Perez's quick action saved Real Madrid from financial crisis despite drop in income

Perez's quick action saved Real Madrid from financial crisis despite drop in income

According to AS, Florentino Perez's swift action during the Covid-19 pandemic has helped Real Madrid stay financially stable despite a significant drop in income from ticket revenue.

With games being held behind closed doors, Los Blancos have missed out on a huge chunk of their earnings. However, AS notes that the decision to hand out pay-cuts while focusing on a transfer clear-out has been beneficial.

Currently, Madrid spend as much as €456m in salaries for over 800 workers, leading to an Efficiency Ratio (cost of wage bills when compared to total operating income) of 55% - which is recommended to stay below 70%.

The Whites have also registered the highest score in the Football Club Transparency Index - which is yet another win for Perez and the rest of the board. Follow us on Google newsTwitter and on Facebook
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