Atlético-MG released, this Friday, for the first time in the club’s history, the financial statements for the first half of 2021. According to the figures presented, the debt decreased in the short term, alleviating the club’s cash flow, but , globally, jumped from R$1.2 billion (presented in the last balance sheet) to BRL 1.37 billion.
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The numbers refer to the months of January to June 2021. According to the balance presented, current liabilities (ie, short-term debt) decreased by BRL 120 million (20%) compared to the end of last year – from BRL 608 million to BRL 487 million.
Facade of Atlético-MG headquarters — Photo: Twitter Atlético-MG
Non-current liabilities (long-term) jumped from BRL 713.6 million to BRL 862.8 million, representing an increase of the same 20% of reduction in the short term. This is mainly due to the action of the club’s patrons (4 R’s), who have lent money to pay off these short-term debts.
Only in the first half of 2021, for example, Galo celebrated the fact of having reduced the debt in shares at FIFA by 90%. With the agreements and amortizations made, the amount, which was BRL 70 million, dropped to just BRL 7 million.
Also according to the numbers, the club’s current net worth also grew compared to the end of last year. Total assets (shareholdings, investment properties, real estate, etc.) are valued at R$ 1.45 billion, that is, greater than the global debt.
Atlético-MG balance sheet in the 1st half of 2021 — Photo: Atlético
In the balance between costs and revenues for the first half, Atlético reported having a surplus of R$ 49.2 million. The value, however, is inflated by items of merely accounting importance, with no cash effect (property income), and income referring to the year 2020, such as the 2020 Brasileirão TV awards and rights (R$39.4 million).
Thus (counting the prize amount, but discarding the equity income) R$ 147.8 million entered the club’s cash in the 1st half of 2021, an amount that represents an increase of 105% over the same period in 2020 (R$ 72.1 million). This includes revenues from professional football (R$144 million) and social clubs (R$3.5 million).
Atlético-MG Income Statement in the 1st half of 2021 — Photo: Atlético
The club also accounts for another R$ 85.7 million as a result of financial income (not related to football), which do not necessarily represent cash flow. There are no values related to sales of athletes, since sales made in 2021 (Marrony and Gabriel) all took place in the second half.
Atlético also informed that the amounts collected from the sales of Manto da Massa, equivalent to R$ 26 million, will only be included in the balance sheet for the 2nd semester, due to the sales date.
In the balance of costs, Galo reported having spent BRL 65 million on the purchase of economic rights (hiring), BRL 137.6 million with professional football, BRL 3.7 million with social clubs and BRL 6. 2 million with travel. In total, the costs for the first half were R$ 213 million.
Soccer cost grows almost 40% in one year
In the first six months of 2021, Atlético had costs with professional football of R$137.6 million, number that represents one an increase of almost 40% over the same period in 2020, when the expense was R$ 68.1 million. The amount, however, is lower compared to the expense at the end of last year, when Atlético reported a cost in excess of R$ 150 million.
Nacho and Hulk were Atlético’s main signings in the 1st half of 2021 — Photo: Pedro Souza
During the first semester, Hulk, Dodô, Nacho Fernández and Tchê Tchê arrived. of these, only Nacho represented expenses with the acquisition of economic rights (R$ 58 million), since the others were free in the market (Hulk and Dodô) or are borrowed (Tchê Tchê).
On average, until June 2021, the club had spent around R$ 22.9 million per month with the department, and it is important to note that the numbers do not include the arrival of striker Diego Costa or the departures of Gabriel and Marrony, the two main sales in the year. That’s because all the moves took place after the month of July.
According to Atlético’s estimate, the current squad is valued at R$ 930 million, a figure that represents an increase of 48% compared to the December estimate (R$ 630 million).