Forbes’ yearly rankings saw the Islanders jump two spots among the most valuable NHL teams, coming in at 16.

Forbes values the team at $520 million, unchanged from a season ago. However, considering that no NHL team gained value this year, that’s a sign of positive growth for the franchise.

Much of the growth is due to the Islanders’ impending move to UBS Arena. The $1.3 billion privately funded arena is on schedule to open for the 2021-2022 season. UBS bought the naming rights over the summer and will pay $300 million over 20 seasons for that privilege.

Nevertheless, the Islanders operating income is the second-lowest in the league at -$38 million. Only the Florida Panthers net less money than the Isles. The last time the Islanders turned a profit was in 2016 when their income was $2.7 million.

However, much of the negative numbers are likely due to the economic fallout which has accompanied the coronavirus pandemic. The Islanders lost the most money in the NHL this season (-$39 million) and generated the least revenue ($93 million).

Revenue was actually trending up from 2013 to 2016. It leveled off afterward from 2017-2019 before dipping this year. The league’s inability to finish the season with fans is likely to blame for that.

The Islanders needed all the ticket revenue they could get. Playing in the smallest arena in the NHL, the Coliseum and Barclays Center were only filled to about 81% capacity before the pause in March, according to ESPN attendance reports. That’s the second-lowest in the NHL after Ottawa.

The Islanders have are also paying more for players than they’ve ever before. Player expenses are currently $88 million, continuing an upward trend since paying only $36 million in 2013. That number will likely continue to rise considering the Islanders still have to pay Mat Barzal.

A successful team also boosts a team’s value. A graph of win-to-player cost ratio shows peaks in years that the Islanders made the playoffs and valleys when they didn’t. In 2019-2020, their ratio was 120, meaning that the team achieved 20% more victories per dollar of payroll compared with the league average during the season.

The NHL is expected to kick off the 2020-2021 season on January 13th, likely without fans. NHL analysts Dan Rosen and E.J. Hradek predicted the Islanders will return to the playoffs, which should help the Islanders accumulate future ticket revenues and merchandise sales.

Ben Baruch

Born and raised on Long Island. Isles fan since 2009. Studying journalism at the University of Maryland, College Park.