On Monday, AC Milan announced their first annual profit since 2006, with their 2022/23 season accounts showing a surplus of 6.1 million euros ($6.5 million). This marked a significant turnaround for the seven-time European champions, who had previously reported a loss of 66.5 million euros in the preceding 12-month period.
The club attributed their return to profitability to a 36% increase in revenues, reaching a club-record figure of 404.5 million euros. This remarkable revenue surge was achieved through a 44.4 million-euro boost in earnings from commercial and sponsorship activities, a 41.8 million-euro rise in media rights income, primarily due to a successful run to the Champions League semi-finals, and a 40.3 million-euro increase in matchday revenues.
In stark contrast, AC Milan’s financial performance stands in stark contrast to that of their major rivals, Inter Milan and Juventus, both of whom continue to incur losses. Juventus, for instance, has not posted a net profit since the 2016/17 season and reported a loss of 124 million euros in the last season. They have sought 900 million euros in capital increases from shareholders over the past four years to address their financial difficulties.
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Similarly, Inter Milan, despite reaching the Champions League final, recorded a loss of 85 million euros in the last season. Their Chinese owners, Suning, have to repay an almost 300 million-euro loan from the investment fund Oaktree Capital, taken out in May 2021. This loan, along with reported interest of 10%, must be repaid in full by May; otherwise, Inter could potentially be acquired by Oaktree, much like how fund Elliott assumed control of AC Milan from Chinese businessman Li Yonghong in 2018.
The 2022/23 financial accounts of AC Milan mark the first under the ownership of RedBird, who acquired the club from the rival US group Elliott in August of the previous year.