Pacquiao payout this Saturday could be $30 million

December 5, 2012

Kevin Iole of Yahoo! Sports reports that Manny Pacquiao could earn up to $30 million for his fourth fight against Juan Manuel Marquez.  Marquez will receive $3 million for this Saturday’s fight.

According to the Nevada State Athletic Commission, Pacquiao will earn an $8.595 million fight purse with Marquez receiving $3 million.  However, Pacquiao will receive a cut of the PPV and foreign TV earnings which are estimated between $25-$30 million.

According to Top Rank, closed circuit locations for the fight are up from the Pacquiao-Marquez III in 2011.  Despite the loss in June, it appears that the Pacquiao popularity continues.

Payout Perspective:

Saturday night’s PPV is estimated to be between 1 million and 1.3 million buys – which is the amount from their last fight in November 2011.  The article did not indicate whether Pacquiao is receiving a portion of the closed circuit money.  Also, it does not state whether Marquez is receiving an upside of the PPV.

Pacquiao earned $26 million for his last fight whereas his opponent Timothy Bradley made $5 million.  Interesting enough, Marquez made $5 million for Pacquiao-Marquez III and could have earned up to $5 million from PPV.  So, Marquez is making less and it’s not clear whether he is receiving a cut of the PPV.

9 Responses to “Pacquiao payout this Saturday could be $30 million”

  1. Adder on December 6th, 2012 12:02 AM

    my guess is marquez is getting a cut of ppv. it would be some terrible negotiating if he got it last time but not now.

  2. Jason Harris on December 6th, 2012 6:39 AM

    Something I’ve been wondering for a while, and this seems the site to ask….of that $30M, who all is getting a piece of that? Where are the promoters getting paid, is it coming from that money, or are they paying the fighter after the promoters get that?

    The structure between UFC and boxing is pretty different (What with everyone in the UFC basically being paid by the same person) so I am curious about the details of how much that $30M gets cut down before Pacquiao takes home his share.

  3. Machiel Van on December 6th, 2012 8:50 AM

    I’m pretty sure Pacman gets the full $25-30 million, minus taxes of course, as well as the clingers in his ridiculous entourage. A Boxing PPV, which are more expensive than UFC PPVs, that generates over a million buys makes far more than $30 million in revenue, though the PPV provider takes a substantial portion of it. It does seem like there’s not a ton of money left for the promoters, so I’d be interested to hear a more educated take on the payout breakdown.

  4. Jason Harris on December 6th, 2012 9:29 AM

    Looking at Pac-Bradley:

    PPV rates are estimated between 700-900k. Let’s say $55 a PPV:
    700k – $38.5m
    900k – $49.5m

    Live gate of 8.9m

    Pac got $26m
    Bradley got $5m

    I’ve always heard that PPV providers take half of the PPV split.

    That leaves them with $19m-$25m in revenue to pay out $31m in purses. Something in the math doesn’t add up. I realize there are things like sponsors and the money they get from HBO/Showtime, but we’re also not accounting for advertising, venue costs, staffing, and paying the promoters.

    That leaves me with the suspicion that Pac’s $30m purses are like the big advances that bands get from record labels….suddenly every expense involved in the fight is charged against it.

    But maybe I’m way off base, and there’s something I’m missing.

  5. Jason Harris on December 6th, 2012 9:35 AM

    Also left the live gate off of the $19-25m figures, but still $28m-34m to pay $31m in purses alone sounds a bit off. Guys like Don King and Bob Arum didn’t get filthy rich by giving all the money to the fighters.

  6. Roy Englebrecht on December 6th, 2012 10:07 AM

    OK everybody and as a promoter here is how it works:

    Cable gets half of PPV price, so if sells for $60, cable gets $30 and promoter gets $30

    One Million buys at $60 equals promoter getting $30,000,000

    Live Gate of 8 million promoter gets $8,000,000

    Sponsorships go to promoter of $1,000,000

    Close circuit rights go to promoter, usually big fight $2,000,000

    Foreign broadcast rights go to promoter about $2,000,000

    Merchandise/program about $100,000

    Total income for promoter is $43,100,000

    Featured Fighters get $31,000,000 and undercard another $500,000

    PR Tour and marketing is $500,000

    Show expenses another $200,000

    Total promoter show costs is $32,200,000

    Promoter shows gross profit of $10,000,000

    And even if he has to share PPV with fighter after certain levels met, still a nice payday for everyone

  7. Sampson Simpson on December 6th, 2012 6:03 PM

    AT $30 net per each PPV sale at 800k = $24 million

    Throw in the $12 million gate, Sponsorship of $1 million, International Broadcast of $2 million, HBO replay rights $1 million, Closed Circuit/Bars & Memorabilia: Over $40 million total revenue is quite feasible

    That’s still plenty of money for Arum. The tide has shifted as the big names get bigger chunks these days.

  8. Sampson Simpson on December 6th, 2012 6:07 PM

    For Arum to make $8 million off a Pac fight is more than he’d make with all his HBO dates

  9. chris on December 10th, 2012 9:11 AM

    manny has a nice tv deal in the phillipines to broadcast his fights, he is huge over there, i have been in the phillipines when he fights the whole country stops for that day to watch the fight . its a real big deal over there .

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