Real Madrid remains top of the football money league
Real Madrid remains the world's largest revenue-generating football club, according to the latest football money league from business advisory firm Deloitte. Manchester United and Barcelona finished second and third in the report, which ranks the 20...
Real Madrid remains the world's largest revenue-generating football club, according to the latest football money league from business advisory firm Deloitte. Manchester United and Barcelona finished second and third in the report, which ranks the 20 biggest football clubs in the world based on revenue. Each of the top three clubs generated revenues in excess of €300 million. Analysis in the football money league is based on the latest financial information for the 2007/08 season.
Bayern Munich returns to the top five in the money league for the first time in five years, climbing three places to fourth and is joined in the top five by Chelsea.
Dan Jones, partner in the Sports Business Group at Deloitte, commented: "While Real Madrid's four per cent revenue growth in 2007/08 is more modest than recent years, the club has now doubled its revenues since 2002 and enjoys a lead of €41 million over Manchester United. With the club having announced that it is budgeting for revenues of €400 million in 2008/09, it will be difficult for rivals to replace Real at the top of the Money League next year."
"Manchester United's on-pitch success in winning the Premier League and UEFA Champions League contributed to significantly increased revenue for 2007/08, although the depreciation of the pound against the euro means they remain in second position. All bar two of our money league clubs generated increased revenue in 2007/08 and each club in the top 20 generated more than €100 million in revenue in that season."
Real Madrid increased revenue by €15 million (four per cent) to take their total to €366 million. Manchester United's performances on the pitch in 2007/08 resulted in a £45 million (21 per cent) increase in revenue to £257 million, which translates to €325 million. Third-placed Barcelona grew its revenue by €19 million (six per cent) to €309 million.
The impact of the exchange rate, and the depreciation of the pound against the euro has adversely impacted on the number and ranking of English clubs in the top 20. Mr Jones added: "If the exchange rate value of the pound had not depreciated, there would have been nine, rather than seven English clubs in the top 20 and Manchester United would have topped the money league ahead of Real Madrid."
The global top 20 is entirely populated by European clubs. In addition to the seven English clubs, Germany and Italy have four representatives each, Spain and France two clubs each, while Fenerbahce become the first Turkish club to feature in the top 20 since the creation of the Money League rankings in 1996/97.
Alan Switzer, director in the Sports Business Group, says: "Bayern Munich is the biggest climber in this year's top 10, moving up to fourth position. Despite not competing in the Champions League, revenues were boosted by the club acquiring 100 per cent ownership of its home ground, the Allianz Arena.
"Fenerbahce and VfB Stuttgart, two of the three new entrants 'promoted' into the Money League, gain their top 20 position as a result of the significant revenue boost from competing in the Champions League. The other new entrant, Manchester City, secured 20th position largely due to the increase in broadcast monies received from the Premier League, in the season prior to the arrival of the club's Abu Dhabi-based owners."
Football remains a growth sport, especially at the highest level. The top 20 clubs' aggregate revenue grew by six per cent (€220 million) to €3.9 billion in 2007/08. The top 20 clubs now generate more than three times the combined revenue of the clubs in the first Money League publication in 1996/97.
Paul Rawnsley, director in the Sports Business Group, commented: "The English Premier League currently generates the highest level of broadcast rights value of any football league in the world. Despite the challenging economic environment, the Premier League has just secured a record value for live domestic broadcast rights for the seasons 2010/11 to 2012/13, up four per cent to £1.782 billion. Given the worldwide popularity of the Premier League there is likely to be further uplift in value from overseas rights when they are marketed later this year."
Bayern Munich returns to the top five in the money league for the first time in five years, climbing three places to fourth and is joined in the top five by Chelsea.
Dan Jones, partner in the Sports Business Group at Deloitte, commented: "While Real Madrid's four per cent revenue growth in 2007/08 is more modest than recent years, the club has now doubled its revenues since 2002 and enjoys a lead of €41 million over Manchester United. With the club having announced that it is budgeting for revenues of €400 million in 2008/09, it will be difficult for rivals to replace Real at the top of the Money League next year."
"Manchester United's on-pitch success in winning the Premier League and UEFA Champions League contributed to significantly increased revenue for 2007/08, although the depreciation of the pound against the euro means they remain in second position. All bar two of our money league clubs generated increased revenue in 2007/08 and each club in the top 20 generated more than €100 million in revenue in that season."
Real Madrid increased revenue by €15 million (four per cent) to take their total to €366 million. Manchester United's performances on the pitch in 2007/08 resulted in a £45 million (21 per cent) increase in revenue to £257 million, which translates to €325 million. Third-placed Barcelona grew its revenue by €19 million (six per cent) to €309 million.
The impact of the exchange rate, and the depreciation of the pound against the euro has adversely impacted on the number and ranking of English clubs in the top 20. Mr Jones added: "If the exchange rate value of the pound had not depreciated, there would have been nine, rather than seven English clubs in the top 20 and Manchester United would have topped the money league ahead of Real Madrid."
The global top 20 is entirely populated by European clubs. In addition to the seven English clubs, Germany and Italy have four representatives each, Spain and France two clubs each, while Fenerbahce become the first Turkish club to feature in the top 20 since the creation of the Money League rankings in 1996/97.
Alan Switzer, director in the Sports Business Group, says: "Bayern Munich is the biggest climber in this year's top 10, moving up to fourth position. Despite not competing in the Champions League, revenues were boosted by the club acquiring 100 per cent ownership of its home ground, the Allianz Arena.
"Fenerbahce and VfB Stuttgart, two of the three new entrants 'promoted' into the Money League, gain their top 20 position as a result of the significant revenue boost from competing in the Champions League. The other new entrant, Manchester City, secured 20th position largely due to the increase in broadcast monies received from the Premier League, in the season prior to the arrival of the club's Abu Dhabi-based owners."
Football remains a growth sport, especially at the highest level. The top 20 clubs' aggregate revenue grew by six per cent (€220 million) to €3.9 billion in 2007/08. The top 20 clubs now generate more than three times the combined revenue of the clubs in the first Money League publication in 1996/97.
Paul Rawnsley, director in the Sports Business Group, commented: "The English Premier League currently generates the highest level of broadcast rights value of any football league in the world. Despite the challenging economic environment, the Premier League has just secured a record value for live domestic broadcast rights for the seasons 2010/11 to 2012/13, up four per cent to £1.782 billion. Given the worldwide popularity of the Premier League there is likely to be further uplift in value from overseas rights when they are marketed later this year."