Not only did Napoli win the scudetto last season, but they achieved this in a lot of style, playing some brilliant football under head coach Luciano Spalletti to seal the deal with six rounds to spare. This was only the third title in their history, over 30 years after the Maradona inspired triumph in 1990.
Give Napoli’s financial disadvantages compared to the
traditional “big” Italian clubs, this was a very impressive feat, especially as
this came after they had sold (or released) some of the team’s bigger stars
before the season started, replacing them with relative unknowns.
This was very much in line with the modus operandi
established by owner, Aurelio De Laurentiis, who had bought the club in 2004
after Napoli went bankrupt and were relegated to the third tier. They soon
bounced back with two promotions in three seasons, with the Italian film
producer insisting that the club follows a sustainable strategy.
Napoli swung from a €66m pre-tax loss to an all-time Italian
record profit of €118m, a massive improvement of €184m. Revenue rose €115m
(69%) from €165m to a new club high of €280m, while profit from player sales
shot up from just €4m to €80m.
However, Napoli’s operating expenses hardly increased at
all, as they restricted growth to only 4% (€8m), which is unusual for clubs
enjoying such a successful season.
Napoli’s largest revenue increase was broadcasting, which
rose €71m (79%) from €90m to €161m, mainly thanks to participation in the
Champions League. There was also significant growth in the other two revenue
streams, as match day more than tripled from €12m to €38m, while commercial was
up €24m (48%) from €52m to €76m. In contrast, player loans dropped €7m (61%)
from €12m to €5m.
Napoli’s €118m pre-tax profit was in a class of its own in
last season’s Serie A, miles more than the next highest surplus, namely Milan
€14m. This was in stark contrast to the large losses posted by the likes of
Juventus €117m, Roma €123m and Inter €77m.
Napoli’s superlative financial results were boosted by €80m
profit from player sales, up from prior year’s €4m. This was mainly driven by
the sales of Kalidou Koulibaly to Chelsea (€42m gain), Fabian Ruiz to PSG €22m
and Andrea Petagna to Monza €9m. In
addition, they offloaded a few players on free transfers, which obviously
generated no profit, but did reduce the wage bill.
European TV money
Napoli earned €77m for reaching the Champions League
quarter-finals, which was logically less than finalists Inter €100m and
semi-finalists Milan €85m, though more than Juventus €64m, after the bianconeri
were eliminated at the group stage. Europe
TV money has been extremely important for Napoli, earning them an impressive
€228m in the last five years. This is the third highest of Italian clubs, but
still a lot lower than Juventus €404m and Inter €325m. Napoli have already earned around €70m from
this season’s Champions League with another €11m to come if they beat Barcelona
(them again) to reach the quarter-finals.
Napoli have increased commercial income by €29m in the last
four years, which is not too shabby, but this was more than matched by
Juventus, up €32m, and less than half of Milan’s €70m growth. On the other hand,
Inter dropped by more than a third (€59m), due to the disappearance of their
Chinese sponsors. Consequently, Napoli’s
€76m commercial income is currently fifth highest in Serie A, albeit only
around a third of Juve’s €219m and half of Milan’s €146m.
Wages
Napoli’s wages reduced by €19m (15%) from €130m to €111m,
which was somewhat surprising, as success on the pitch normally leads to a
higher wage bill, due to performance-related bonuses. In fact, the €111m wages last season were the
club’s lowest for six years, which seems incredible. This is perhaps the
clearest evidence of Napoli’s prudent strategy in action. This means that wages have fallen 28% (€44m)
from the €155m peak two years ago, though that season was inflated, as it
included two months that had been deferred from 2019/2 following pandemic
delays.
To really underline the extent of Napoli’s achievement,
their €111m wages are easily the lowest of any of the Serie A champions in the
last decade. The wage bill for the other winners range from €328m for Juventus
in 2018/19 to €170m for Milan in 2021/22.
Napoli are fundamentally a well-run club. After three years
of losses, largely driven by the impact of the COVID pandemic, they have
returned to profitability in some style, setting a new all-time record for
Serie A. Last season was truly
exceptional, as they managed to punch well above their weight, overcoming their
handicap against the traditional leading Italian clubs.
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