Khaberni - A recent financial analysis, on Monday, of the official accounts of Real Madrid revealed a dramatic shift in the entity's financial situation, where the club transitioned from a phase of comfortable surplus to heavy reliance on external funding.
Financial analyst Hector Mohedano explained to the Spanish newspaper Sport that the "financial cushion" accumulated between 2021 and 2023 had been completely depleted, causing the club’s net bank position to plunge from a positive 213 million euros to a negative 312 million euros in just three years.
Bernabeu renovations and Mbappe's salary.. Where did the money go?
This sharp decline is due to massive investments in infrastructure and squad bolstering, while stadium revenues stabilized at around 43 million euros (affected by the halt in concerts), the wage bill surged by 16% reaching 277 million euros in just six months, driven by the arrival of Kylian Mbappe and the renewal of contracts for top-tier stars.
Stability in income.. but pressure in repayment
Although the club still achieves operational profits nearing 67 million euros semi-annually, most of this liquidity now goes towards servicing accumulated debts, including interest on loans for the "Santiago Bernabeu" redevelopment.
Although the situation is not yet described as "disastrous," the financial margin has become very tight, which might force "the royal" in the future to rely more on debts or sell player contracts to cover any upcoming funding gaps.
