How the Premier League hit GBP3.6 billion in revenue

How the Premier League hit GBP3.6 billion in revenue

Premier League clubs’ revenues grew by 9% to a record GBP3.6 billion in 2015/16, according to a recent report by Deloitte.

In its annual review of football finance analysis, Delloit stated that in the final year of the Premier League’s broadcast cycle, the 20 Premier League clubs generated more on average (GPB182m) than all 22 top division clubs combined did in 1991/92 (GBP170m), the last season before the competition began.

“Over the three seasons from 2013/14 to 2015/16, Premier League clubs generated combined operating profits of £1.6 billion, more than they managed in total over the previous 16 seasons combined.“

Talking about Europe’s premier league, the report says,-‘Driven by continued growth in broadcast rights values in European football’s biggest leagues, and the impact of UEFA Euro 2016, total European football market revenues reached almost EUR25 billion in 2015/16, a 13% increase on 2014/15.

The ‘big five’ European leagues which includes the English Premier League, German Bundesliga, French Lig 1, Italia Serie A, and the Spanish La Liga, grew collective revenues by EUR1.4 billion (12%) in 2015/16, 59% of which was due to increased broadcast revenues, and 31% due to increased sponsorship and other commercial revenues. In recent years, step-change increases in broadcast revenues have been almost the sole preserve of English Premier League clubs. However, in 2015/16 new broadcast arrangements in Germany, Italy and Spain, coupled with a significant increase in UEFA broadcast distributions under the new three year rights cycle, led to combined broadcast revenue growth among the clubs in the top divisions of those three countries of EUR535m.

Total attendances across the Premier League and Football League increased by 5% to almost 32m in the 2016/17 season. Stadium investment continues, at record levels, to provide more and better quality opportunities to watch live professional football in England. Although Premier League clubs’ attendances fell by 2%, this was due in large part to the relegation of Aston Villa and Newcastle United, who in turn helped boost Championship attendance levels by 15%.

The Chinese revolution: There continues to be a lot of interest in China’s growing investment and influence in football, in both domestic clubs’ in playing squads and infrastructure, and outbound overseas club acquisitions and sponsorships in the global game. However, there have been some significant developments in recent months, which could constrain outbound Chinese investment in the rest of the world’s clubs and players in future seasons.

See full report here

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