Arsenal secured the Premiership title last week and guarantees them a massive financial windfall that should see them surpass Manchester City's record breaking 2023/24 £715 million or $960 million season. This has been very much a long term project when Artetta joined Arsenal in December 2019 so nearly 7 years in the making.
You would expect winning trophies would equate to big bucks and I honestly expected winning the Premier League to be worth far more than it actually offers when comparing against those coming second or third.
The Premier League title is going to net the club approximately £198.7 million made up of the base fee of £97 million for every team in the Premier League ,£53 million for winning the title plus the broadcast fees broken down by how many live matches were televised. The table above shows that if you are in the top 4 or 5 contesting for the title is that you receive more live television broadcasts which boosts your merit payments.
The commercial revenue via sponsorships with the main ones being Emirates and Adidas add an additional £290 million per annum and gate matchday revenue another £165 million. The club is also still in the Champions League playing the final against Paris St Germain. Arsenal have already earned £120 million by reaching the final and will earn an additional £4 million if they win this show piece.
The earnings do not include bonuses via sponsors for winning the league and if they win the Champions League. Winning these trophies does trigger bonuses which are not publicly available, but one can presume these are worth tens of millions.
This even though will turn out to be a bumper year for Arsenal may see them still register a loss after having been busy in the last transfer window and having renegotiated players contracts. Players are also in line for bonuses for winning the Premier League at roughly £6K per match and £125K if they win the Champions League.
This is not necessarily about making profit, but more about covering costs like debt repayments and growing the Arsenal brand in monetary value. Back in 2023-24 Forbes valued the club at $3.4 billion and now having won the league after a 22 year drought the value is expected to surpass $4 billion. The increased revenues has boosted the overall club value. This is good news for the owners who purchased the club for around £1.8 billion when 30% shares were bought for £550 million. This is roughly a 70% increase in return of investment over 8 years and why if the club runs at a small loss is not the end of the world. Sounds totally absurd really and why the wages of the players are not really in sync with the rest of football. The players are highly overpaid and clubs having a wage cap enforced on them will be good for the sport which happens this season.
Over the Premier League winning season Arsenal secured another 25 additional sponsorship deals which will only become more lucrative if the club can continue winning trophies. Another side effect is the player squad value has also risen with the players now having a Premier League title on their resume.
As Premier League winners and possibly the Champions League the club can charge more for tickets next season as the fan base will be growing globally. Demand for home games will increase and could see revenues rise by an additional 10%. The club can not rest on their laurels and will need to continue to purchase top end players for next season trying to ensure this success is not a once off.