After a protracted seventeen-year dry spell, the renowned Italian football institution, AC Milan, has finally turned the tide, reporting a substantial profit for the 2022-23 financial year. In a shareholders meeting convened on Monday, AC Milan club officials unveiled a notable 6.1 million euros (approximately $6.51 million) in profit, marking a remarkable departure from the preceding year’s staggering losses of 66.5 million euros (then $66.7 million). This achievement stands in stark contrast to the club’s record deficit of 145.9 million euros (then $161.2 million) in 2019.
The laudable resurgence can be attributed to the record-breaking revenues of 404.5 million euros (equivalent to $431.4 million), a staggering 100 million euro surge from the previous fiscal year. A substantial chunk of this revenue influx was a direct result of the club’s triumphant run in the Champions League semifinals, yielding an impressive 41.8 million euros (approximately $44.6 million) in media and TV rights, coupled with a robust growth of 44.4 million euros ($44.6 million) in commercial revenue and sponsorships.
This financial renaissance was catalyzed when hedge fund giant Elliott Management took the reins, stepping in after the club grappled with an outstanding loan. However, the lion’s share of transformation was orchestrated by RedBird Capital Partners, who assumed control of the club last year. Their revitalized strategic direction culminated in Milan clinching their first Serie A title in over a decade during the previous season.
Milan president Paolo Scaroni expressed, “We are on the cusp of an important new chapter in the evolution of our club, buoyed by Gerry Cardinale’s visionary strategy, the expertise of RedBird, the competency and drive of the entire management team led by our CEO Giorgio Furlani, and the prowess of our teams, who will continue to captivate and exhilarate our fans.”
With plans for future stadium enhancements underway and an unwavering commitment to constructing a robust financial legacy from the ground up, AC Milan appears poised for a sustained period of stability. While it may have taken nearly two decades, the Milan faithful can now bask in the glow of their club’s reinvigorated triumph.
Source: AP News
