Schalke 04 threatened with points deduction – the club pushes for TV rights reform

Schalke 04 are threatened with a three-point deduction at the start of the season and could continuously do so due to their negative equity, reports Kicker. As a result, the club is once again pushing for a fairer distribution of the TV rights money from the Bundesliga. 

Why is Schalke’s Equity an Issue?

Schalke 04 are the only team in the Bundesliga to have negative equity, which also comes in at a staggering €100m. Negative equity occurs when you owe more on a loan than your asset (in this case, the club)  is currently worth.

The Bundesliga’s equity capital requirements mean that Schalke are threatened with a three-point deduction, and this could be the case each season they’re in the top flight. Those in charge at S04 already know that they can’t achieve the required improvement in equity capital (10% each year) by 2027 through their current ongoing operations. 

Much of Schalke’s hopes in turning around their financial issues relies on their cooperative scheme, whereby members invest money into shares

“The cooperative is our answer to the problem of negative equity,” says CEO Matthias Tillmann.

So far, the club have raised €8m with the ultimate goal of €50m. Currently, just 9,00 people have invested in shares, with the club continuing to promote the cooperative at sales pitches throughout Germany. 

TV Rights Reform

Meanwhile, Schalke continues to bang the drum of fairer TV rights distribution in the Bundesliga. As things stand, the money generated from TV deals relies heavily on sporting success. 

For the 2026/27 season, Schalke is estimated to receive around €36m in TV revenue. This is reportedly €9m less than in the club’s most recent Bundesliga season back in 2022/23. The club believes that the money should be shared based on a club’s attractiveness to those watching around the world. 

“We contribute to the attractiveness of the Bundesliga,” Tillmann explained. He announced that he would not let up on the issue in the coming years, proclaiming that “We will not accept this.”

Schalke are one of the biggest clubs in Germany with a lot of members. The club announced during their general meeting that in 2025/26, S04 had the tenth highest average attendance in Europe with 61,904 spectators. With the interest in the club and its big fan base, Schalke believe they’re being unfairly treated when it comes to TV revenue. Whether any reforms will take place in the coming years remains to be seen. 

GGFN | Jamie Allen