Money Ball - Little League Facts and Figures Part 2

LLBWS is underway with 10 US and 10 International teams battling to make their way to respective Championships on August 23 and then the World Series crown on August 24. The US is represented by teams from: IL, CT, PA, SD, NV, MA, WA, SC, TX, and HI. And Monica Arcuri is now the 24th girl to compete and in her first game became the 11th to record a base hit.

It has been an International sweep so far in the tournaments that have concluded.

The SLWS (16U) was won by Amelia Baseball Club LL from Guaynabo, Puerto Rico (Pop. 90,000) defeating host Easly LL of South Carolina (Pop 27,000). Some news orgs picked up the unfortunate refusal by the US to grant entry to a team from Venezuela.

The JLWS (14U) champs were Chung-Shan Junior LL from Taichung, Chinese Taipei (Pop. 2.8M) with a win over Vine-Ingle LL of Macon, GA (Pop. 150,000).

And for Intermediates 50/70 (13U) — Flor Amarillo LL from Valencia, VZ (Pop. 2.6M) over Central East Maui LL of Wailuku (Pop. 15,000).

The operations at Little League HQ are substantial for a rec sport. And while the gist of this two-part breakdown is focused on US Little League baseball, it is important to note that Little League Inc. began offering softball in 1974 and now runs the largest softball program in the world. Some 300,000 girls participate annually chasing their own line-up of World Series events.

The most recent Form 990 filing for Little League, Inc. is 2023 and includes a notable $40 million dollar gross receipts line (revenue + contributions/donations). The org had some $40 million in expenses and has an executive team with 5 members making more than $250k/year in salary. There has been a small but persistent operating deficit since the pandemic so it will be worth noting where 2024 comes in. Currently they have a comfortable 26% debt-to-asset ratio. The organization is still digesting a large capital expenditure for dormitories and improved seating in Williamsport.

Picking up from Pitch Perfect - LL Part I — Little League, Inc. recognized long ago that there was a mainstream audience for their tournaments and forged a long standing TV relationship with ABC/ESPN dating all the way back to 1963. In 2013, ESPN paid up to continue and expand the coverage, subsequently extending it in 2022. TV broadcast rights bring in $7.5 million annually.

Little League, Inc. has also been quite successful lining up marquee brands with some 16 featured in their LLBWS Fan Zone including: adidas, Capital One, DICK’s Sporting Goods, New Era, and of course the title sponsor T-Mobile.

Making sense of participation trends can be tricky but getting some directional baselines can be helpful. To start, the National Center for Education Statistics (NCES) reports that the number of US high school students has risen from 14.9 to 17.5 million between 2000-2023 so the pool of potential players has risen. That said, high school baseball participation has remained flat at a bit above 450,000 while ceding some ground to other sports. In the youth 6-12 market, the Aspen Institute found core participation dropping significantly (2008-present) from 44% to 36% of kids. For Little League specifically, the consensus is that after peaking at 3 million in the late 1990s, it has settled closer to 2 million players.

When looking at the entire landscape for America’s pastime, it is striking how embedded, long-standing and geographically diverse youth baseball is in the United States. And while organized leagues and participation may vary state to state, communities have enough offerings to piece together vibrant leagues to meet demand.

We know about Little League, Inc and their roughly 2 million players. Here are others that command substantial market share.

Babe Ruth / Cal Ripken (1+ million players) — started in 1951 as a league for 13-15 year olds (LL grads!) and then expanded to 18U. In 1982, in response to Little League offering a new Juniors (14U) program, they decided to compete head-to-head in the younger divisions. In 1999, they rebranded these Bambino divisions to Cal Ripken to align with Ripken family values. With their own set of World Series tournaments and streaming deal with Region Sports Network, they made news recently with a deal to air tournament games on CNBC. Currently the organization operates with a top line run rate of $6 million a year, near break even with 28 employees.

PONY Baseball (500,000+ players) — another long-standing (Est. 1951) youth organization based in PA with some differences around age grouping and rules for younger players. Revenues in the $1+ million range.  

Diamond Youth Baseball (200,000+ players) — about 1000 franchised leagues in the southeast that are decentralized and produce numbers similar to large local Little Leagues. Fees can be 50% less than Little League. And though rebranded from “Dixie Youth Baseball” the leagues maintain a strong southern tradition. DYB also has a full tournament schedule. 

American Amateur Baseball Congress (AABC | 240,000+ players) — dates back to 1935 as a bedrock for amateur baseball in the US. Based in New Mexico, AABC offers a full range of divisions including an “open” (no age limit), national tournaments, and participation from 42 states as well as Canada and Puerto Rico.

American Legion Baseball (50,000+ players) — the true OG formed in 1925 in the years after World War I. Legion ball reflected America’s deep love affair with baseball as a cornerstone for community. Under heavy decline this century, the program still thrives in pockets for ages 13-19 and proudly boasts some 82 Baseball Hall of Fame alumni! The structure is largely decentralized with the local “post” managing operations and finances. They do host a World Series and are now streaming on YouTube.  

USSSA (~1 million player range) — founded in 1968 and based in Florida, this organization oversees several sports with substantial emphasis on travel baseball. Their offering includes year round tournaments and summer World Series events. In 2022, their top line was $23 million and just above break even. About 55% of revenue was associated with team fees and tournament revenue. Similar to LL, Inc., USSSA has invested heavily in their main facility in FL. 

While we may hear a lot about the rise of travel ball, Little League has all the signs of a healthy global non-profit that is mission driven and is both navigating and innovating in a youth sports market awash in change. They are part of a larger vibrant youth baseball landscape dating back nearly 100 years that serves millions of players every year. If you are tired of plummeting MLB batting averages and other stats driven side effects of Michael Lewis’ Money Ball, flip on the LLBWS or catch a local rec game and you’ll realize all is well on the baseball diamond.

Next week, we will have a look at some emerging (and perhaps surprising) sports for youth girls…