Italian football team Juventus posted yet another disappointing year in the books with a loss of 199.2 million euros for the last 12 months that ended in June. That makes the club’s fifth successive annual loss. Still, it says it is on the way to recovery and will break even at the operating level this financial year.
Loss Linked To European Ban
Revenue for the 2023/24 fiscal year declined by 22% to 395 million euros primarily because of the disqualification from European competitions owing to accounting issues. In comparison to last year’s returns, at 124 million euros, the loss is an increase of 271 million euros.
Shareholders cautioned to strengthen the finances.
Being quoted on the Milan Stock Exchange and controlled by the Agnelli family for over a century, the club has had no other option but to go to shareholders for capital support. For three consecutive years from 2008 to 2011, Juventus managed to raise about 900 million euros through separate cash calls operations so as to strength balance sheet.
To Be Continued: Champions League and Cost Cutting
Forward-looking, the club is banking on a return to the Champions League and cost-cutting measures taken recently to strengthen financials. “Operating result and cash flow are expected to break even during the financial year 2024/2025,” said the club, terming these two as the prime reasons behind the improvement.
Target Net Profit 2026-27
The Turin-based club, according to the business plan approved last year, is looking to regain net profitability by 2026-27. The club last saw net profit during the 2016-17 season.
The Sportz Planet Desk,
Atharva Shetye
