KPMG: Real Madrid still Europe's most valuable club
Soccer - 29 May 2020
Real Madrid, the Spanish soccer giants, have retained their position as Europe’s most valuable soccer club, according to a new report.
International consulting services giant KPMG estimates Real’s mid-point value at €3.47 billion ($3.89 billion), while Manchester United, of England's Premier League, occupy second place, with an estimated value of €3.34 billion.
The 2020 edition of KPMG’s Football Benchmark report has analysed clubs' ‘Enterprise Values’, by taking into account factors such as annual profitability, popularity, on-pitch success, broadcast rights value and stadium ownership. The full list contains 32 European clubs.
Real’s EV increased by eight per cent in the last 12 months, while United’s increased by four per cent, the report noted.
The Spanish club has won the prestigious Uefa Champions League three times since 2016, and has also seen its commercial revenue increase by 41 per cent in that period.
Barcelona, also of LaLiga, took third place in the list, with an EV of €3.19 billion, while Bayern Munich from Germany’s Bundesliga and the Premier League’s Liverpool came fourth and fifth, respectively.
In the top 10 (in which every club was valued at over €1.5 billion), there were six Premier League sides, two from LaLiga, and one each from the Bundesliga and France’s Ligue 1.
No club from Italy’s Serie A made the top 10 for the first time since the first edition of the report in 2016, with perennial champions Juventus having dropped to 11th.
The figures have been taken from five months ago, meaning that the financial impact of the ongoing coronavirus pandemic (which caused almost all professional soccer in Europe to shut down in March), was not recorded in the report.
In terms of the top 32 clubs, the report states that overall, their aggregate EV has grown by 51 per cent since since the 2014-15 season, while income streams from broadcast, matchday and commercial revenue have all increased during that time period.
Olympique Lyonnais from Ligue 1 have seen their EV rise the most over the last five years - 193 per cent - with Tottenham Hotspur of the Premier League coming in second, 158 per cent during the same timeframe.
The report dedicates a chapter to the potential effects of the pandemic, with Andrea Sartori, KMPG’s global head of sports, noting: “Club values have certainly been affected… but the immediate impact cannot yet quantified.
“While we have witnessed a significant drop in share prices of football clubs listed on various stock exchanges since the outbreak of the crisis, there has been a slight recovery recently with the hope of a restart of the current season in most countries.”