record financial losses despite his championship title and surging income

record financial losses despite his championship title and surging income

The Football Benchmark analysis tool unveiled its report on Wednesday on the finances of the eight main European champions for the 2021-2022 season. Despite its tenth Ligue 1 title and a sharp increase in revenue, PSG recorded record losses over the year.

Just over ten years after QSI took over as head of Paris Saint-Germain, the Ile-de-France club has joined the list of the biggest sports brands in the world. Like Real Madrid, Barça or the two rival Manchester clubs, PSG has become a real multinational that brews hundreds of millions of euros each season. But according to the elements revealed on Wednesday by Football Benchmark, this is not enough to avoid record losses in the 2021-2022 season.

In its analysis of the finances of the eight main national champions of European football (France, Spain, Italy, England, Portugal, Germany, the Netherlands and Turkey), the tool details the great progress of the Ile-de-France club in certain aspects… but not with regard to its expenses. Despite the tenth title in its history, Paris suffered losses of around 369 million euros over the past financial year.

Paris leader in ticketing and business

In terms of revenue, the club chaired by Nasser Al-Khelaïfi is on the podium behind Manchester City and Real Madrid with a total of 670 million euros in overall revenue. An amount up (+18%) compared to the previous season and which shows the importance of marking Paris Saint-Germain in the world of sport.

Easily titled in Ligue 1, PSG also signed a good campaign on the commercial level with nearly 399 million euros in revenue linked to the various sales of derivative products and the various partnerships signed by the capital club. In particular the contract with the equipment supplier Nike (between 60M€ and 80M€/season) initialed until 2032.

Among the eight defending champions, Paris recorded the largest total in terms of commercial income, notably ahead of Manchester City (€373m) and Bayern Munich (€368m).

After having seen its cash receipts linked to ticketing drop sharply during the Covid-19 crisis, PSG has also made a good comeback in this regard. Collecting around 131 million in revenue on match days, Paris is also Europe’s top performer among continental champions. Far ahead of the Merengue (91M€) and the Skyblues (64M€).

Terrible losses for PSG

Able to store up good revenue, PSG has nevertheless seen the sums linked to TV rights drop and reach only 139 million euros over the 2021-2022 season. Blame it on the broadcaster crisis in Ligue 1 and its premature elimination against Real Madrid in the knockout stages of the Champions League.

A real shortfall which does not, however, alone explain the record losses posted by the Ile-de-France club. If Manchester City (49M€), FC Porto (21M€), Real Madrid (13M€) and Bayern (9M€) manage to make a profit, this is clearly not the case for Paris.

Worst student among the national champions, PSG accumulated crazy losses last season. The fault, in part, of the salaries paid to club employees. Payroll costs thus correspond to 109% of revenues.

With a very strong increase (€503 million in 2020-2021, +45%) total salaries reached €728 million. Everything but a surprise since PSG welcomed the very courted Lionel Messi, Sergio Ramos, Achraf Hakimi and Gianluigi Donnarumma before taking out the checkbook to extend Kylian Mbappé after months of uncertainty. According to Football Benchmark, at the end of the 2021-2022 season, PSG had the highest payroll in history for a club.