billion – nearly Rs 1.6 lakh crore. At the same time, its brand value has risen 14% to nearly $4 billion (about Rs 33,000 crore), a report by NYSE-listed investment bank Houlihan Lokey, which has valued several sports franchises around the world, showed.The year also saw 2025 IPL winner Royal Challengers Bengaluru taking the top slot in terms of brand value among the 10 teams that compete in the league. The first-time winner in the league’s 18-year history has a brand value of $269 million.In the brand valuation table, RCB is followed by Mumbai Indians at $242 million, Chennai Super Kings at $235 million and Kolkata Knight Riders at $227 million.“IPL continues to redefine sports commercialisation – not just in terms of cricketing excellence but through record auctions, landmark sponsorships, technological advancements, and an ever-expanding international footprint,” the report said about the league’s recent expansions and business growth.Calling IPL “a global phenomenon” that is at the intersection of sport, entertainment, and commerce, the report said that the league’s “influence now extends far beyond the cricketing fraternity, reshaping fan engagement, commercial models, and the structure of the sport itself”. The report pointed out that IPL’s success has also catalysed a proliferation of short-format leagues across continents, “redefining the modern cricketing calendar and embedding itself as a cornerstone of contemporary popular culture”.The report by Houlihan Lokey also estimated that the advertising revenue during the 2025 IPL had jumped a massive 50% to about $600 million (about Rs 5,000 crore). And in terms of viewership, the final match between RCB and Punjab Kings recorded over 678 million views, a number that was higher than the India-Pakistan clash during the ICC Championship in Feb this year, the report said.On IPL’s revenue model, the report said that it represented “a near-perfect blend of predictable cash flows and cost discipline, a rarity in the global sports asset universe. “Revenues are underwritten by BCCI’s long-term, well-negotiated media rights contracts and front-loaded sponsorship deals, creating annuity-like cash flows.”For top franchisees, almost 80% of the costs are secured even before the tournament begins. “On the cost side, the presence of a salary cap (Rs 120 crore per team) functions as an embedded margin protector, preventing wage inflation (a major concern for global sports teams) and ensuring competitive parity among teams.”In terms of costs and revenue models, IPL is seen to be superior to the English Premier League (EPL) of the UK and the National Basketball Association (NBA) of the US, the report noted. “For institutional investors, this makes the IPL not just a sports league but a high-growth compounder in the entertainment space, catering to a fast-growing fan base with rising disposable income and a strong appetite for premium digital experiences.“
