Revenue up sharply, rising €41.3m or 182%,
largely as a result of the club's participation in the Champions League
Very active summer 2015 transfer window
Revenue from sale of player registrations up a robust €22m
2015/16 will be a pivotal year in the Group's business development
Olympique Lyonnais Park targeted to open on 9 January 2016(1); new stadium operation will begin and will open the door to a new business model
Lyon, 6 November 2015
In the first quarter of 2015/16, all revenue items posted strong growth. Revenue excluding player trading doubled to €37.9 million, vs. €18.6 million in Q1 2014/15 (up €19.3 million).
During the quarter, OL Groupe reaped the full benefit of the club's return to the Champions League, which generated direct revenue of approximately €19 million, up more than €17 million from Q1 2014/15.
Revenue from the sale of player registrations also rose sharply to €26.2 million, vs. €4.2 million in Q1 2014/15, an increase of €22.0 million. This was the result of a very active summer transfer window in 2015.
Total revenue was €64.1 million, up €41.3 million or 182%.
On the sporting side, Olympique Lyonnais was in eighth place in the French Ligue 1 as of 30 September 2015 (10th place as of 30 September 2014) and is playing in the group stage of the Champions League.
The target date for opening the new stadium is now less than 90 days away.
|In € m||Q1 2015/16||Q1 2014/15||Chg. in €m||% chg.|
|Sponsoring - Advertising||4.9||4.4||0.5||+11%|
|Media and marketing rights||26.3||9.1||17.2||+188%|
|Revenue, excluding player trading||37.9||18.6||19.3||+104%|
|Revenue from the sale of player registrations||26.2||4.2||22.0||+531%|
*figures are preliminary, estimated and unaudited
(1) Date to be confirmed on 22 November 2015
1/ Revenue excluding player trading up €19.3 million
- Ticketing revenue totalled €3.2 million, up €1.3 million (66%) from Q1 2014/15. It reflected a significant rise in Ligue 1 revenue (up €0.3 million) and revenue from the club's participation in the Champions League this season (€1.0 million).
- Revenue from sponsoring and advertising advanced €0.5 million to €4.9 million (up 11%), demonstrating the continuing trust OL's sponsors place in the club.
- Media and marketing rights (LFP, FFF, UEFA) fully reflected the club's return to the Champions League. They totalled €26.3 million in Q1 2015/16, vs. €9.1 million in Q1 2014/15, a prodigious rise of €17.2 million (188%), including a €16.3 million rise in European media rights.
- Brand-related revenue totalled €3.5 million, vs. €3.2 million in Q1 2014/15, despite the change in scope resulting from the 30 June 2015 sale of the M2A subsidiary. Brand-related revenue rose 12% during the quarter, boosted in particular by merchandising revenue, which rose 42%.
Revenue from the club's participation in the group stage of the Champions League will be fully recognised in the first half of the FINANCIAL year. Recognition of any additional revenue from second-half participation in European cup play will depend on the sporting results of the group stage.
2) Revenue from the sale of player registrations up €22.0 million
As part of last summer's very active trading window, OL Groupe has transferred out five players since the beginning of the season, including Clinton Njie to Tottenham for €13.0 million (excl. incentives) and benefited from the earn-out clause on Anthony Martial's transfer from AS Monaco to Manchester United. OL is already certain to receive €8.0 million in revenue from this transaction.
Overall, including incentives and earn-outs on future transfers, revenue from the transfer of player registrations totalled €26.2 million, vs. €4.2 million in Q1 2014/15. As the transferred players all came from the OL Academy, the revenue earned was composed entirely of capital gains and testified to the effectiveness of the strategy to capitalise on the OL Academy.
As of 30 September 2015, the professional TEAM included 35 players, of which 32 were internationals and 18 were trained at the OL Academy.
3) Sporting results
As of today, OL is in second place in the French Ligue 1 after 12 matchdays (third place after 12 matchdays in the 2014/15 season). In the Champions Lee, after four of the six matches to be played in the group stage, OL was in fourth place in its group.
The women's team is in first place in its championship and has qualified for the UEFA Women's Champions League round of 16. The OL women will face Atletico Madrid on 11 and 18 November 2015.
4/ Delivery of the new stadium in January 2016 makes 2015/16 a pivotal year
Work on the new stadium is proceeding rapidly, with more than 150 companies and 1,200 people actively aiming to meet the provisional delivery date, which has been brought forward to 6 January 2016. The date will be confirmed by 22 November 2015.
The 2015/16 financial year will be a landmark in OL's history and development, with the emergence next January of a new business model correlated to operation of the new stadium. This new business model should, over time, enable OL to equal the economic performance of other major European clubs that own their own stadium and thus benefit from all related revenue streams.
The current financial year will also reflect the revenue deriving from participation in the Champions League, which will have a major impact on H1 2015/16 earnings. The revenue increase expected from the new stadium, the initial Euro 2016 matches and planned player trading all point to a significant increase in the Group's revenue.
For the years to come, the Group will focus on operating the new stadium, to minimise the economic impact of sporting uncertainty, and on pursuing its strategy to train and capitalise on young, talented players from the Academy. These two priorities will underlie the Group's strategy to achieve stable, long-term growth and increase the recurrent nature of its revenue.
The Annual Shareholders' Meeting will be held on 15 December 2015 at 11.00 am.
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