The €4 billion flagship is rocked by its own accounting

(...) The winner of the most prestigious club competition in European football is English club Manchester City. The Citizens, as the team is nicknamed, have been England's most successful club over the past decade. However, the long-awaited Champions League title had eluded them — until now.

The club, owned since 2008 by fabulously wealthy Sheikh Mansour, came close to lifting the “big-eared trophy” two years ago, but fell short in an all-English final against Chelsea. This Saturday in Istanbul, however, belonged to the Citizens. Thanks to a 68th-minute goal by Spanish midfielder Rodri, they narrowly defeated Inter Milan 1–0. (...)

Just before the final, the 2023 edition of the KPMG European Elite ranking was released, and Manchester City topped the list. Based on Enterprise Value, the club’s worth was calculated at €4.07 billion, narrowly surpassing last year’s winner Real Madrid, who came in second with €4.06 billion. In 2022, Real had also won both the title and the financial rankings — a feat City now mirrors.

“The equation that the richest clubs will also be the best doesn’t always apply, but it’s a strong indicator. Generally, a club in the top five wealthiest in the world is also a serious contender for the Champions League title,” noted football analyst Jozef Tokos in an interview.

Modern elite football is practically a science — a vital sector of the sports industry. Financial muscle, know-how, innovation, strategic planning, and elite scouting are all essential to the world's best clubs.

And Manchester City fits this profile perfectly. It is the flagship of the City Football Group, the world’s largest football holding company, which now owns 13 clubs across the globe. In its portfolio are teams like Palermo FC (Italy), Lommel SK (Belgium), Melbourne City (Australia), and ESTAC Troyes (France). But Manchester City, led by the tactical mastermind Pep Guardiola, sits firmly at the top of this football empire.

Currently, City dominates the global football scene, with no clear competition. Yet off the pitch, the club still faces turbulence. In early February, reports emerged about accounting irregularities, which could have serious consequences. The club already has a history with financial fair play (FFP) violations, and the shadow of controversy looms large.

“City operates on the edge of the financial fair play system and also within the internal regulations of the Premier League. On the one hand, there’s the joy of a great victory — on the other, a huge question mark. The process (investigation) is ongoing, and the relevant authorities are sure to examine their legal and accounting maneuvering carefully,” added Tokos.

For now, Manchester City can rightfully enjoy the euphoria of victory. But dark clouds may already be forming on the horizon.