Bayern Munich announces profit for the third consecutive year of the pandemic

Bayern Munich have once again announced a positive financial year. The largest German club announced revenues of 665.7 million euros (647.13 million dollars) and a pre-tax profit of 17.1 million euros (16.2 million dollars), up from the previous year. ‘last year’s profit of 5 million euros (4.86 million dollars).

The financial result means Bayern remain the only Bundesliga club to make a profit in all three years hit by the COVID-19 pandemic. Furthermore, with the Bundesliga opening its doors to fans during the second half of the 2021/22 season, the club also managed to increase its turnover by € 21.8 million ($ 21.19 million) compared to the last year.

“This is a strong result,” CFO
Jean-Christian Dreesen said this in a statement from the club. There is hardly any other major European club that, like FC Bayern, has been able to report consistent profits over the past three years despite the pandemic. “

Although the club made a profit during the pandemic, the financial numbers were down. That course has now been reversed and the club expects a further increase in turnover in the current season.

Bayern also announced at the annual general meeting that of the major European clubs, alongside Real Madrid, they were the only club to make a profit during the pandemic. “It is amazing that despite the competitive disadvantage in terms of television money, every year we put on a powerful team that the whole of Europe respects,” Dreesen told AMG. “We have set new records in each of the past three years. I am very proud of all of us.

Backed by the club’s solid financial numbers, Bayern Munich have put together a strong transfer window by spending $ 151.25 million on new players, which ranks the club in last summer’s top ten biggest spenders. But the club’s transfer window also underscores Bayern’s financial strategy as they have also earned $ 114.51 million in transfer sales.

“This has mainly to do with FC Bayern’s DNA – we never spend more than we earn,” said Dreesen. “All of our employees played their part in the successful conclusion of the last financial year.” Club president Herbert Heiner added: “FC Bayern are completely debt free and what’s more: we own 100% of Allianz Arena and FC Bayern Campus; everything is paid off.”

Another positive was the increase in club membership. Bayern Munich now has 295,000 members, making it the largest home club on the planet.

Additionally, with the lifting of the pandemic restrictions, Bayern Munich expects a further increase in revenue for the 2022/23 season. “Most likely we will be able to reach a new record turnover of at least € 770 million in 2022/23,” Dreesen, who will leave the club at the end of the season, told AGM. “It is amazing that, despite the competitive disadvantage in terms of television money, each year we field a powerful team that the whole of Europe respects. We have set new records in each of the last three years. I am very proud of all of us.”

This, however, does not mean that everything has been good for the club. Many fans remain critical of the club’s continued partnership with Qatar Airways and Bayern decision makers were reluctant to make a statement regarding the sponsorship deal.

“We will continue to discuss the subject intensively with our partner Qatar Airways after the World Cup,” said Oliver Kahn, CEO of Bayern Munich. “We will evaluate everything and then we will find a solution for FC Bayern.”

Bayern Munich earns 20 million euros (19.4 million dollars) from the agreement with Qatar Airways. This is less than 10% of the € 224.2 million ($ 217.94 million) revenues generated through sponsorship and marketing.

“If you want to change or start something, you have to meet people, talk to them and exchange ideas instead of excluding them,” Kahn told AGM. “You have to listen, understand and explain. We are doing this as part of our partnership with Qatar Airways. “

Overall, the deal with Qatar Airways was less controversial at AGM than last year, when there was significant opposition to the deal. The club has entered into an open dialogue with its fans and wants to find a positive solution. Ultimately, however, the future of the contract will depend on Bayern being able to find an alternative sponsor willing to pay a similar amount.

Manuel Veth is the host of the Podcast Bundesliga Gegenpressing and the USA Area Manager at Transfermarkt. It has also been featured in Guardian, Newsweek, Howler, Pro Soccer USA, and many other outlets. Follow him on Twitter: @Manuel Veth

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