Real Madrid have not budgeted for any income from the upcoming FIFA Club World Cup in their club accounts “as there is no precise information on the subject.”
Madrid have shared their budgetary projections for the 2024-25 with their club members, with two financial question marks: uncertainty over the expanded 32-team Club World Cup next summer and the club’s dispute with local residents about hosting concerts at the Santiago Bernabeu.
In a document seen by The Athletic, Madrid’s accounts show that their turnover has surpassed €1billion (€1.043bn; £860m, $1.113bn) for the first time but has not included income streams for either the FIFA tournament or concert hosting at their stadium.
Training bases, sponsors and broadcasters are yet to be announced by FIFA for the Club World Cup, which will be played next summer in the United States. The new-look tournament has been expanded to 32 teams and will replicate the format of the current men’s international World Cup of eight groups of teams followed by a knockout stage.
Courtesy of their Champions League triumphs in 2022 and 2024, Madrid are one of 12 European teams in the competition, but El Clasico rivals Barcelona did not qualify.
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Madrid have budgeted future income from the FIFA Intercontinental Cup in which they are assured to play the final in Doha on December 18.
The club’s budget is also impacted by their ongoing dispute with local residents over concerts being staged at the Santiago Bernabeu.
Residents mobilised a legal challenge against what they saw as unwarranted intrusions into their lives, and on September 13, Madrid announced a decision to “provisionally reprogramme its agenda of events and concerts” at the stadium. No concerts are expected until at least April.
The club have now said that “following the announced rescheduling, only those (concerts) carried out to date have been budgeted for.”
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In mid-October, promoters of 11 concerts held in recent months were fined by local authorities for breaching the allowed noise limit. The fines totalled €801,000, and included €142,000 and €146,000 sanctions for the promoters of Taylor Swift concerts on May 29 and 30.
In total, Madrid have budgeted revenues of €1.13bn for 2024-25 financial year, an increase of €54.7m from 2023-24. The club have seen a 14 per cent revenue growth based on their stadium, with an annual budget projection of €362.1m.
Madrid’s ‘other income’ increased from €6.85m in 2022-23 to €82.99m in 2023-24. The club say this is primarily driven by 30-year packages bought by VIP area customers, which will not be a recurring revenue stream for the club.
Madrid will hold an assembly of members on November 24 in which more details on the club’s financial situation will be discussed.
(Mateo Villalba/Quality Sport Images/Getty Images)
