Given Juve’s economical climate, there is no need to sell Pogba…Yet.
The Bianconeri have two more years to give Gianluigi Buffon his Champions League title. After several defeats in the finale of Europe’s most elite club event, Juventus are now running out of time to give their captain the taste of club glory that would complete his résumé.
This summer, we’ve seen Juventus acquire Miralem Pjanic from Roma and Dani Alves from Barcelona. Two major signings with one intention in mind, win the Champions League. In recent weeks, we’ve all seen the Pogba to Manchester United updates flash across our screens, most of the time, just tabloid-esque speculation.
But that’s only on the field side of the story. The fascinating story is how Juventus have revamped the club into a financial powerhouse. Andrea Agnelli has completely overhauled the business side of Juventus while constructing a side that has won 5-straight Serie A titles. The private ownership of their stadium has given a massive economical boost as well, and for the first time in years, Juventus turned a profit in 2014-15.
Let’s take a step back, in 2010-2011 the club finished 7th place while simultaneously suffering a monumental €95 million loss in their accounts. Considering how bleak their prospects were at the time, it is simply incredible how they transformed from being a dead giant to a roaring superpower in a matter of a few season.
In a report published by the Swiss Ramble, it becomes rapidly apparent how dire the situation was in 2011 and how miraculous the club has turned things around.
The club’s revenue has drastically increased over the years, a 67% increase from 2008-2014. Most notably the increase in matchday revenue proportionally to years past. The spikes in revenue are crucial when it comes to assessing the financial state of the club.
Serie A in recent times has become a farm league for some of Europe’s biggest teams. While this data may be a few years old, the principle remains the same. Juventus’ larger income allows the club to resist higher bids from clubs. While other teams may cash in on their most promising players, the Italian champions have the financial strength to resist even the highest of offers. That’s impressive to say, because judging by this chart, Juventus could see a 20% increase in revenue alone if they were to sell Pogba for €120 million.
Another example of Juventus’ financial resuscitation comes from the Deloitte’s Football Money League. Despite there being numerous English and Spanish sides in front of Juve, they still were able to reach the top 10 in the world. Again, this comes less than 5 years after the club suffered nearly €100 million in losses.
From a financial point of view, you could draw the comparison of a hospital patient going from being on life support to playing a full 90 minutes of football in just a few weeks. All while winning 5 Scudetti in a row.
Back to the Pogba case – The question should not be how financially mighty Manchester United are. There’s no question about that, they are a top 3 powerhouse in world football when it comes to their economic situation. But the Juventus model goes to show that when you plan, restructure and show fiscal responsibility you can build a side that can afford to decline even the most lucrative bids.
For an illustration, Manchester United earns around €200 million more per annum than Juventus. This is precluding the Adidas sponsorship which came into effect last season, which means by now the Red Devil’s earn an even higher amount. But as a reminder, this still does not mean Juventus are not any less financial sound.
On the other side of the coin, it’s important to remember where the two club will be on the field next season. Juventus can earn a much larger amount in Europe than Manchester United due to the English failing to qualify for the Champions League. The contrast of those who play in the Champions League or the Europa League is staggering. The continual qualification to the Champions League has insured Juve financial might in Italy, but for the first time in the modern era, we’re seeing a side in Italy that is strong enough to stand strong against the Premier League money.
Even if Pogba were to be sold, it’s unquestionable that the work Agnelli and his team have done will keep Juventus as European giants for years to come. The progress made in the past few years is unparalleled both on and off the pitch.