Since regression is a negative thing, Real Madrid has just received bad news from La Liga. While Barça dominates the league standings, Florentino Pérez’s club is falling behind the Catalans financially.
Real Madrid is enjoying a happy period. Victorious in the Intercontinental Club Cup final on Wednesday night against Mexico’s Pachuca FC (3-0), Florentino Pérez’s club secured their fifth trophy of 2024. Naturally, this new success will boost the club’s finances, as they are set to receive a significant payout from FIFA. However, while the Madrid side celebrates their latest achievement, last season’s TV rights revenue in Spain has revealed a decline.
Barça overtakes Real Madrid in TV tights revenue
Considered Spain’s biggest club, Florentino Pérez’s team, which won the league title last season, finished second to Barça in terms of TV rights revenue distribution. For the first time in several years, the Catalans earned significantly more money than the Merengues, with €162.49 million compared to Real Madrid’s €159 million. Although the gap is not enormous, it’s still bad news for Real Madrid.
To explain this shift in TV revenue favouring their Catalan rivals, one must look at La Liga’s policies. The league requires Spanish teams to cooperate with media by having players and coaches speak before, during, and after matches to enrich TV broadcasts with more engaging content. La Liga decided to reward Barça much more for their compliance. While Real Madrid has resisted these media obligations, FC Barcelona has willingly adhered to La Liga’s demands.
To reward Barça’s compliance, Javier Tebas’s organisation has effectively caused Florentino Pérez’s club to fall behind Joan Laporta’s side in TV broadcasting revenue. “La Liga divides the TV rights revenue into three parts. Fifty percent is distributed equally among the 20 clubs. The rest is split into two: 25% based on sporting results, and the remaining 25% allocated according to social engagement, which penalised Madrid,” explained Relevo.
Under normal circumstances, the Spanish capital’s club would earn more. It’s worth noting that Real Madrid is receiving €2 million less than in the 2022-2023 season. However, the Madrid side has little reason to complain about this financial loss, as their coffers remain relatively full compared to Barça’s. Ultimately, it’s bad news that doesn’t hurt too much.
