In a recent interview with Tucker Carlson, Dave Portnoy expressed his determination to revive Barstool Sports, asserting that he possesses the financial resources to bring the company out of its current dire state.
Barstool Sports has been experiencing financial losses, prompting Portnoy to initiate significant job cuts after repurchasing the platform from Penn Entertainment a few weeks ago.
Portnoy outlined his strategy for saving the struggling brand, emphasizing his personal wealth and ability to take the necessary actions. He sold Barstool to Penn Entertainment for a whopping $551 million and then reacquired it for a symbolic $1. With full ownership restored, the company will undergo substantial layoffs in order to halt the financial bleeding.
When asked by Carlson about the company’s losses last year, Portnoy estimated that it amounted to approximately $10 million.
“It’s a substantial amount,” he admitted in quotes transcribed by Awful Announcing. “It’s a lot, but I have the financial means to fix it. So, even if I have to sustain losses for a month or two, we will eventually return to profitability. There will be layoffs, but we will achieve profitability rather quickly.”
Portnoy informed Tucker that Barstool was losing money under Penn Entertainment’s management because the latter was focused on growth. Moreover, when presented with the opportunity to partner with ESPN, the decision to regain sole ownership of Barstool was an easy one.
He also indicated that many more employees would have lost their jobs if Penn had remained in control.
“They would have optimized it, and individuals who were not profitable would likely have been laid off,” said the 46-year-old entrepreneur. “Unfortunately, I am more compassionate than people give me credit for. I have these idiots at Barstool who have been with me for 15-20 years – the same individuals. If they don’t work for me, what are they going to do? Bag groceries?
“They’re morons, Tucker, true morons. They belong in our circus, our moronic world. So, I looked at the situation, Barstool was losing money, and I decided to take it back. Although we are currently experiencing losses, I am confident that I can save all of our jobs and restore profitability.”
Dave Portnoy’s confidence is certainly admirable and commendable.