Barcelona have confirmed record revenues of €990 million during the 2018-19 campaign

Devil_forever

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Wednesday at Stoke

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Apparently their operating profit was only €17M, are the players all on exorbitant wages or do they have debt to service?
 

Skills

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I'd love to see a breakdown of this. How much are they getting for their shirt deals?
 

11101

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Wednesday at Stoke said:
Apparently their operating profit was only €17M, are the players all on exorbitant wages or do they have debt to service?
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They have a massive wage bill but wouldn't surprise me if they're fiddling something to reduce tax too.
 

vanderpants

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Id like to see a break down too, I wonder what the majority of the players are on , obviously Messi will be getting a fortune.
 

charlenefan

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Bestie07

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Wow!

For all the people who kiss our owners backsides and cite the growth in our revenue under them, they need to compare the growth in our revenue against other clubs. We were far and ahead the richest club in England and were often the richest in the world as well when they took over. We are allowing clubs that had similar revenues to leave us behind while clubs with smaller revenues are catching up very quickly.
 

Johan07

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SCP said:
They probably have the highest wage bill in the world.
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KPMG put their wage bill at 894m USD. Thats more than Uniteds entire turnover and 70/75% of their own updated turnover. And thats before Griezmann.
Its insane and not sustainable in the long (or even short) term barring a European Super League and/or playing games abroad.
Barcelona is a good example of why members/fan owned clubs can be quite self-destructive.
 

Skills

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Johan07 said:
KPMG put their wage bill at 894m USD. Thats more than Uniteds entire turnover and 70/75% of their own updated turnover. And thats before Griezmann.
Its insane and not sustainable in the long (or even short) term barring a European Super League and/or playing games abroad.
Barcelona is a good example of why members/fan owned clubs can be quite self-destructive.
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Why is it not sustainable? They're not operating at a loss as far as I can see
 

11101

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Skills said:
Why is it not sustainable? They're not operating at a loss as far as I can see
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The slightest downturn in the economy or football revenues and they're in big trouble.

Also looks like the 990m figure is nonsense when looking at their actual statements. They just want to be the first to break a billion.
 

Johan07

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Skills said:
Why is it not sustainable? They're not operating at a loss as far as I can see
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Because that is just their wage bill. There are other costs associated with running a football club. Its not a coincidence that a 50% wage/turnover ratio is considered normal. Where Barca is is going to bankrupt them.
 

BeforeKeanetherewasRobson

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Skills said:
Why is it not sustainable? They're not operating at a loss as far as I can see
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Haven't seen accounts but IF (as quoted) above, their operating profit (which is not bottom line) is just £17m, that seems tight/not enough....

.. when looked at purely as a football business case, which doesn't apply to Barca because they're "more than a club"
 

Bestie07

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Johan07 said:
Because that is just their wage bill. There are other costs associated with running a football club. Its not a coincidence that a 50% wage/turnover ratio is considered normal. Where Barca is is going to bankrupt them.
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Not really, their wage bill will become a much lower percentage of their revenue once Messi retires. He is paid about a hundred million Euros per year!
 

Johan07

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Bestie07 said:
Not really, their wage bill will become a much lower percentage of their revenue once Messi retires. He is paid about a hundred million Euros per year!
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Thats true.
He probably has 3-4 years more in him though, or? Feels like Barcelona is milking his last couple of years for trophies and then will be faced with a major financial and footballing rebuild when he retires.
 

Treble

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Turns out results on the pitch matter financially big time. Should give the Glazers pause, business might suffer if football is not good enough.
 

SCP

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Johan07 said:
KPMG put their wage bill at 894m USD. Thats more than Uniteds entire turnover and 70/75% of their own updated turnover. And thats before Griezmann.
Its insane and not sustainable in the long (or even short) term barring a European Super League and/or playing games abroad.
Barcelona is a good example of why members/fan owned clubs can be quite self-destructive.
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Not really, I don’t agree clubs owned by fans have to be worse managed. And there are multiple examples that clubs who have a single owner being completely fecked up. Would like to know what the Barcelona posters here think regarding this subject.
 

Johan07

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SCP said:
Not really, I don’t agree clubs owned by fans have to be worse managed. And there are multiple examples that clubs who have a single owner being completely fecked up. Would like to know what the Barcelona posters here think regarding this subject.
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I dont really either.
But I do think that a one hundred percent member owned club like Barcelona or Real could easily take the route that Barcelona is on now; chasing short term goals ignoring the long term future of the club.
A system like in Germany is more balanced IMO, its not that bad to actually have some financial restraints.
 

Classical Mechanic

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Treble said:
Turns out results on the pitch matter financially big time. Should give the Glazers pause, business might suffer if football is not good enough.
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It doesn’t though, the tweets say that Barca involve transfer dealings in that figure which other clubs don’t and that their revenues are only a little bit ahead of United in their official accounting figures. It’s a PR exercise.
 

#00F

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Within next 3-4 years Messi, Suarez, Pique, Busquets all top earners will be gone. I think messi will outlast rest. Suarez/Pique on last legs. Doesn't look like Coutinho will last much longer as well. New generation will take over, so wage bill won't be a problem in near future.
 

ivaldo

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Bestie07 said:
Wow!

For all the people who kiss our owners backsides and cite the growth in our revenue under them, they need to compare the growth in our revenue against other clubs. We were far and ahead the richest club in England and were often the richest in the world as well when they took over. We are allowing clubs that had similar revenues to leave us behind while clubs with smaller revenues are catching up very quickly.
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It's a PR exercise and you've gobbled it up. A net profit of €4.5mil from annual revenues of €990mil should be a cause for concern. Conversely, in May we posted a rise in net profit of over 11% to £7.7mil for the same period last year (third quarter), despite a decrease in generated revenue.
 

Amarsdd

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Please do a little bit of research before shouting United is a disgrace of a club because Barca has nearly a billion euro revenue. It's obviously such a fecking PR move.
 

Treble

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Classical Mechanic said:
It doesn’t though, the tweets say that Barca involve transfer dealings in that figure which other clubs don’t and that their revenues are only a little bit ahead of United in their official accounting figures. It’s a PR exercise.
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It clearly does, though. According to Forbes, United were 2nd most valuable sport club in the world a year or two ago. Now we are 6th, clearly behind Madrid and Barca. Another 6 years like the last ones and we'd be well off the pace compared to the Spanish giants.
 

Skills

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Johan07 said:
Because that is just their wage bill. There are other costs associated with running a football club. Its not a coincidence that a 50% wage/turnover ratio is considered normal. Where Barca is is going to bankrupt them.
Click to expand...
BeforeKeanetherewasRobson said:
Haven't seen accounts but IF (as quoted) above, their operating profit (which is not bottom line) is just £17m, that seems tight/not enough....

.. when looked at purely as a football business case, which doesn't apply to Barca because they're "more than a club"
Click to expand...
11101 said:
The slightest downturn in the economy or football revenues and they're in big trouble.

Also looks like the 990m figure is nonsense when looking at their actual statements. They just want to be the first to break a billion.
Click to expand...
That's not going to happen and there'll be other clubs who get screwed much worse than Barcelona in that case.

Secondly, players contracts are fixed term commitments. So are the sponsorship contracts and television deals that make up the revenue coming in. So it's not as if they will get completely blindsided by a fall in revenue.

If they do in some unlikely event lose a chunk of their revenue overnight, they can just choose not to spunk the 100s of millions they do in transfers every summer.

Football clubs aren't like other profit making organisations. Cash isn't as important for them, because there's only so many things they can spend it on - unlike other billion dollar companies, who need it to invest in R&D, pay out shareholders, acquisitions and expansion.
 
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ivaldo

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Treble said:
It clearly does, though. According to Forbes, United were 2nd most valuable sport club in the world a year or two ago. Now we are 6th, clearly behind Madrid and Barca. Another 6 years like the last ones and we'd be well off the pace compared to the Spanish giants.
Click to expand...
The biggest contributing factor by far is the weakening of the pound, something utterly out of the owners control.
 
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