Flamengo Faces $63.6 Million Revenue Hit From Brazil’s Betting Ban

Flamengo could lose R$334.5 million, approximately $63.6 million, in recurring revenue following Brazil’s betting ban, according to an analysis by economist Cesar Grafietti commissioned by UOL. Corinthians and Palmeiras face the next-largest projected reductions among the clubs examined.

The figures model the removal of betting sponsorships and stadium advertising income. They represent potential revenue losses, rather than amounts already recorded in the clubs’ financial statements. 

Three Clubs Face the Largest Exposure

Under the full-impact scenario, Flamengo’s recurring revenue would fall by 26%, from approximately R$1.3 billion to R$967.2 million.

Corinthians would lose R$198 million, approximately $37.6 million, reducing recurring revenue from R$879.4 million to R$681.4 million, a decline of 23%. Palmeiras faces a R$163 million reduction, taking revenue from R$733 million to R$570 million, down 22%.

Grafietti’s calculations draw on his Relatório Convocados, published in May, and cover the ten Série A clubs with the largest betting sponsorship agreements. The analysis focuses on predictable, recurring income, excluding player transfers and prize money from the 2025 FIFA Club World Cup. 

Shorter Ban Would Reduce the Impact

The study also considers a scenario in which the prohibition applies only from October through December 2026, with Congress overturning the provisional measure.

In that case, Flamengo, Corinthians and Palmeiras would each lose approximately 6% of their annual recurring revenue. The corresponding reductions would be 5% for Vasco da Gama and São Paulo, 4% for Botafogo, Atlético Mineiro and Fluminense, 3% for Santos and 2% for Cruzeiro.

Those smaller percentages belong to the temporary-ban scenario and should be distinguished from the full-impact estimates for the three most exposed clubs. 

Clubs Explore Replacement Sponsors

Clubs are pursuing temporary commercial arrangements while awaiting clarity on the prohibition. Fluminense and São Paulo have turned to sports statistics applications for shirt advertising, while Santos and Corinthians have sought short-term sponsorship deals.

Grafietti said clubs were unprepared for such an abrupt removal of income, warning that businesses could not absorb losses of this scale without consequences.

Replacing the money could prove difficult even where replacement sponsors are available. Fábio Wolff, managing partner at sports marketing agency Wolff Sports, told UOL that betting companies had invested at levels unmatched by other sectors in Brazilian football. His assessment suggests that securing new commercial partners would not necessarily restore the value of the agreements clubs stand to lose.