Athletic Bilbao Finances 2023/24

Local Boy In The Photograph

So it looks like one of this summer’s transfer sagas is coming to an end, as Barcelona have reportedly reached an agreement to sign Athletic Nico Williams.

The exciting winger has been the subject of enquiries from many of Europe’s leading clubs, including Arsenal, Liverpool and Bayern Munich, but the Catalans have apparently got their man – assuming that the signing can be accommodated within La Liga’s economic control framework.

This deal reminded me that I have not yet reviewed Athletic Bilbao’s finances, so this is as good an excuse as any to do a deep dive, looking to understand whether the club needs to sell its top talent to be sustainable.

Basque Policy

Athletic have one of the most unique policies in football, as they limit player recruitment to talent either born or brought up in the Basque region. As a result, the club is known for bringing players through its academy, as opposed to spending significant sums on signing players from around the world.

Think local, act local, if you will.

On The Pitch

Despite this self-imposed restriction, Athletic have remained strong on the pitch. In fact, they are Spain’s third most successful club in terms of trophies won, having won the league no fewer than eight times, though the last occasion was back in 1983/84.

They are also one of only three teams that have never been relegated from Spain’s top flight, along with Barcelona and Real Madrid, while they consistently finish in the top half of the table.

Last season was actually their best performance for over a decade, as they finished in a very creditable 4th place, which qualified them for the lucrative Champions League.

Ownership

Athletic are one of only four professional football clubs that is owned and operated by its members, the others being Barcelona, Real Madrid and Osasuna. Every other club in La Liga operates as a corporation.

As at 30 June 2024, they had an impressive 43,649 members.

Profit/(Loss) 2023/24

The most recent available accounts are for the 2023/24 season, when Athletic finished 5th in La Liga, thus qualifying for the Europa League, while they also memorably won the Copa del Rey, beating Mallorca on penalties in the final.

Athletic broke-even in 2023/24, as was the case in the previous season, though this disguises an important factor, namely the release of provisions to avoid the club posting a loss. This contributed €14.2m, though it was down from the prior year’s €21.5m “balancing figure”.

Revenue rose by €11.7m (10%) from €112.8m to €124.5m, though other operating income fell €3.1m (38%) from €8.2m to €5.1m. Profit from player sales also increased from just €0.7m to €6.6m. This growth was partially offset by higher operating expenses, which were up €7.2m (5%) from €142.7m to €149.9m.

In terms of revenue growth, commercial was the star of the show, rising €7.0m (42%) from €16.8m to €23.8m, though there was also a good result in match day, which increased by €3.9m (14%) from €28.8m to €32.7m. Broadcasting was up €0.8m (1%) from €67.2m to €68.0m.

Wages rose €13.9m (14%) from €98.9m to a club record €112.8m, but player amortisation significantly reduced by around three-quarters from €12.1m to just €2.9m. Depreciation was also down €0.6m (13%) from €4.9m to €4.3m, though other expenses climbed €3.1m (11%) from €26.8m to €29.9m.

Reported Profit/(Loss)

Unlike many other leagues, the majority of the clubs in La Liga reported profits in their latest accounts, though 13 of them only generated a gain of €5m or less. The only club that made a larger profit was Real Madrid with €20m. In other words, Athletic were pretty much in line with most clubs in the league, as they broke-even.