Real Madrid Break Billion Euro Revenue Record
Real Madrid have become the first club to surpass one billion Euros of revenue in a single season, securing its position at the top of the newly released Football Money League published by the Deloitte Sports Business Group.
The Spanish club generated €1,045,500,000 in revenues in the season 2023/24, followed by Manchester City (€838m), Paris Saint-Germain (€806m), Manchester United (€771m) and Bayern Munich (€765m).
The completion of renovations to the Bernabéu Stadium saw matchday revenues double to €248m in 2023/24. The club also reported a 19% increase in commercial revenue (from €403m to €482m), boosted by increased merchandise and new sleeve sponsorship.
According to the 28th edition of the annual report, the top 20 revenue generating clubs in world football made a record €11.2bn in the 2023/24 season. This marks a 6% increase in cumulative revenues from the previous season, with Money League clubs reporting record matchday, broadcast and commercial revenues.
The average Money League club generated €560m, comprised of €244m (44%) commercial revenue, €213m (38%) broadcast revenue, and €103m (18%) matchday revenue.
Overall, matchday revenue grew 11% year-on-year, making it the fastest growing revenue stream for Money League clubs once again thanks to an increase in clubs’ stadium capacity, general ticket prices and premium matchday offerings.
Matchday revenue surpassed €2bn (€2.1bn) for the first time in the history of the publication, accounting for 18% of total revenue, the highest share since 2014/15 (19%).
At €4.9bn, commercial remained the largest revenue source for Money League clubs for the second year running, accounting for 44% of total revenue. The 10% uplift over the previous year was largely driven by an increase in the hosting of non-football live events, improved retail performance and a rise in sponsorship revenues.
Meanwhile, there was no uplift in the cumulative broadcast revenue (€4.3bn) reported by Money League clubs in 2023/24, as each of the ‘big five’ leagues remained in the same domestic broadcast cycle as the preceding season. The ’big five’ leagues have, or will be entering, a period of relatively stable broadcast revenues due to longer-term domestic media rights deals through to at least 2027.
Tim Bridge, lead partner in the Deloitte Sports Business Group, said: “Money League clubs continue to break records with ongoing growth in commercial and matchday revenues.
“While on-pitch performance is critical for teams to reach the top echelons of the rankings, high performing clubs are also able to diversify the way they generate revenue through unlocking innovative partnerships and developing the land and stadium space that they own or operate.
“While commercial revenue dominates the income of the top ten Money League clubs, broadcast income remains crucial for teams in the second half of the rankings. As competitions expand and create more broadcast and matchday opportunities, these can further increase the earning potential for clubs.
“At a time where there is more demand than ever for a greater number of matchdays, this must be balanced with player welfare, as they ultimately bring the on-field success that can earn clubs many further rewards off-field.”
Manchester City remained in second place in the overall Money League – and the highest revenue generating English club (€838m) – again beating its own revenue record for a season. However, the gap between the first and second placed Money League clubs has never been bigger (€208m), with the previous record for a season set in 2018/19 (€84m).
Sporting performance played a crucial role in many teams’ financial impetus, with clubs such as Arsenal (€717m), Borussia Dortmund (€514m), Newcastle (€372m) and Aston Villa (€310m) growing revenues through participation in UEFA competitions and improved domestic performances yielding higher broadcast distributions.
Several clubs also identified the impact of infrastructure investments as a key driver of revenue. Liverpool (€714m) and Olympique Lyonnais (€264m) benefited from such projects, with higher attendances and non-matchday events boosting matchday and commercial revenue respectively.
Meanwhile, FC Barcelona (€760m) fell to 6th following a decrease of €40m in revenue. This was driven by a €63m fall in matchday revenue with matches being played at a smaller venue while the Spotify Camp Nou is redeveloped.
Tim Bridge, lead partner in the Deloitte Sports Business Group, added: “Club stadia are increasingly being valued as more than just matchday assets, with a number of clubs converting their grounds into multi-use entertainment venues that attract new visitors, sponsors, and retail opportunities.
“Football clubs are now realising the value of becoming far more than sporting brands, with media and entertainment becoming intertwined with the commercial potential that they have to offer.”
Source: Deloitte Sports Business Group