General Assembly of AC Milanheld today, approved the Financial statements 2021/2022presented by the Board of Directors on September 29, 2022.
In contrast to the delicate international economic climate and in the context of the continuing difficulties of the sector, the 2021/2022 financial statements of AC Milan closed with the Club having consolidated the road to healing and revive which has been pursued in recent years. a positive EBITDA was recorded (€29.3 million), as well as an improvement in Net financial position of the club as of June 30, 2022, with net debt of €28.4 million (vs. €101.6 million recorded the previous year). Also, there was another loss reduction (30 million euros, an improvement of more than 30% compared to the previous financial year). A overall positive resultprimarily due to the sporting performance effect, an increase in Club revenue and a disciplined approach to cost management.
President of AC Milan Paul Scaroni commented : “The 19th Scudetto triumph and the growing value of the AC Milan brand once again confirms the path of growth the Club has taken on and off the pitch.”
“The results presented today highlight a steady recovery, which has taken place despite the crisis in the sector and the state of the economy in general. We must continue with the same determination, with the commitment of our players and all the Club’s collaborators. Scaroni continued.
“I am convinced that, thanks to Gerry Cardinale’s strategic vision and RedBird’s experience and expertise in sport and finance, we will be able to further strengthen the AC Milan of the future – a sustainable club. and winning – as we seek to continue to excite and engage all Rossoneri fans around the world,“ concluded Scaroni.
The 2021/22 season has seen revenues increase by 14%reaching €297.7 million compared to 261.1 million euros the previous year. This is the result of an increase match day revenue (+€32.5 million) and increase in revenues of Commercial activities, royalty fee and sponsorship agreements (+€17.6 million), as well as other income (+€10.9 million), including the sale of the “Casa Milan” building.
These increases were partly limited by a number of factors, starting with the impact – direct and indirect – of the restrictive measures issued by the Authorities due to the ongoing health emergency, which have affected certain sources of income such as those related to matchdays . In addition, the decline in capital gains from the disposal of players’ rights (-14.6 million euros) and the decrease in income from the disposal of TV rights (-€5.2m) – the latter is the result of fewer matches played in 2021/22 compared to the previous season. Some matches of the 2019/20 season were indeed postponed due to the health emergency prevailing at the time and were played in the 2020/21 season.
Finally, the Club took the opportunity to benefit from the accounting revaluation of the “Milan” brand under Decree-Law No. 104 of August 14, 2020, converted into Law No. 126 of October 13, 2020. Aiming to determine the real value of the brand and thus give a faithful representation of a corporate asset, the procedure of revaluation of the brand was carried out after the request for legal advice from PwC TLS Avvocati e Commercialisti and following the expertise carried out by the independent consultant Wepartners SpA. The revaluation of the brand’s value, which was carried out for civil law purposes only (therefore without tax impact) in compliance with the principles of prudence, reasonableness and demonstrability, was recorded as intangible assets in the accounts of the Club.