German clubs report the highest profits

While the English Premier League is the world’s richest football league in terms of revenue, and Spanish giants Barcelona and Real Madrid earn the most from selling broadcasting rights, Germany leads when it comes to the key indicator of economic success—net profit. The eighteen clubs of Germany’s top-tier Bundesliga posted a combined profit of €206.2 million for the 2015/2016 season. This comes from the Deutsche Fussball Liga Report, published by the DFL on its website. Interestingly, German club football is among the most financially stable in Europe, with Bundesliga teams ending the season in profit for the twelfth consecutive year. “The success of the national team, financial rules of the league, and German mentality—these factors are what bring economic success to the Bundesliga,” said sports analyst and football agent Jozef Tokos for the Economic Daily.

One of the main reasons German clubs have been financially stable over the long term is a rule that distinguishes them from other elite European leagues like those in England, Spain, Italy, or France. “They have a rule called ‘50+1’, which means that no domestic or foreign investor can take control of a club in the way we've seen in other football leagues,” explained football agent Branislav Jašurek. (...) There are two exceptions to the 50+1 rule in the Bundesliga: VfL Wolfsburg and Bayer Leverkusen. “In their case, the owners are multinational German companies: Volkswagen owns Wolfsburg, and the Leverkusen team is owned by pharmaceutical giant Bayer,” added Tokos.

The Bundesliga also improved its financial indicators in terms of revenues. The eighteen clubs generated a record €3.24 billion in revenue, a year-over-year increase of 24 percent. For the first time in history, thirteen clubs surpassed €100 million in revenue. Growth was seen across all areas—from player sales and broadcasting rights to marketing partnerships. “Starting next season, a new four-year domestic broadcasting rights deal begins. This means the league will reach even higher numbers in the coming years,” said Christian Seifert, CEO of the Deutsche Fussball Liga. The auction for broadcasting rights concluded in June of last year, and over four years, it will bring €4.64 billion to the top-tier clubs—an increase of 85 percent compared to the current contract. Germany’s undisputed number one and richest club remains Bayern Munich, the fourth-highest-earning club in the world after Manchester United, Barcelona, and Real Madrid. Bayern also posted the highest profit for the 2015/2016 season—€52 million.

The Bundesliga is also notable for the participation of Slovak footballers. Of the top four European leagues, it is where the most Slovak players have succeeded over the past two decades. Notable names include Igor Demo, Vratislav Greško, Miroslav Karhan, Marek Mintál, Róbert Vittek, and others. “The Bundesliga is a fantastic competition for Slovak players. It definitely suits our players better than the English Premier League or Spanish La Liga, where only a few have managed to succeed,” Tokos concluded.