German sportswear company Adidas has announced an extension to its deal with Spanish soccer giants Real Madrid, which will see it continue as the club’s official kit supplier until the end of the 2027/28 season.
Financial details of the extension were not disclosed, but it has been previously reported Real will pocket a guaranteed €1.1 billion (US$1.2 billion) over the duration of the deal, making it the most lucrative kit deal in soccer history.
Factoring in merchandising, it means the La Liga club could reportedly earn as much as €152 million (US$169 million) per year, a substantial increase on the estimated €35 million (US$39 million) per year through their existing deal with Adidas, which ran until 2020.
The new figures put Los Blancos well ahead of arch-rivals Barcelona, who earn a reported €85 million (US$95 million) per year from Nike.
The extension comes as Adidas faces fierce competition in the soccer sponsorship market. Nike is in talks with Liverpool over a new kit deal that could eclipse Manchester United’s UK£750 million (US$974 million) partnership with Adidas, with the US sportswear company close to extending its partnership with Paris Saint-Germain, potentially tripling their deal to €75 million (US$83 million) a season. Puma have also upped the ante, agreeing a ten-year UK£650 million (US$844 million) partnership with Premier League champions Manchester City.
Kasper Rørsted, Adidas chief executive, said: “This agreement will help us to achieve our mission to be the best sports company in the world. It also underpins Adidas’ leadership in the football category.”
The renewed kit deal comes as Real Madrid near the end of a disappointing season. Guaranteed to end the campaign trophyless, a major player overhaul has been mooted as the club looks to challenge for silverware once more.
The kit deal runs through 2028 and represents the most lucrative in soccer history.
German sportswear company Adidas has announced an extension to its deal with Spanish soccer giants Real Madrid, which will see it continue as the club’s official kit supplier until the end of the 2027/28 season.
Financial details of the extension were not disclosed, but it has been previously reported Real will pocket a guaranteed €1.1 billion (US$1.2 billion) over the duration of the deal, making it the most lucrative kit deal in soccer history.
Factoring in merchandising, it means the La Liga club could reportedly earn as much as €152 million (US$169 million) per year, a substantial increase on the estimated €35 million (US$39 million) per year through their existing deal with Adidas, which ran until 2020.
The new figures put Los Blancos well ahead of arch-rivals Barcelona, who earn a reported €85 million (US$95 million) per year from Nike.
The extension comes as Adidas faces fierce competition in the soccer sponsorship market. Nike is in talks with Liverpool over a new kit deal that could eclipse Manchester United’s UK£750 million (US$974 million) partnership with Adidas, with the US sportswear company close to extending its partnership with Paris Saint-Germain, potentially tripling their deal to €75 million (US$83 million) a season. Puma have also upped the ante, agreeing a ten-year UK£650 million (US$844 million) partnership with Premier League champions Manchester City.
Kasper Rørsted, Adidas chief executive, said: “This agreement will help us to achieve our mission to be the best sports company in the world. It also underpins Adidas’ leadership in the football category.”
The renewed kit deal comes as Real Madrid near the end of a disappointing season. Guaranteed to end the campaign trophyless, a major player overhaul has been mooted as the club looks to challenge for silverware once more.
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