The white club called the Ordinary General Assembly for October 2 and showed the figures for the last season
His net worth amounts to 546 million, with 425 million in treasury as of June 30, 2022
The Board of Directors of Real Madrid met this Monday to call its Ordinary General Assembly for October 2, 2022 and make public the figures for its 2021/2022 financial year, which ends with a positive result of 13 million euros and establishes its net worth up to 546 million, having 425 million in treasury as of June 30, 2022.
In addition, the club chaired by Florentino Pérez establishes the losses in terms of iincome caused by the coronavirus pandemicsince March 2020, in the 400 million euros.
Some accounts that close last season, in which the white team highlighted their successes, both in the football and basketball sectionwhich in turn caused “higher expenses, especially due to bonuses for sports personnel&rdquor ;, as reflected on its website.
sporting successes
Real Madrid’s first football team won the Champions League title, the fifth title in the last eight years, as well as the LaLigaSantander title and the Spanish Super Cup. For its part, the first basketball team won the Endesa League and the Spanish Super Cupin addition to being a finalist in the Euroleague.
According to the club, Operating Income for the 2021/22 financial year reached the figure of 722 million euroswhich represents an increase of 69 million euros (10%) compared to the previous year, as the economic effects derived from the pandemic gradually subside.
However, these effects still persist and therefore the revenue figure for this financial year 2021/22 is even lower than that reached four years ago in 2017/18 and is -100 million euros lower compared to the pre-pandemic 2019/20 budget.
Covid and works
Real Madrid emphasizes that their income continues “being significantly affected by the effects derived from the health crisis caused by Covid-19” and due to the limitation of income due to the remodeling works of the stadium, for which he points out that the club’s management “continues to focus on cost containment and on actions to improve management and business development in all areas, highlighting in this regard the capital gain realized in the year for the agreement with Sixth Street/Legends”.
With this, obtained in the 2021/22 financial year an EBITDA – financial indicator of gross operating profit calculated before deductibility of financial expenses – of 203 million euros (180 million euros in 2020/21 and 177 million euros in 2019/20).
From this, Real Madrid obtains a profit of 13 million euros after deducting the amortization expensethe financial result and the corporate tax expense and allows you to maintain profits in the three years affected by the pandemic.
equity value
“As a consequence of the benefits obtained, the Club has been increasing the value of its net assets year after year until reaching a value of 546 million euros as of June 30, 2022. In addition, the value of the net worth has increased by 14 million euros with respect to the situation in June 2019 before the pandemic & rdquor ;, the club points out on its website.
For its part, the cash balance as of June 30, 2022, excluding the stadium remodeling project, is 425 million euros; in addition to having unused credit policies amounting to 354 million euros. This, according to Real Madrid, “further strengthens their liquidity position to easily meet all the planned payment commitments”.
“The Club’s Net Debt, excluding the stadium remodeling project, stood at -263 million euros as of June 30, 2022. This amount represents, in reality, not a debt but a net liquidity position, since the sum of the treasury and debtors for transfers is greater than the credit balances for investments, bank debt and advances & rdquor ;.“Net Debt as of June 30, 2021, excluding the stadium remodeling project, was worth 46 million euroswhich means that during the 2021/22 financial year the Club has reduced its net debt by -310 million euros”, the club points out on its website.
Furthermore, it states that hisDebt/EBITDA ratio stands at 0, given that the Club has no debt but a net liquidity position. In other words, despite the effects of the pandemic, the Club has a level of the Debt/Ebitda ratio that represents the highest credit quality for financial entities”.
After noting that the contribution of the Real Madrid to Tax and Social Security income in the 2021/22 financial year amounted to 351.2 million eurosthe club ponders the progress in the remodeling of the Santiago Bernabéu stadium that is going “according to the planned plan & rdquor ;.
The amount of the investment recorded in the 2021/22 financial year it was 259 million euros, including financial costs capitalized during the construction period. In this way, the accumulated investment until June 30, 2022 amounts to 538 million euros.
The loan
Regarding the loan, during this year the third drawdown (200 million euros in July 2021) and the fourth drawdown (225 million euros in May 2022) have been made, with which the loan is fully drawn on June 30, 2022 in the amount of 800 million euros.
Finally, Real Madrid establishes for the next season about 769.6 million euros of incomebefore disposal of fixed assets, together with a pre-tax profit of €5 million.
Of course, this income, although represent an increase of 7% compared to the previous year, they are still 6% below the data of the previous season to the coronavirus pandemic due to the economic crisis derived from it and “the economic difficulties that the war in Ukraine is causing.” EFE