Approval of the closure of the 2023/24 financial year and the 2024/25 budget
Green light for last season's figures and this season's budget. The FC Barcelona Ordinary General Assembly has approved the financial results for the 2023/2024 season, during which the club managed to stop the economic decline of recent years and achieved a positive ordinary profit of €12 million. The approval of the 2023/24 financial results was passed with 452 votes in favor, 156 against, and 25 abstentions. The delegate members also approved the budget for the 2024/25 season, which foresees €893 million in operating income and €873 million in operating expenses. The 2024/25 budget was passed with 409 votes in favor, 75 against, and 28 abstentions.
€12 in ordinary profits
Key aspects of the 2023/24 financial results include an all-time record of over €210 million in sponsorship revenue; record sales by the merchandising subsidiary, BLM, of nearly €110 million (72% up on 2018); and profits from player transfers totaling over €80 million. Transfer profits are only achieved when the sale price exceeds the player’s book value. Another significant achievement was the reduction of the payroll by €170 million, from €670 million to just over €500 million. This decrease brings the club back within UEFA's recommended salary-to-revenue ratio, which ranges between 55% and 70%.
In terms of cost-efficiency during the period playing at Montjuïc, the club has implemented a strict policy of reviewing non-sporting expenses, limiting operational costs to those essential to keep the club running. Playing at the Estadi Olimpic has meant a reduction of over €100 million in ordinary income per year, and the club has responded to this loss in revenue by developing Spotify Camp Nou in as short a time as possible.
The deficits for the various sports sections have also been adjusted to align them with the club's financial situation without sacrificing competitiveness. Overall, FC Barcelona has adopted a restrained investment policy, significantly reducing total investments compared to the average for recent years. The sum of these factors has produced a positive ordinary result of €12 million, fulfilling the budget target for the 2023/24 fiscal year.
Extraordinary results
With regards to extraordinary results, the Club has proceeded to deteriorate a series of accounts to be paid connected to the Bridgeburg Invest, S.L. society due to the non-payment on behalf of some business investors involved. In complying with the General Accounting Plan, the Club has registered this potential non-payment on the principle of prudency, without renouncing its right to receive payment in the future and/or take necessary action. The amount recognised as an extraordinary cost rises to 141 million euros before tax. The Club considers that there are sufficient reasons to justify the value of the company and to remain confident in its viability and future capacity, with an established plan that will allow it to generate recurring income soon. For that reason, and even though the ordinary result is positive, the Club closes the consolidated 2023/24 result with a result of –91 million euros.
On the budget for the 2024/25 season
The men’s first team will keep playing at the Estadi Olímpic during the first part of the season with the aim of returning to Spotify Camp Nou with a reduced capacity for the second part. Less recurring income is predicted from use of the stadium, a situation forecast during the work on the reconstruction of Spotify Camp Nou, and a progressive recovery of income from the stadium through the return to Spotify Camp Nou.
The Club prefers to be prudent about the new format of the Champions League and has budgeted similar figures to those achieved in previous seasons, but a potential improvement in income from television rights is predicted.
Elsewhere, the budget for 2024/25 will see a major increase in sponsorship income, reaching a total of more than €250M. Furthermore, the Club continues to forecast an increase in sales in-person and from e-commerce to reach a figure of more than €125M, which would represent a double digit increase on last year.
A conservative policy of investment is maintained, adapted to the current financial situation, and based on confidence in the internal projection of club-raised players and specific investment from time to time in players who can make the difference. In that sense, the wage bill for the 2024/25 season is maintained at a figure of around €500M. The Club predicts profits from the sale of players similar to the historical average, strengthening the policy of for-profit transfers and replacing players who, for age or market reasons, represent a loss at their moment of departure.
The forecast for the Club is to repeat the closure of the financial year with an ordinary result of 5 million euros, assuring the creation of a positive EBITDA that allows a consolidation of the bases for the 2025/26 season where the new structure of income generation from the new Spotify Camp Nou will be included.