MANAGEMENT REPORT Overall assessment of expected performance The COVID-19 crisis continues to overshadow the economic planning for some time to come. economic activities of German companies, forcing Borussia Dortmund will persevere through these them to confront the major challenge of having to still difficult times thanks to the economically sound operate in a highly uncertain environment. Borussia foundation it has built up and the specific Dortmund also expects to face significant economic countermeasures it has taken. There is a high restrictions in the coming period. Even if infection forecasting risk stemming from the strong rates in Germany are currently at a stable low level dependence on political decisions and the further and progress is being made in the vaccination course of the COVID-19 pandemic. Thus, any campaign, there remains an ever-present risk that statements regarding the future performance of infections will flare up and tougher restrictions will the Company remain subject to a high degree of be imposed to control them. This will shape uncertainty. EXPECTED RESULTS OF OPERATIONS Expected earnings trend Despite the economic uncertainties and a more The ongoing COVID-19 pandemic continues to pose subdued transfer market, Borussia Dortmund major challenges for Germany and the world. The expects there to be some very lucrative transfer number one priority is containing the spread of the deals in the offing, setting up net transfer income COVID-19 virus in all facets of life. Professional as a significant earnings driver. football must also play its part in overcoming the The club traditionally pursues a more conservative crisis. Borussia Dortmund GmbH & Co. KGaA also approach when factoring success on the pitch and remains heavily affected. Therefore, the expectation any associated earnings contributions into the is of further severe adverse effects on the earnings forecast. trend in financial year 2021/2022. In light of the high degree of uncertainty related to The projection is that matches will be played to all sales categories, the management currently limited spectator numbers in the first half of the expects to generate a net loss of between EUR new season, with the second half seeing a return 14,000 thousand and EUR 19,000 thousand in the to full capacity. As a result of the measures to coming 2021/2022 financial year. contain the pandemic, only a limited number of tickets will initially be made available per match, In this planning scenario, the result from operating which will continue to weigh heavily on income from activities (EBIT) will exceed the forecast net loss for match operations and public catering. the year by the financial result and tax expense of 81