Santos deficit 62% above budget as debt nears R$ 1.2 billion | OneFootball

Santos recorded a second-quarter accounting deficit 62% above budget despite a R$ 35 million rise in revenue, with total debt approaching R$ 1.2 billion.

According to Globo.com, the fiscal council presented the balance to club councillors, with a meeting scheduled for Monday.

Revenue reached R$ 126 million, beating the R$ 91 million forecast. Operating costs were R$ 165 million, with almost R$ 18 million in other expenses, leaving a deficit of R$ 119.6 million.

Total indebtedness exceeds R$ 1.1 billion. The document notes a discrepancy between the board and the fiscal council, which points to R$ 1.2 billion, tied to non-current liabilities.

The club has eight active instalment plans and its Certidão Negativa de Débitos has expired due to unpaid tax instalments.

There were two months of delays in player wages in March and April, and a one-month delay in image rights in May. The board has since regularised these payments.

Player costs are close to R$ 30 million per month. In May, R$ 14.2 million was paid in salaries and R$ 15.1 million in image rights. Some players have left, while five reinforcements have arrived.

Seeking liquidity, the board turned to advances and loans. Short-term borrowings rose to R$ 77.7 million and R$ 20.1 million in receivables was brought forward with MLD Capital. The fiscal council warned that reliance on future income threatens the next quarters.

Source: Globo.com

“Artificial intelligence was used to assist in creating this article based on reporting from the original source quoted.”