FC Barcelona Finances

Luftstalag14

Culé de Celestial Empire
Alright guys, the 2016 version of the Deloitte Football Money League report is out and we went up a spot in terms of total revenue, second to Real Madrid.

Note that the following figures on based on the 14/15 season which saw us winning the treble. Even with the bonus we got we still lag behind Real Madrid. Manchester United is expected to overtake both Real Madrid and us this season because of the huge contracts they got from Adidas and Chevrolet.

What caught my eyes first was the fact that our match day portion of the revenue appeared to have shrink (I remember last year that portion of our total revenue exceeded that of Real Madrid's). Not sure why? Low attendance perhaps?

And look at how much more money PSG and Bayern are making from their commercial deals. That's one place where we need to catch up as we can't rely on the broadcast portion of the revenue since it might go down drastically after the collective TV deal kicks in.

uk-deloitte-sports-football-money-league-2016-infographic.jpg
 
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Kerrybai

New member
Alright guys, the 2016 version of the Deloitte Football Money League report is out and we went up a spot in terms of total revenue, second to Real Madrid.

Note that the following figures on based on the 14/15 season which saw us winning the treble. Even with the bonus we got we still lag behind Real Madrid. Manchester United is expected to overtake both Real Madrid and us this season because of the huge contracts they got from Adidas and Chevrolet.

What caught my eyes first was the fact that our match day portion of the revenue appeared to have shrink (I remember last year that portion of our total revenue exceeded that of Real Madrid's). Not sure why? Low attendance perhaps?

And look at how much more money PSG and Bayern are making from their commercial deals. That's one place where we need to catch up as we can't rely on the broadcast portion of the revenue since it might go down drastically after the collective TV deal kicks in.

You can't mention PSG. I don't think I need to explain why their commercial deals are not something we should compare ourselves with. Bayern benefit by being the biggest club in Europe's strongest economy, but as a bigger global brand we can certainly improve in this area as Manchester United are currently doing.

Our matchday revenue didn't shrink, I'm not sure where you got that from. It remained the same at 116. You are right about Madrid surpassing us as they went from 113 to 129. They have built a lot of extra corporate boxes and what not in recent years which may have given them such a boost.

If those in charge are any bit competent they should be able to negotiate some really great deals after the treble winning season. Our match day revenue will probably stagnate until we redevelop the Camp Nou.

Again I don't know where you got information regarding our broadcast revenue shrinking? The collective deal isn't giving the sort of ratio we see in England. Barca and Madrid will still earn the same amount more or less, however the teams below will get more money. Of course with the old tv deal we would have seen higher increases in the future... while getting less increases in tv money hurts us in Europe, it will make La liga more competitive.
 

Luftstalag14

Culé de Celestial Empire
You can't mention PSG. I don't think I need to explain why their commercial deals are not something we should compare ourselves with. Bayern benefit by being the biggest club in Europe's strongest economy, but as a bigger global brand we can certainly improve in this area as Manchester United are currently doing.

Our matchday revenue didn't shrink, I'm not sure where you got that from. It remained the same at 116. You are right about Madrid surpassing us as they went from 113 to 129. They have built a lot of extra corporate boxes and what not in recent years which may have given them such a boost.

If those in charge are any bit competent they should be able to negotiate some really great deals after the treble winning season. Our match day revenue will probably stagnate until we redevelop the Camp Nou.

Again I don't know where you got information regarding our broadcast revenue shrinking? The collective deal isn't giving the sort of ratio we see in England. Barca and Madrid will still earn the same amount more or less, however the teams below will get more money. Of course with the old tv deal we would have seen higher increases in the future... while getting less increases in tv money hurts us in Europe, it will make La liga more competitive.

Thanks Kerry for clearing a few things up, I appreciate it.

On PSG. I am not sure why we can't compare ourselves to them. Yeah they have a rich sugar daddy that is essentially Qatar's sovereign fund, but I'd think the commercial revenue is separated from whatever investment and money injected into them by their rich Qatari owner, accounting-wise, no? I heard the deal they got from Emirates Airlines was very lucrative, considering the sour relations between UAE and Qatar, that is quite strange by the way. Or did they find a sponsor in Qatari Tourism Authority or something?

On the luxury/corporate box thing, how did Real Madrid capitalize on that so quickly? Did they add more of them last season?

Good to know that our share of the broadcast revenue will not go down. Looks like they are building a bigger pie, which is good for everybody including us.

I absolutely agree that our board/management could have done a lot better to boost our commercial income. PSG aside, Bayern is getting a ton of money from mostly-German sponsors, we should be able to negotiate better deals given our global influence.

Meanwhile, I just read that Real Madrid's debt which was believed to be about 619m is overblown that their "real" debt is only about 81m? Also it is said that their EBITDA is only between 0.4 - 0.5 while ours is at 3.12 last season? I am not accounting-savvy so I can't explain what is what and why, just something I read today. But sounds like Real Madrid is much more financially healthier than we are.

I am pretty anxious to find out how it is going to turn out with our main sponsorship deal, Qatar Airways or not. Also the pending renewal with Nike, they'd better come up with a better deal that is somewhat close to what Adidas offered to Manchester United.

It is kind of sad to see that we, despite the success on the pitch and the star powers we have with our players, are still lagging behind Real Madrid and Manchester United, two clubs that have not been that successful on the pitch. If they had been more successful there God knows how much more money they will be sucking in. It goes to show our brand is still behind that of Real Madrid and Manchester United overall.

Lastly, we Culés can contribute to our commercial revenue by buying more official/licensed Barca products, let's do our share too!
 

Alik

Moderator
Meanwhile, I just read that Real Madrid's debt which was believed to be about 619m is overblown that their "real" debt is only about 81m? Also it is said that their EBITDA is only between 0.4 - 0.5 while ours is at 3.12 last season? I am not accounting-savvy so I can't explain what is what and why, just something I read today. But sounds like Real Madrid is much more financially healthier than we are.

Not sure what is meant by their real debt. But having a higher EBITDA is a good thing. Which is final earnings before interest, tax, depreciation and amortization. Which is why I don't understand so much focus on revenues.
 

Luftstalag14

Culé de Celestial Empire
Not sure what is meant by their real debt. But having a higher EBITDA is a good thing. Which is final earnings before interest, tax, depreciation and amortization. Which is why I don't understand so much focus on revenues.

My bad, it is actually the net debt to EBITDA ratio. So the lower it is, the better it is.
 

Kerrybai

New member
Thanks Kerry for clearing a few things up, I appreciate it.

On PSG. I am not sure why we can't compare ourselves to them. Yeah they have a rich sugar daddy that is essentially Qatar's sovereign fund, but I'd think the commercial revenue is separated from whatever investment and money injected into them by their rich Qatari owner, accounting-wise, no? I heard the deal they got from Emirates Airlines was very lucrative, considering the sour relations between UAE and Qatar, that is quite strange by the way. Or did they find a sponsor in Qatari Tourism Authority or something?

On the luxury/corporate box thing, how did Real Madrid capitalize on that so quickly? Did they add more of them last season?

Good to know that our share of the broadcast revenue will not go down. Looks like they are building a bigger pie, which is good for everybody including us.

I absolutely agree that our board/management could have done a lot better to boost our commercial income. PSG aside, Bayern is getting a ton of money from mostly-German sponsors, we should be able to negotiate better deals given our global influence.

Meanwhile, I just read that Real Madrid's debt which was believed to be about 619m is overblown that their "real" debt is only about 81m? Also it is said that their EBITDA is only between 0.4 - 0.5 while ours is at 3.12 last season? I am not accounting-savvy so I can't explain what is what and why, just something I read today. But sounds like Real Madrid is much more financially healthier than we are.

I am pretty anxious to find out how it is going to turn out with our main sponsorship deal, Qatar Airways or not. Also the pending renewal with Nike, they'd better come up with a better deal that is somewhat close to what Adidas offered to Manchester United.

It is kind of sad to see that we, despite the success on the pitch and the star powers we have with our players, are still lagging behind Real Madrid and Manchester United, two clubs that have not been that successful on the pitch. If they had been more successful there God knows how much more money they will be sucking in. It goes to show our brand is still behind that of Real Madrid and Manchester United overall.

Lastly, we Culés can contribute to our commercial revenue by buying more official/licensed Barca products, let's do our share too!

We can't compare with PSG as they can cheat their way to the top, we have to attract a big investor who will make a lot of money out of sponsoring us. At PSG the owner can use the club as his own play toy, i.e. fund his own money into the club through sponsorships etc...297 million from commercial activities obviously does not reflect their true commerical worth. They are miles behind United, Madrid etc in reality. I see your point about emriate airlines though..still they must be pumping money into the club through some shady deals, that number of 297 is ridiculous. Our barometer should be Madrid , Bayern and United.

I think Madrid added the new luxury areas a few years back so I'm not certain how they pushed so far ahead of us... perhaps they raised the prices on some of these corporate areas and reeled in the money.

I don't see any shame being behind united, they are the best known and supported club in the world. The premier league exploded 15-20 years ago and they dominated it nearly every year. In a much shorter time we have gotten very close to them. Regarding Madrid they built a big gap over us with the galacticos etc but now we are very clost to them financially.
 
F

Flavia

Guest
That's worrying. How can't he find a suitable sponsor? MSN, treble, c'mon.
 

bismp

Well-known member
I know that it'll be a financial blow,but all these years people have been asking for sponsor-less kits,and now that there is a slight chance that we are not going to get a sponsor,everyone is losing their minds :lol:
 
F

Flavia

Guest
I know that it'll be a financial blow,but all these years people have been asking for sponsor-less kits,and now that there is a slight chance that we are not going to get a sponsor,everyone is losing their minds :lol:

No club can survive without a sponsor. No sponsor means no msn anymore. Or trophies. Not wanting qatar on the shirt is different to not wanting a sponsor at all.
 

Galning

Moderator
I know that it'll be a financial blow,but all these years people have been asking for sponsor-less kits,and now that there is a slight chance that we are not going to get a sponsor,everyone is losing their minds :lol:

Same people have been saying that Barça became too dependent of just one sponsor: Qatar. Who are by the way much more than just shirt sponsor. And those people seem to be right. Rosell & Barto sold out everything to Qatar, training shirts, Camp Nou, etc. and now that they tell him to fuck off Barto is screwed.

Treble came at the worst moment possible, if there is such a moment, because the directors of the club are a bunch of amateurs.
 

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