Real Madrid reports positive financial results for 2022/23 financial year

Real Madrid, the most successful football club in the history of the sport, has announced its financial results for the 2022/23 season on its official website. Despite the challenges posed by the Covid-19 pandemic, the club managed to achieve a profit of €13 million in the previous financial year and now boasts a profit of €12 million in the latest financial year.

Profit and net assets

According to the club’s website, Real Madrid closed the 2021/22 financial year with a profit of €13 million, after taxes and minority interests, while closing the 2022/2023 financial year with a profit of €12 million. This was achieved thanks to the club’s prudent management and cost reduction measures, as well as the support of its members, sponsors, and fans.

The club’s net assets amounted to €546 million as at 30 June 2022, an increase from the previous year. The club continues to reflect its strong financial position and solvency in 2023.

Revenue and expenses

The club’s revenue for the 2021/22 financial year was €721.5 million, before disposal of fixed assets. This represents a significant decrease compared to the 2019/20 financial year, which was the last one before the Covid-19 pandemic. The main factors that affected the revenue were the absence of spectators at the stadium, the reduction of broadcasting payments, and the cancellation or postponement of some competitions.

The club implemented various measures to reduce its operating costs, such as salary adjustments, renegotiation of contracts, and optimization of resources.

The club expects to recover some of the revenue lost due to the pandemic, especially from ticket sales and merchandising, in the coming years.

In the 2022/2023 financial year, Real Madrid reached a revenue of €843 million, surpassing their figure from pre-pandemic in 2019/2020.

Stadium renovation project

One of the club’s most ambitious projects is the renovation of its iconic Santiago Bernabéu stadium, which is expected to be completed by 2024. The project aims to transform the stadium into a state-of-the-art venue that will offer a better experience for fans and visitors, as well as generate new sources of income for the club.

The club has invested €537.8 million in the project as at 30 June 2022. The project is financed by a long-term loan of €575 million from a consortium of banks, with an interest rate of Euribor +0.75% and a maturity date of 30 June 2049.

The new stadium will have a retractable roof, a 360-degree video screen, a museum, a hotel, a shopping center, and a multipurpose space that can host concerts and events. The stadium will also have improved accessibility, security, and sustainability features.

Conclusion

Real Madrid is one of the most successful and popular football clubs in the world, with a rich history and a loyal fan base. The club has shown its resilience and adaptability in facing the challenges posed by the Covid-19 pandemic, achieving positive financial results and investing in its future. The club hopes to continue its legacy of excellence and innovation in the 2022/23 season and beyond.