Nov 10, 2025
3 min read
The white corporation has delayed the change of the business while paying the profit in Europe and exploring the formula to attract money while keeping a part of its freedom
Will Real Madrid be worth 10,000 million?
The white entity has delayed corporate transformation while leading revenue in Europe and exploring options to attract investment while maintaining some independence.
Real Madrid have put on hold, at least for now, what could be the biggest structural change in their modern history.The general assembly in November will not vote on the reform that Florentino Pérez wanted to transform the club into a commercial company controlled by Madrid itself, capable of attracting capital without giving up its independence.
In contrast, this fast comes at a time of Madrid's monetary strength.For the first time, aid exceeded 1,000 million euros in annual revenue.According to Deloitte's football report (January 2025), no other team in Europe is close: Manchester is behind the city of 200 million.
But behind this policy reform is a deep question: How much is Madrid worth?How do you make money in a business where almost everyone loses?And what financial strategy is behind this combination that combines football, energy and international business and international business?
If I were to ask my great-grandfather.But we will try to improve the answer a little and explain with data how she valued the money of the largest group in the European world.
How do you get income or Real Madrid?
Real Madrid learned to play in the income league.In just 5 years, the club has gone from 757 million euros to over 1,000 million euros.It did so in the middle of a pandemic, while the stadium was under construction and most of the big European clubs were piling up losses.Since 2019, Barça alone have racked up more than 600 million in losses.
Before the tragedy, Real Madrid relied heavily on television and matches at the Bernabéu, but this has changed a lot.The stadium's traffic has doubled - from around 150 million in 2019 to 300 million in 2024 - thanks to VIP boxes, new hospitality, events and the Bernabéu Tour, which is already one of the most visited tourist attractions in Spain.
Sales and support activity, overall, is 1,400, while maintaining listening rights at 270 million per year, with no less burden on everyone.In addition to all this, there are well-balanced licensed, food and real estate companies that strengthen the company's diverse team and adequacy even in difficult years.
The main thing has not been to conclude better contracts, but to diversify the business.This club is more like a multinational entertainment company than a sports facility.how do you do it
Bernabéu, the stadium for the economy
The first pillar of this model is the Santiago Bernabeu, which has become the economic engine of the club.If there is a stadium that opens 25 times a year, now there is a complex that can generate revenue for 365 days.
At the heart of its new structure are the VIP boxes and seats, the crown jewel of the stadium and the club's most lucrative source of income.The new venue features 7,113 premium seats and more than 240 private boxes located on different levels, with direct views of the pitch and personal services.
Demand is based on expectations: the waiting lists are long and a large part of the places are contracted for several years.Prices vary according to areas and the services included, but in areas called vegan chairs, between 15,000 and 30,000 euros per year, a box is available between 250,000 and 400,000 euros.It is 10, because the cost will still increase and the profit margin will be much higher.
In practice, when the stadium is operating at full capacity, the VIP area alone can contribute more than 150 million euros per year, i.e. more than the total revenue of the old Bernabéu in one match year.
The strategy of this model is simple and very effective: Deliver the luxury logic and the prize money of football.Boxes are not just places to sit, but a productive corporate experience, with access, private access, parking and personal attention.
Many of the major IBEX 35 companies and multinationals based in Madrid – banks, technology companies, insurance companies – use these spaces as a tool for institutional relations.Each match thus becomes a business event and a constant and stable income for the club, regardless of the sports results.
Based on this, the Bernabéu approaches the same format as major venues in the United States, where the revenue – known as visitors – represents up to 1 Euro of total revenue.
Events, concerts and fun
In addition, events and concerts – thanks to a retractable roof and a system that keeps the grass underground – make it possible to hold concerts all year round.The club aims to organize more than 40 concerts a year and earn between 60 and 80 million this way alone.However, this ambitious plan has encountered a serious obstacle: residents of the Chamartín area have filed several complaints about excessive noise after large concerts, forcing the club to temporarily suspend concerts and rethink part of the calendar until the soundproofing systems are adjusted.
Travel, Recovery and Politics pay for action
The Bernabeu has also become one of Madrid's biggest attractions.Before the pandemic, its museum and guided tours welcomed more than 130 million people.Today, the New Bernabeu tour, fully restored with cutting-edge sales and collected events for the second event and collecting 80 million euros a year, three times the previous version.The most important price is currently available, in Euros, but there are basic options including access to VIP areas and gastronomic packages.And here Madrid takes more than 50 euros from each visitor (at the old stadium the fee per athlete was half of that).
Added to this constant flow are four superb restaurants and terraces that are open all year round, managed by catering groups and with a projected revenue of almost 40 million euros per year.All in all, the stadium has become a tourist and gastronomic engine that combines leisure, culture and profitability: an asset that pays for itself effectively.
Type and Service: International Audience, Local Box
The second driver is support and choice.Real Madrid wants to agree management with GIANS such as Adidas, Emirates or HP, which guarantees long-term contracts.But the most important change is the management of his own business: he has made products, direct his content online and create his own content Audiovual.
Its digital presence - more than 550 million on social networks - turns every book, every video and every contract into a revenue generator.
Television, which has been the club's main income for decades, has little weight today.In Madrid, it is around 25%: around 150 million for La Liga and 100 to 130 million for the UEFA Champions League.The difference is that now your income is so stable that irregular seasons don't threaten your accounts.
To all this is added a perfect source of information: the sale of toys - which is only an insufficient percentage - and real estate assets.In Valdebebas, the club owns an area of 1.3 million square meters, where Real Madrid is located and can develop various projects for different uses in the future.
The result is a business model that is no longer dependent on the scoreboardBarnaby generates revenue 365 days a year, the Real Madrid brand multiplies its value globally and television rights ensure stability.Each source of income supports the others, creating a self-sustaining economic circleThis is why the White Club was the first to break the one billion euro barrier in sales: because it has made football a sustainable business, able not only to win titles, but also to turn its transformative intangible assets - brand, sentiment and global reputation - into real profits.
What is the price and profitability of Real Madrid?
Real Madrid spends most of its budget on personnel costs, including salaries and bonuses for players, technicians and employees, accounting for approximately 505 million euros, 47% of turnover, an excellent level of efficiency in European football.In 2019 alone, Madrid spent 60% of the club's revenue on paying staff.For example, Barca today exceeds 75%, exceeding the recommendations of UEFA, which places it at 70%.
Another big expense for Real Madrid is the book value of its team, which is not reflected all at once, but spread over the years of each player's contract.This is called log-on depreciation in accounting.So if a soccer player spends 100 million and signs for 5 seasons, the expense reported is 20 million each year, not the initial 100. In the case of Real Madrid, the team's total depreciation is currently 190 million euros per season.
The remaining operating costs, including maintenance, energy, security, travel and infrastructure, are worth almost 300 million, with the new Bernabeu stadium already under way.
From 2024/25, the interest and amortization of the stadium will be added, about $75 million per year, which will be covered by local own revenue.
How did Real Madrid finance the stadium?
The New Santiago Bernabu BernabU was not financed with money from people or the sale of assets.Real Madrid did something that a large company would do when faced with a long-term weapon: Request a loan with potential and potential conditions, which will be paid to the place where the stadium can be made.
In 2019, the club signed a loan of 575 million euros and an agreement created by JP Morgan, Bank of America Merrill Lynch, Banco Santander and Caixabank, created by Capital Partners and legally advised by Clifford Chance.
In December 2021, the financing to cover improvements on the land, such as the cover of the drain and the underground system that added grass, amounted to 1,170 million euros, with a cost of 35.2 percent and until maturity.
The situation is very important: the debt is not guaranteed by the pledge in the stadium or by the income of the sport, but by the income of the sport, but by the income of the sport, but by being able to use the Bernabéu itself.This means that Real Madrid has promised (allowed) part of the return of the stadium - to ensure that the banks will collect money.This system, known as the subsidy, is common in large-scale commodity production where the payment is made with money, which creates money.
In practice, the stadium pays itself back.Each year the club will use around €50m of Bernabeu revenue to repay the loan, an amount that is easily achievable given that in the 2023/24 season alone, the stadium has already generated almost €300m.
That is why this debt is considered "anchored" to the project: its risk and solvency are limited to the stadium, not to the team.The result is an exceptionally solid financial model: Real Madrid maintains almost zero net debt (assuming what they have in the box) in their sports activities (8 million) and finances a project worth more than a billion USD without affecting their solvency.By comparison, Barça is accumulating gross debt of more than $1,000 million, to which another $428 million is added from advance income from the sale of rights and television assets, known leverages.
In short, in the last inspection, Real Madrid presented data that few companies - and no other football club - could match.The club earned 1,073 million euros, generated more than 180 million euros in cash, has been profitable for five years, has 82 million in treasury and 395 million in unused credit lines, which gives the club a net financial position with almost no debt (8 million).The only major debt is that of the new Bernabeu: a financing of 1.17 billion euros over a period of thirty years, with a fixed interest rate of 3.2%, and will be paid only with the money generated by the stadium itself: stages and VIP seats, concerts and events, restaurants and entertainment areas, and shops and tourist visits.
That's why the question is: now what?
Real Madrid and the new business model
In modern football, fewer and fewer clubs are owned by their fans.Most are owned by investment funds, sheikhs or international parliamentarians.Real Madrid, on the other hand, is one of the few big ones and one of its partners. This structure - a legacy of the 20th century - guarantees freedom, but also increases limitations.
So far, this formula has worked.But the future brings with it a dilemma.In recent months, the club has been exploring a new corporate structure to adapt to the scale of global business without losing social control.
The idea of Florentino Pérez is to support the middle model: Create a business that receives 51% of the aid from Real Madrid or its foundation and international investors.It will be a way to attract capital without much power, a model dedicated to the user of the one used by Bayern Munich in Germany.at least for now.
However, it is a very interesting discussion: Can the club remain filled with members in a market organized by global capital?How to attract investment without selling your soul?
This model is looking at the United States.Major sports teams do not operate like European clubs, but like franchises: private companies that are part of a closed league.No one in the NBA, NFL, or MLB can get fired or lose their license for one bad season.This completely changes the rules of business.
The income does not depend on the result of the sport, but on a collective system where all the franchises share the benefits: television, sponsorship, licenses and global sales.The league negotiates the contracts - for example, the NFL signed an 11-year contract worth $110 billion - and distributes the money among all the teams.Thus, the last station also receives benefits.Risk disappears and cash flows become predictable, something unthinkable in European football, where one bad season can cost millions or even a drop.
This model also allows them to control the entire business surrounding the game.Each franchise has its own stadium, image rights and audiovisual content.The groups play the game, but above all, the key: They are the keys, they organize concerts, sell their empty spaces and earn money to deliver to the whole world.
Profits are strong, margins are high, and competition has moved from the field to the offices.And this explains the creation of the financial value of these clubs.
According to Sportico's annual report, the Dallas Cowboys lead global sports with a valuation of $9.2 billion, followed by the Golden State Warriors ($9.14 billion), the New York Knicks ($8.33 billion) and the Los Angeles Lakers ($8 billion).
This model is not clear and majo, they use the source of income, stability in the global TV market for a long time and global commercial potential.This group has a negative reception and can generate money even if the game is not successful in the season.
Florentino Perez's Real Madrid are aiming for a similar model without saying so publicly.Open 365 days a year, the new Bernabeu is more like an entertainment center than a traditional stadium.The club operated as a global franchise: selling experience, content and branding, as well as football.The biggest difference is that it continues to be owned by its partners rather than private investors.
If Madrid can strike a balance between its sporting spirit and business structure,This club may become a unique club.That was the first club in the world to combine the social independence of association with the economic power of a major global franchise.
How much is Real Madrid worth?
Putting a price on real truth is more than multiplying its marks by millions.It is a difficult thing.The real value is that Madrid is trying to make a price in the future.By doing this we cannot see the end of the last year.Cash - body - oxygen - oxygen - oxygen that sustains the inventor.
In the case of Real Madrid, it is currently around 200 million euros per year.But the club aims to break the 300 million barrier once the new Bernabeu reaches full capacity.Euros are what really matter: the money left over each year after salaries, expenses, taxes and investments are paid.
The method I use most to calculate the value of a company is the discounted cash flow.The idea is simple: a euro today is worth more than a euro in five years, because the money in the future is risky and uncertain.Therefore, we must "update" the value of future flows by applying a discount rate, which reflects that risk.If the business is stable, the rate will be low;if it is more uncertain, it will be higher
In the case of Real Madrid, we're talking about a club with recurring income, controlled debt and large diversification, so this rate can be between 7 and 8%, similar to one large service company or infrastructure.In fact, every euro invested by Real Madrid (called ROFC) makes a profit of about 10%, much higher than the cost of debt, which is why the ability to create monetary value.
From here, the exercise is to forecast the cash flows for the next five years.When this calculation is made with figures for 2024 - revenue of 1,073 million, operating cash flow (EBITDA (earnings before interest, tax, depreciation and amortization)) of 144 million and a budget for 2025 of 246.5 million - the value of the club's normal business activities (football, television and marketing activities).daily market) will be between 2.3 and 3 billion euros.
If Bernabe is able to stabilize earnings and increase activity levels, the valuation could rise to 3.6 billion.
But madrid is not just a football club: it also has real estate that behaves like a private company.Bernabéu 365 is important to distinguish, because it works as an investment that pays for its income.
The operation of the Bernabeu can generate net money for the club, which can be between 60 and 100 million euros per year.When these future revenues are discounted, the value of the stadium's operations as a financial asset is between 1,200 and 2,200 million euros.
If both pieces are included - the operating business and the stadium -, the total value of Real Madrid today cannot be defended at more than 6,000 million euros, depending on whether the Bernabeu reaches its full potential.This is an unusual figure for any European club, but still below the level of major American franchises.
And yet there is magic and challenge: to convince investors that the true value of Madrid lies not only in what it earns today, but also in everything it can still create.
How can Florentino Pérez convince investors, club members and opponents that Real Madrid is worth 10 billion?
It will not be enough to show unbeatable balance sheets or a magnificent stadium: you have to convince that the Bernabeu can generate revenue on a 365 permanent basis, that every euro profit can be repeated year after year and that the Real Madrid brand has yet to reach the world stage.That is why it needs to convince that it will be able to generate at least €300 million in cash flow every year.It can defend a valuation between 8,000 and 9,000 million euros and thus enter the league of the most valuable sports franchises on the planet, such as the Dallas Cowboys or the New York Knicks.
But to this calculation must be added a variable that has not yet generated money, but in the long run has a lot of weight: Valdebebas.The 1.3 million square meters of land owned by the club north of Madrid are its great strategic reserve. Only part of it is occupied by Ciudad Deportiva; the rest can be used for sporting, technical or commercial projects.
If Real Madrid enables this development in the coming years (possibly paying for it using the same formula as the stadium or with money from investors), its equity value could increase by around 4,000 million euros, pushing its global valuation above 10,000 million.
The challenge is to explain that every euro that Madrid manages to generate through the new stadium, its global brand or its real estate assets will increase its value in the market.Every concert, every event and every new income that consolidates that profitability will push the club towards the world's financial elite.
Therefore, Florentino Pérez's real challenge, beyond signatures or names, is to convert emotions into cash flow and cash flow into tangible economic value.
If it achieves this, Real Madrid will stop being measured only in the European Cup and will do so in billions of euros.And if he can get the club to operate according to the logic of a major global franchise – self-sustaining, scalable and profitable – Madrid's symbolic value will finally translate into numbers that no other team in the world can match.
Real Madrid has put on hold, at least temporarily, the biggest structural change in its modern history. Florentino Perez wants to transform the club into a commercial company controlled by Madrid itself, capable of attracting private capital without giving up its independence, and there will be no vote on the changes at November's general assembly.
