Recently, partial information was released in the press, which distorts Flamengo's real financial situation.

This information only considers part of the numbers, without offering a broad and accurate view of the club's financial scenario, which is currently at its best moment in history, with unquestionable solidity and financial health.

We clarify below:

1. Investments vs. Financial Obligations

It is important to highlight that Flamengo's current management has eliminated the club's bank debt, making the cash flow positive and eliminating financial expenses with interest on loans.

We must also not forget that, even with the purchase of the land in cash and the heavy investments in athletes, the club's cash flow remained positive at R$45 million.

The club's plan was to not sell any of its key players and maintain a robust investment strategy in equity and assets, as approved by the Deliberative Council, regarding the stadium. This does not represent any bank debt or tax liabilities.

It is reckless to analyze the numbers while ignoring the investment made by order of the Council in the purchase of the land for our long-awaited stadium, in order to try to push a false narrative that Flamengo is being irresponsible with its accounts.

Flamengo's cash flow, obligations to pay, and cash flow are completely within its financial capacity.


2. Cash Replenishment

A significant portion of the investment, worth R$150 million, will be quickly recouped through the future sale of reserved seats in the new stadium. This sales process will begin after the conclusion of the elections, respecting the transition and avoiding actions before the election results. It is important to emphasize that the continuity of the stadium project will depend on the next president continuing the efforts undertaken by the current administration.

3. Asset Evolution and Liquidity

The club's assets have appreciated significantly over the years, surpassing historical indicators. The current cash balance is still much higher than it was in December 2018, when we took over the club, which had only R$8 million. Today, even after strategic investments, the cash balance stands at over R$45 million.

4. Cast Appreciation

Since 2018, the estimated value of the red-and-black squad has increased from R$178 million to R$469 million in December 2023, and currently exceeds R$650 million. This demonstrates a clear appreciation of our sports assets, the result of management focused on excellence and team competitiveness.

In early 2024, Flamengo made strategic signings such as Léo Ortiz, Matias Viña, and Nicolás de La Cruz, with upfront payments totaling R$115 million. In the second transfer window, we strengthened our squad with Carlos Alcaraz, Alex Sandro, Gonzalo Plata, and Michael, investing an additional R$191 million. In total, R$306 million was allocated to acquiring new players and paying off installments from previous acquisitions, reinforcing our market leadership.

5. Expansion of Assets

In addition to investing in the squad, Flamengo also allocated significant resources to expanding its assets, including acquiring land to expand its training center, improving its headquarters, and purchasing land for a new stadium, totaling R$147 million. The club's total assets jumped from R$368 million in December 2018 to R$1,078 billion in September 2024.

With a robust heritage, a top-notch squad, solid management of Maracanã, and substantial commercial contracts already signed for the coming years, Flamengo is poised for a promising 2025, offering a solid foundation to continue its growth trajectory.