Third half: analysis of the financial performance of the largest sports clubs in the world and application of standard index techniques and solvency model

Abstract

Objective: Analyze the economic and financial performance of football clubs with the twenty largest revenues in the world and apply the analysis techniques of the financial statements of standard index and solvency model.
Method: In a descriptive manner, with a quantitative approach and, from the point of view of technical procedures, such as a bibliographic and documentary research, the liquidity, indebtedness and profitability indicators were applied to the financial statements of the twenty clubs with the highest worldwide revenues. For the construction of the standard index, the indicators were distributed in the percentile percentile class, showing the result and interpretation for each club.
Originality / Relevance: The relevance of the research is based on the need to align sporting and financial performance, valuing responsible, transparent and professional management that uses management techniques and strategies in the capture, application and administration of financial resources, in addition to serve as a parameter for evaluating the performance of other sports entities.
Results: In general, it is noteworthy that the clubs presented liquidity levels below that recommended by the academic literature, financing of their activities, mostly, with third party capital and a higher proportion of debts in the short term. Regarding profitability, even though they are clubs with a large revenue collection, only a small part of this turned into profit, demonstrating a large structure of costs and expenses.
Theoretical contributions: Based on the identified gaps, this research contributes to highlight the importance of professional management in sports clubs, emphasizing that financial performance is correlated with the results achieved in sports.