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Urawa Reds 2022 Management Information Disclosure

We would like to inform you that the business balance for fiscal 2022 was approved at the Ordinary General Meeting of Shareholders held today.

In the 2022 season, the top team won the FUJIFILM SUPER CUP and advanced to the ACL 2022 finals, but in the J1 League, which set the goal of winning the championship in the third year of the three-year plan, the result was 9th place, far below the target. .
We believe that the reason for this is that the wave of ups and downs has been intense throughout the season, and we have not been able to consistently demonstrate high team performance. It was a season that realized the weight of 1 points in.
Although he scored the 4th most points in the league, due to delays in entering the country and injuries immediately after entering the country, which he acquired with the expectation of being a scorer, the forwards could not be decided throughout the season, resulting in a lack of combinations and decisiveness. We were unable to perform well as a team because of this. Also, although they conceded the fifth fewest goals in the league, they still had mental issues, such as conceding consecutive goals from time to time.
Centering on Tsuchida SD and Nishino TD, while building a team in accordance with the team concept led by the club, there were scenes where we were able to recover by providing feedback to the team on appropriate analysis and evaluation, such as the ACL knockout stage. On the other hand, there were also scenes where the team itself lacked unity, such as the end of the league. In order to get out of this unstable situation, we made various efforts during the season, but in the end, we decided to invite a new manager who is more in line with the team concept that the club aspires to for the 2023 season. I have come to a decision.

Regarding business revenue in FY2022, although admission fee revenue did not grow as expected due to continued restrictions on admission due to the COVID-19 pandemic, there was a year-on-year decrease in revenue due to the impact of the gradual easing of admission restrictions during the season. +813 million yen.
In addition, partner income (including RBC and pre-season match sponsorship) increased by 150 million yen, and product sales (EC and stadium) increased by 278 million yen, etc. Total business revenue in FY2022 is expected to increase by 1,236 million yen. ¥8,127 million.
The combined expenses of business operation expenses and team operation expenses are 6,917 million yen, operating income is 427 million yen, ordinary income is 492 million yen, and net income is 412 million yen.

Admission fee income: A year in which the impact of the corona crisis remained strong despite a recovery trend
In the third year of the corona wreck, various restrictions were imposed on the opening, and after the summer, although there were some restrictions, vocal support was resumed, but the number of visitors did not grow as expected. .
The number of visitors increased compared to the previous year, and although the average number of visitors to home games in the J1 League in the 2022 season was the highest in the league, there were only three games with more than 30,000 visitors. It did not lead to a recovery in numbers.
A total of 451,823 people attended all 19 J.League league matches and cup matches, and ticket revenue was 1,439 million yen (626 million yen in 2021).



Advertisement income: Largest partner sponsorship income ever
In fiscal 2022, although some partners were forced to expire their contracts due to the negative impact of the COVID-19 pandemic on their business, many of our partners continued to support us, and we actively engaged in sales activities to acquire new partners. As a result, partner sponsorship income increased by approximately 150 million yen from FY2021 (3,898 million yen) to 4,048 million yen, the largest ever.

Merchandise income: 3rd highest sales income in the past
Merchandise sales increased significantly to 1,119 million yen (133.1% compared to the previous year) (breakdown: stadium sales 160%, EC 122%, Red Voltage 103%). It was the first time since 2008 that sales exceeded 1,000 million yen, and this is the third highest sales after 2006 (1,253 million yen) and 2007 (1,246 million yen).
Stadium sales gradually increased sales opportunities in conjunction with the easing of admission restrictions, and EC, which had increased sales due to the corona crisis, maintained sales by enhancing commemorative items and player-produced products, resulting in increased income. I was able to



Operating expenses: Operating ACL knockout stages and pre-season matches
As support for the team, the club worked together to manage the ACL knockout stage held in Saitama, earning 25 million in income from management fees, as well as two pre-season matches (against Paris Saint-Germain and Saitama City Cup Frankfurt). ) earned about 165 million yen (of which 15 million yen was from management consignment).
In addition, in the Saitama Stadium designated management business, which aims to improve the hospitality of Saitama Stadium visitors, etc., the designated manager's independent business income is consignment of restaurants, home game construction sales, permanent billboard advertising income, income from independent business events A portion of the proceeds is used to invest in stadiums, such as the purchase of equipment for home games.
In addition, we will use the J.League 2022 club overseas business activity subsidy to dispatch top team young players to Muangthong United Football Club, which belongs to Thai League 1, and a mini tournament for youth teams. We also actively worked on subsidy projects, such as holding the Mitsubishi Heavy Industries Cup with the name of the sponsoring company.

Ordinary Income, Net Income, Retained Earnings and Net Assets
Ordinary income was 492 million yen, and net income was 412 million yen.
In addition, retained earnings amounted to 920 million yen, combined with capital stock of 273 million yen and capital reserve of 113 million yen, net assets amounted to 1,305 million yen, recovering to the pre-coronavirus level.



About club initiatives
Urawa Reds celebrated its 30th anniversary on March 10, 2022.
As a club born in Urawa, the "town of soccer", as a club whose hometown is all of Saitama City, including the Urawa Misono district where Saitama Stadium is located, and above all as a member of society, Urawa Reds' activity philosophy is stated. How will Urawa Reds convey the excitement and joy of soccer and other sports, foster a culture in which sports are part of everyday life, and create a prosperous community and society for the next generation? It has been a year in which all the club staff have reconsidered deeply once again whether to
In 2022, as in the past, we have been working on these issues in a simple and honest manner, but when looking back on 2022, there are several " There have been cases in which disciplinary measures (censure and fines of 20 million yen) have been applied by the J.
We, Urawa Reds, will once again reconsider what we should be and what we should aim for after this incident, and by sincerely facing the future of the region, society, and the children who will lead the next generation, we will strive to prosper in the medium to long term. I would like to work on creating a better community and society.

Based on this idea, the main initiatives for fiscal 2022 are described below.

Redsland activities
As a new business, we started the "Nurture Partner Project", a collaborative project with Urawa Reds Reds Supporters' Association, as well as facility rentals for general users and a school business. In addition, the number of members of the comprehensive regional sports club, which started in 2021, has increased to 74 people in 6 sports in total, and is growing steadily. In addition to developing comprehensive regional sports clubs, Redsland is actively involved in sports other than soccer as an activity that contributes to regional sports culture.

Academy activities
Under the same philosophy as the top team, we are working with concepts and specific target values. Currently, Takahiro Sekine, Atsuki Ito, Takuya Ogiwara, and Zion Suzuki are participating in the top team official matches, and from the 2023 season, Yota Horiuchi has also been promoted from the youth team. However, based on the idea that it is important to raise the level from the academy in order for the top team to continue to fight for the championship, the number of promoted players cannot be said to be large. We will strive to raise the level of the three elements of environment.

Activities of Urawa Red Reds Ladies
Although there have been long-term withdrawals due to injuries to key players, this has also led to opportunities for young players to grow, which has also led to the improvement of the team's strength. Although we failed to win the Empress's Cup in a row, we will aim to win the first title of the WE League Cup before the start of the league and win the WE League for the first time. In addition, the academy strives to develop excellent players while emphasizing character development through sports.
We will aim to be a team that is loved by everyone in the region by widely conveying the appeal of women's football through play so that we can spin the history of women's football in Urawa.

Participation in "Misono Stadium Town Vision 2050"
In the Urawa Misono district, where the Urawa Urawa Reds head office is located, we are promoting urban development from the perspective of "sports, health, environment and energy" under the "Misono Stadium Town Charter" in which Urawa Urawa Reds participates. In March 2022, the Misono Urban Design Council and the Misono Town Management Association formulated and announced the "Misono Stadium Town Vision 2050" as a long-term guideline. With Saitama Stadium at its core, the policy includes “fostering sports and health culture” and “promoting health,” and Urawa Reds is also working as a core participant.

Promoting Saitama Stadium designated management business
The designated management work for Saitama Stadium 2002 Park, which started in 2020, aims to improve the satisfaction of fans and supporters who come to Urawa Reds home games. In addition to renovating "Saitama Yokocho", we held the "Urawa Reds × Bread Festival" and the "Saitama Autumn Festival", which included a puzzle-solving event using the stadium as an independent business event. In addition, at the end of the year, the Mominoki Square was decorated with illuminations at the “Minna no Sai Sta Christmas”, which is held every year under the theme of “a stadium open to the community”.

Concluded a business alliance with Urawa Gakuin High School (Meisei Gakuen)
Urawa Reds and Urawa Gakuin High School (Meisei Gakuen) have signed a business alliance. They share a commonality in that they are based in the Urawa Misono area, and have been conducting "Human Rights Education on Eradication of Discrimination" and watching games for 2,000 students every year. In the future, in addition to existing initiatives, we plan to sequentially implement activities that both parties have agreed to contribute to the local community in areas such as sports, education, and culture.

Expanding the activities of Kono Yubi TomaREDS!
We are expanding the circle of activities of the action program "Kono Yubi TomaREDS!", which started in 2021, to solve local issues, together with more supporters and supporters than ever before. Specific activities for fiscal 2022 include "Heartful Care" (a program that invites families who use children's cafeterias to the stadium to experience Heart-full Soccer and watch matches) and "REDS Santa" (Saitama City In addition to continuing the program to deliver donations collected from cooperating organizations such as Urawa Reds partners to children's cafeterias, mainly in the inner city, we will continue with a new activity in which fans and supporters can participate. In collaboration with the fundraising association, we launched a fundraising campaign for "Kono Yubi TomaREDS! x Red Feather."

“ Urawa Reds Reds Heartful Meeting 2022” held
Urawa Reds Heart-full Club, which continues its efforts to "nurture children's hearts", held the "Urawa Reds Heartful Meeting 2022" with many participants from partners and local governments. This meeting has been held every year with the aim of cultivating deeper mutual understanding as well as reporting on the activities of Heart-full Club Heart-full Club The two meetings were held online, and it was the first time in three years that we had met face-to-face. Heart-full Club, which is in its 20th year, has so far held 10,314 meetings with a total of 1.14 million people through soccer.

Saitama Soccer Festa 2022 held
For the first time in three years, Saitama Soccer Festa 2002 was held, in which two J-League clubs based in Saitama City jointly conveyed the appeal of soccer. In addition to introducing three sports (blind, low vision, and amputee) as a soccer experience for people with disabilities, there was also a plan to compete against current and retired players in walking soccer, and the main event was the OB special match between Urawa Reds and Omiya Ardija Done.

Yuki Abe retirement match
The retirement match of Yuki Abe (current youth coach), who retired from active duty at the end of the 2021 season, was held at Saitama Stadium 2002. The match was between the URAWA ASIAN KINGS, made up of members who won the ACL title, and the JEF・JAPAN FRIENDS, who fought alongside Abe at the Athens Olympics and the Japanese national team, Jeff Chiba, and was watched by 24,714 fans and supporters. Thank you.

Concluded a partnership with Frankfurt and held a business forum
Urawa Reds and Eintracht Frankfurt signed a memorandum of understanding for a club-to-club partnership. The main contents and objectives of this partnership are "international exchange through sports and business", "digital transformation (DX) strategy and stadium management", "collaboration between clubs through content, community, tours, etc."・Efforts to solve social issues” and “Examination of new business opportunities such as exchanges between partner companies and business development”. At the time of the Saitama City Cup, a commemorative press conference on the partnership between clubs, a ceremony, and discussions on SDGs-related initiatives were held. , held panel discussions and exchanged opinions.

Promoting partnership with Muangthong United
Various exchanges were held as part of the partnership with Muangthong United Football Club, which belongs to Thai League 1, which has a club-to-club partnership in 2021.
Heart-full Soccer in Asia 2022 (Bangkok, Thailand) was held in cooperation with Muangthong United at elementary schools in the suburbs of Bangkok, and two Urawa Reds Red Diamonds players trained at Muangthong United with the aim of strengthening the young players of the top team. participate in. In addition, as an exchange between the academies, a joint camp was held with the Muangthong United U-14 youth team, and they participated in the U14 tournament Mitsubishi Heavy Industries Cup held locally and won the championship.

Opened "Partners PLAZA" to connect partners with fans and supporters
We have opened a website on Urawa Reds official website where fans and supporters can purchase partner products. If you purchase partner products, a part of the sales will be donated to Urawa Reds is a new initiative to connect partners, fans and supporters with Urawa Reds.


In fiscal 2023, we will aim to grow and increase income while continuing to reduce costs and carefully examine cost items, as the increase in distributions to strengthen the J.League philosophy will be applied to top clubs.
In particular, various measures that could not be actively implemented due to the impact of the COVID-19 pandemic will be implemented in cooperation with our partners and other Urawa Reds. We will strive to realize a comfortable, hot and packed stadium.

Club balance (unit: million yen)
 20182019202020212022
business income7,5498,2185,7716,8918,127
Entrance fee income1,9232,3004236261,439
Advertising revenue3,2263,8413,7503,8984,048
goods income9549038148411,119
J League distribution (*1)389468400471567
Other (*1)1,0577063841,055954
Operating expenses (*2)7,5408,0826,5396,9907,700
business expenses6,6947,1715,7966,1426,917
business operating expenses2,8353,1802,0832,2932,933
team operating expenses3,8593,9913,7133,8493,984
(Including player/manager/coach fees) (*3)(3,108)(3,228)(3,119)(3,089)(2,853)
General and administrative expenses846911743848783
Operating income9135-768-99427
Ordinary income32139-5992492
net income3962-6122412
  • Amounts are rounded to the nearest million yen.
  • (*1) “Others” includes player transfer-related income, participation fees, performance fees, school membership fees, training (academy)-related income, etc.
  • (*2) The main breakdown of operating expenses is as shown in the reference information on the next page.
  • (*3) Regarding the figures for players, managers, and coaches, only personnel expenses for the top team are calculated for 2022.
    Figures for fiscal 2021 and earlier include training and ladies compensation.
(Reference information) Main breakdown of operating expenses (unit: million yen)
business operating expenses2,933 
stadium management expenses842"Match-related costs [stadium usage fee, security costs, operation and construction costs]", ticket fees, advertising costs, JFA/J League payments, event costs, etc.
Advertising related expenses741Barter transaction equivalent, advertising expenses for Redsland, advertising agency fees, outsourcing expenses, etc.
Merchandise-related expenses and other business expenses1,217Commodity cost, goods operation management fee, REX CLUB activity fee, PR activity fee, etc.
Hometown Related Expenses133Hometown Activity Fee, Heartful Activity Fee
team operating expenses3,984 
Player/manager/coach compensation2,853Total remuneration for top team players and coaches
Top team operating expenses589Transportation-related expenses, facility-related expenses, dormitory-related expenses, agency fees, etc.
Training (academy) operating expenses238Academy instructor remuneration, transportation-related expenses, facility-related expenses, etc.
Ladies' team operating expenses304Women's team player/leader compensation, transportation-related expenses, facility-related expenses, etc.
General and administrative expenses783Labor costs, various rents, outsourcing costs, J-League annual membership fees, etc.
Club property status (unit: million yen)
 20182019202020212022
Total assets3,1803,1412,9952,8753,076
total debt1,6231,5221,9881,8671,771
net worth1,5571,6191,0071,0081,305
Capital/capital reserve386386386386386
  • Amounts are rounded to the nearest million yen.
Club Other Indicators
 20182019202020212022
J1 league annual standings5th place14th place10th6th place9th place
YBC Levain Cup Cup resultsplay off
stage
Quarterfinalgroup
stage
Best 4Best 4
Emperor's Cup resultswinround 16 win3rd Round Lost
AFC Champions League
(ACL) performance
 runner up  (Advance to the final)
FIFA Club World Cup
(FCWC) results
     
J1 league attendance (people)603,534581,135133,780156,636401,489
J1 league average attendance (people)35,50234,1847,8698,24423,617
Number of attendees for sponsored matches (persons)681,585802,786153,369191,398451,823
Average annual income for all J1 clubs
(One million yen)
4,7554,9513,8904,159 
Average ticket revenue for all J1 clubs
(One million yen)
804926324399 
All J1 league clubs
Average number of visitors (people)
19,06420,7515,7966,661 
  • "Number of attendees at sponsored games" is the total number of sponsored games such as J League and cup games.

Urawa Reds 2022 Management Information Disclosure

PARTNERPartner_

  • porus group
  • Nike
  • Mitsubishi Heavy Industries
  • mitsubishi motors
  • Enekle
  • DHL
  • mincub the infonoid
  • Ticket Pia