So the Newcastle United takeover saga has finally reached a conclusion, as the club has been bought by a consortium (with Saudi Arabia's Public Investment Fund owning 80%), but what do the new investors get for their £305m? #NUFC
This #NUFC 10-year overview up to 2020 shows a profitable club. The only losses came in 2017 (after relegation to the Championship) and 2020 (COVID impacted). Relatively low profit from player sales for a club in the Premier League.
#NUFC revenue growth has been driven by central broadcasting deals. In contrast, match day has declined, while there has been virtually no commercial growth in the last few years. As a result, broadcasting accounts for 70% of total revenue.
#NUFC wage bill has been very low by Premier League standards. The 2020 increase was partly due to the accounting period being extended to 13 months. Player values were reduced in 2020 by £11m impairment. Very little interest paid as Ashley's loans are interest-free.
#NUFC financial debt only £108m, almost all owed to Ashley, while transfer debt was cleared. Low transfer spend (just £165m in 10 years). Lowest owner financing in Premier League since 2010. High £63m cash balance is misleading, as it includes advance payment of PL TV money.
Obviously the figures will look a bit different for 2021, as virtually all games were played behind closed doors, but these figures do highlight the #NUFC financial situation.

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More from @SwissRamble

7 Oct
Borussia Dortmund 2020/21 accounts cover a season seriously impacted by COVID, when they finished third in the Bundesliga, won the DFB Cup and reached the Champions League quarter-finals. Head coach Lucien Favre was replaced by Marco Rose for 2021/22. Some thoughts follow #BVB
#BVB pre-tax loss widened from €47m to €73m, as revenue dropped €35m (9%) from €379m to €345m and profit on player sales fell €25m from €40m to €15m, partly offset by cutting operating expenses by €31m and net interest payable decreasing €2m.
#BVB €35m revenue fall was due to COVID driven reductions in match operations, down €32m (98%) to €1m, and commercial, down €21m (12%) to €147m. On the other hand, broadcasting rose €17m (10%) to €187m, mainly Champions League money, while other income was up €1m to €10m
Read 48 tweets
27 Sep
#Juventus 2020/21 accounts cover a COVID impacted season when they finished 4th in Serie A, won the Coppa Italia and were eliminated in the Champions League last 16. Head coach Andrea Pirlo was replaced by Massimiliano Allegri after the season ended. Some thoughts follow.
#Juventus pre-tax loss more than doubled from €82m to €208m (€210m after tax), despite revenue rising €43m (11%) from €407m to €450m, mainly because profit on player sales fell €136m from €167m to €31m. Operating expenses also increased by €37m (6%).
Broadcasting income rose €69m (41%) to €235m, mainly revenue deferred from 2019/20 accounts, though commercial and player loans were also higher, up €9m (5%) to €194m & €7m to €12m respectively. Compensated for COVID driven reductions in match day, down €41m (84%) to €8m.
Read 46 tweets
21 Sep
Manchester United’s 2020/21 accounts cover a season when they finished 2nd in the Premier League and reached the final of the Europa League, having been eliminated at group stage of the Champions League. Financials significantly impacted by COVID-19. Some thoughts follow #MUFC
#MUFC pre-tax loss up from £21m to £24m, as revenue dropped £15m (3%) from £509m to £494m and profit on player sales fell £11m to £7m, while expenses rose £16m (3%). Operational decline offset by interest swinging £39m from £26m payable to £13m recoverable thanks to forex gains.
Net loss after tax rose £69m from 23m to £92m, due to April 2023 increase in corporation tax from 19% to 25%, which meant that #MUFC wrote down the value of a US deferred tax asset, as it is no longer expected to give rise to a future economic benefit. This is a non-cash impact.
Read 47 tweets
6 Sep
Many Liverpool fans are unhappy that their club has not bought more players in this summer’s transfer window. This thread looks at where the money has gone, reviews the #LFC business model under FSG and explains why the approach is less restrained at other clubs.
This summer #LFC only spent £36m on RB Leipzig defender Ibrahim Konaté, by far the lowest of the Big Six. Four clubs splashed out more than £100m:#AFC £149m, #MUFC £126m, #MCFC £115m and #CFC £108m. On a net basis, #LFC £11m was second smallest, as #CFC made £110m sales. Image
Even though #LFC spent £74m the prior season, mainly on Jota, Thiago & Tsimikas, their £110m gross spend in the last two years is still the lowest of the Big Six, far below #CFC £330m, #MCFC £260m, #AFC £226m. #MUFC £201m and #THFC £160m. Liverpool also had the lowest net spend. Image
Read 49 tweets
30 Aug
I have put together a graphical overview covering some key areas of football finance for some leading Italian clubs:
1. Profit & Loss
2. Revenue
3. Expenses
4. Balance Sheet
Each of the 4 pages includes 6 graphs showing the 10-year trends for #Juventus #Inter #Milan #ASRoma
Juventus graphical overview covering some key areas of football finance:
1. Profit & Loss
2. Revenue
3. Expenses
4. Balance Sheet
Each of the 4 pages includes 6 graphs showing the 10-year trend for #Juventus
Inter graphical overview covering some key areas of football finance:
1. Profit & Loss
2. Revenue
3. Expenses
4. Balance Sheet
Each of the 4 pages includes 6 graphs showing the 10-year trend for #Inter
Read 6 tweets
26 Aug
Given the importance of wage bills to the likely success of football clubs, I thought that it would be interesting to look at wages for the Big 5 European leagues in the 2019/20 season (the most recently published accounts). Some thoughts in the following thread.
As a technical note, I have converted wages from Euro denominated leagues to GBP using the 1.14 exchange rate from the Deloitte Money League. To facilitate comparison, I have provided figures for each league in both Euros and GBP, though the overviews are only in GBP.
In England the highest wage bill in 2019/20 was #MCFC £351m, followed by #LFC £326m, #MUFC £284m, #CFC £283m, #AFC £225m and #THFC £181m. It is worth noting that some clubs’ figures were inflated by changing their year-end date, which meant the accounts covered 13 months.
Read 19 tweets

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