The team needs to have a grade plan attached to it
  1. Navigate to Extracurricular > Athletics > Athletics setup > Sports & teams
  2. Expand the appropriate sport by clicking the arrow next to the sport name.
  3. Click the Edit pencil next to the individual team.
  4. Click on the Grading tab.
  5. Select the appropriate athletic grade plan from the Grade Plan Group dropdown menu.
  6. Click Save & Close.
Similarly, if you are looking to have athletics display on transcripts, you will need to add a transcript category in a similar way, as here: How to Display Athletics on a Transcript Without Grades