They do. I believe the big sports rake in big bucks (this is a continuous point), and subsidize other sports. It's not just football and basketball. There's a ton of programs at a given school, even at small ones.

It seems like niche, and women's sports would take the biggest hit if we approached it based purely on making money. I know someone that got a full ride for cross-country running. She would not have received that, if it were revenue based.

P.S. Whether "student athletics" is a good idea is beyond the scope of this discussion.