December 17 – Sao Paulo giants Palmeiras have projected a profit of €1.6 million for the 2021 season, but will suffer heavy losses in 2020 because of the coronavirus pandemic.
The club qualified for the last four of the Copa Libertadores, the South American equivalent of the Champions League, after overcoming Libertad 4-1 on aggregate and sit fourth in the Brazilian league table, but those results will not prevent major financial losses this year with Palmeiras announcing a deficit of €21.7 million so far.
Brazilian football went into shutdown in the spring because of the coronavirus and resumed in August behind closed doors, with clubs losing crucial matchday revenues.
Even so, Palmeiras project a revenue of €97.5 million (607 million Reais) for 2021 and a small surplus. The club forecasts that fans will return to stadiums in July and be allowed to fill a third of capacity. Those positive financial projections however require a solid showing from the team on the pitch as well as substantial revenue from outgoing transfers. The club is banking on generating €13 million from player sales.
Off the field, Palmeiras have sponsorship deals with Puma, Crefisa and FAM that should allow the club to maintain a position of financial stability.
On Sunday, the Sao Paulo club is back in action in the Brazilian top flight when they meet Internacional from Porto Alegre.
Contact the writer of this story, Samindra Kunti, at moc.l1713517143labto1713517143ofdlr1713517143owedi1713517143sni@o1713517143fni1713517143