The pandemic caused the top two Premier League teams to lose hundreds of millions of dollars in the late 2019-2020 season.
The Deutsche Bank report shows that football clubs will lose between 13% and 30% of their total earnings this season. Barca is the most affected. The Catalonia club will lose between $ 132 million and $ 285 million, as long as the season is delayed.
Real ranked second, with losses from 110 million to 253 million dollars. Followed by Man Utd (USD 99 million to USD 236.5 million), PSG could lose up to 214.5 million USD, Man City and Liverpool respectively from 82.5 million to 203.5 million USD, Juventus could lose up to 154 million USD.
The money can be recovered in two seasons, although it depends on when the fans return to the field. On the optimistic side, losses can range from 4% to 13%, mainly due to sponsors of the economic crisis and the decline in fan revenues. Meanwhile, in pessimistic terms, the damage increased from 27 to 48%.
The forecast shows that clubs can recover from the 2021-2022 season, because the economic crisis affects not only sports, but the society as a whole.
Because the clubs are not able to maintain the same revenue as before, the next transfer season can become bleak. Some clubs are more likely to have to exchange players.
Man Utd owes more than half a billion dollars
In the first three months of 2020, Man Utd’s debt increased by 42% compared to the end of last year, from USD 155 million to USD 525 million.
According to the financial report released yesterday, the reason for the sharp increase in Man Utd’s net debt is the decline of cash and cash equivalents, and the adverse fluctuations of the pound exchange rate compared to USD.
Man Utd also suffered heavy losses in the last three weeks of March, when matches were suspended due to the pandemic. Under the influence of Covid-19, they lowered their estimated revenue to under 710 million USD.
The report also said that the impact of Covid-19 and the measures to prevent the spread will continue to disrupt business operations in many ways, of which the most serious impact is the revenue of television rights and match organizer revenue.