Celtic F.C. are set to feel the financial impact of their Europa League exit, with their prize money falling to less than half of what a comparable run in the Champions League would have generated.
The Hoops bowed out of Europe despite a 1-0 victory over VfB Stuttgart on Thursday, having lost the first leg 4-1 the week before. While a drop in earnings was always expected given the vast financial gap between the two competitions, finance expert Adam Williams has warned the shortfall is significant.
According to Williams, Celtic are projected to earn under 50 per cent of the £40 million they banked from European competition last season. Matchday revenue, including ticket sales, is estimated to have lifted this season’s total to around £25 million.
By comparison, last term’s combined income was closer to £60 million, highlighting a sharp decline that the club will now need to factor into future planning.
“In terms of pure revenue, you’re looking at £25 million,” Williams explained. “In the Champions League, it’s double that, even in a really bad year. And it could be significantly higher still. Scotland will also only have one Champions League place going forward. So, unless the coefficient improves, there is a danger of huge revenue shocks from season to season.
“Celtic have ample cash reserves to be able to ride that out, but it will affect the budget.”
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