Adidas has confirmed an extension of a partnership with Real Madrid until the end of the 2019-20 season in an agreement that prolongs one of the most lucrative kit deals in world football, reports SportBusiness. Madrid made the announcement as it published its annual report to members on Wednesday, ahead of Sunday's ordinary and extraordinary general assembly.
The new deal with Adidas is reportedly worth Eur32 million per year. When contacted by SportBusiness Newslines, an Adidas spokeswoman confirmed the extension adding that an official announcement will be made in "due course".
Real's annual report signed off on the club's financial results for the 2011-12 year, which were published earlier this month. Real revealed revenues of Eur514 million for 2011-12 - a figure the club claims is a record for any sports team.
Real's revenues for the 2011-12 campaign, in which it beat arch rival FC Barcelona to the league title, represent a 7% rise on last season's generation of Eur480.2 million.
The club said its net debt fell by 26.5% to Eur124.7 million, but it also reported a 23.3% fall in its yearly profits.
Real's net profit saw a significant 31.7% rise year-on-year to Eur31.6 million in 2010-11, but this has now dropped back to Eur24.2 million.