The Political Economy of Football V2

 ome would argue that the balance at Ajax has tipped too far towards making money, which has had an inevitable impact on performances on the pitch. Despite the poor sporting results, Ajax still achieved an impressive €55m pre-tax profit in 2022/23 (€39m after tax), compared to a €32m loss in the previous season.   The €87m improvement was largely due to significant profit from player sales, which shot up €75m from €38m to €113m. In addition, revenue increased by €7m (4%) from €189m to €196m, while operating expenses fell €6m (3%) to €248m. Ajax’s revenue was hit by lower TV income from European competitions, which led to an €18m (25%) reduction in broadcasting from €74m to €56m, but this was offset by increases in the other two revenue streams. Match day rose €17m (49%) from €34 to €51m, as some matches were played without crowds the previous season because of COVID restrictions, while commercial was up €9m (11%) from €81m to £90m. Ajax’s 2022/23 figures greatly benefi...

The authoritative Swiss Ramble has provided financial overviews for leading Dutch clubs. Ajax's pre-tax profit fell €42m from €69m to €27m, mainly due to revenue dropping €37m (19%) from a record €199m to €162m and expenses increasing by €17m, partly offset by profit on player sales rising €12m to €84m. Debt now includes €151m financial leases. PSV's revenue fell €25m (26%) from €97m to €72m, as they competed in the Europa League, rather than the Champions League in the prior season. As a result, their operating loss widened to €41m, but pre-tax profit only fell from €6m to €2m, due to profit from player sales rising €26m to €47m. Feyernood r evenue was up 4% to €73m thanks to reaching Europa League group stage. However, their pre-tax loss slightly worse at €9m, highest in the Eredivisie, as profit from player sales fell from €8m to €4m. Wages up €3m to €38m, but 51% wages to turnover ratio lowest in league. AZ had the second highest pre-tax profit in Netherlands of €8m, despit...

The authoritative Swiss Ramble has reported on Ajax's  2019/20 accounts. Profit before tax fell €42m from €69m to €27m (profit after tax down from €52m €20m), largely due to revenue dropping €37m (16%) from a record €199m to €162m and expenses increasing by €17m to €220m, partly offset by profit on player sales rising €12m to €84m. The club are known for their strategy of developing and selling players. They have earnt €400m from this activity in the last 10 years, averaging €69m a season since 2017. Despite the fall, the club's €27m profit is still the highest in the Eredivisie, well ahead of the next highest, AZ €8m. As a rule, very few Dutch clubs make big money, so Ajax €69m surplus in 2018/19 was something special and unlikely to be repeated. Ajax have a sustainable business model, reporting profits in nine of the last 10 years (only loss was €1m in 2015/16). In that period, they have accumulated over a quarter of a billion Euros profit, averaging €26m a season. However...