#CardiffCity 2019/20 accounts cover a season when they finished 5th in the Championship following relegation from the PL, losing in the play-off semi-final. Manager Neil Warnock was replaced by Neil Harris in November 2019, since succeeded by Mick McCarthy. Some thoughts follow.
#CardiffCity swung from £3m profit to £12m loss, as revenue fell £79m (63%) from £125m to £46m due to relegation and COVID, partly offset by profit on player sales rising £12m to £14m, while expenses were down £33m and no repeat of prior year £20m provision for the Sala transfer.
#CardiffCity £79m revenue fall was largely driven by broadcasting’s £70m (66%) decrease from £107m to £37m, due to lower TV money in Championship, though commercial also dropped £5m (48%) from £10m to £5m and match day fell £4m (53%) from £8m to £4m.
Stoke City’s 2019/20 financial results covered a season when they finished 15th in the Championship, two years after relegation from the Premier League. Manager Nathan Jones was replaced by Michael O’Neill in November 2019. Some thoughts in the following thread #SCFC
#SCFC pre-tax loss widened from £15m to £88m, as revenue dropped £21m (29%) from £71m to £50m and profit from player sales fell £15m (83%) from £18m to £3m. Total expenses increased £37m, mainly due to £43m impairment charge (reducing player values). Loss after tax was £86m.
The main reason for #SCFC £21m revenue reduction was broadcasting, which dropped £20m (39%) from £51m to £31m, mainly due to lower parachute payment, though match day also fell £1.6m (25%) from £6.4m to £4.8m. In contrast, commercial rose £0.9m (7%) from £12.9m to £13.8m.
#BarnsleyFC 2019/20 accounts covered the club’s first season back in the Championship following promotion from League One, when they narrowly avoided relegation by finishing 21st. Head coach Daniel Stendel was replaced by Gerhard Struber, since succeeded by Valerien Ismael.
#BarnsleyFC are owned by a group of international investors, led by Chien Lee of NewCity Capital and Paul Conway of Pacific Media Group, who follow the “Moneyball” approach of fellow investor, Billy Beane. They bought 80% from former custodian, Patrick Cryne, in December 2017.
Following promotion to the Championship, #BarnsleyFC reduced their loss from £3.4m to just £0.3m, as revenue increased £6.4m (83%) from £7.8m to £14.2m and profit on player sales rose £2.0m to £5.8m, partly offset by expenses growing £5.6m (37%) to £20.5m.
Queens Park Rangers 2019/20 financial results covered a season when they finished 13th in the Championship, an improvement on the previous year’s 19th place, though the campaign was disrupted by COVID-19. Some thoughts in the following thread #QPR
#QPR loss widened from £10m to £16m, as revenue fell £16m (47%) from £34m to £18m, though expenses were cut £11m (24%) and profit on player sales increased £3m to £6m. Also impacted by £4.5m write-off of previous training ground development.
The main reason for #QPR £16m revenue reduction was broadcasting, which dropped £14m (62%) from £22m to £8m, as parachute payments stopped, though gate receipts were also down £1.4m (25%) from £5.4m to £4.0m, while commercial fell £1.4m (19%) from £7.2m to £5.8m.
Quick estimate of the revenue earned by English clubs from Europe this season up to the final. This analysis is based on the participation fees, prize money and TV pools from 2019/20 distributions plus the UEFA coefficients for 2020/21 #MCFC#CFC#LFC#MUFC#AFC#THFC#LCFC
#MCFC and #CFC have both earned over €100m after reaching the Champions League final with €120m and €117m respectively, followed by #LFC €89m and #MUFC €76m. Europa League clubs receive significantly less: #AFC €29m after reaching semi-final, #THFC €21m and #LCFC €17m.
#MUFC €76m represents their total earnings from Europe, split into €62m from the Champions League (eliminated at the group stage) and €14m for reaching the Europa League final. Note: they only receive participation fee and UEFA coefficient from the senior competition.
Swansea City’s 2019/20 accounts covered a season when they finished 6th in the Championship under head coach Steve Cooper, thus reaching the play-offs, but were eliminated in the semi-final by Brentford. Some thoughts in the following thread #Swans
#Swans swung from a pre-tax loss of £7m to a profit of £2.7m, despite revenue falling £18m (27%) from £68m to £50m and profit from player sales dropping £12m (41%) from £30m to £18m, as total expenses were reduced by £40m (38%). Profit after tax was £1.7m.
The main reason for #Swans £18m revenue reduction was broadcasting, which dropped £13m (25%) from £52m to £39m, mainly due to lower parachute payment, though commercial was also down £2m (26%) to £6m and match day fell £1.7m (26%) to £4.8m. Player loans were down £1.7m to £0.2m.
Birmingham City’s 2019/20 financial results covered a season when they finished 20th in the Championship, narrowly avoiding relegation. Manager pep Clotet was replaced by Aitor Karanka in August 2020, since succeeded by Lee Bowyer. Some thoughts in the following thread #BCFC
#BCFC loss increased from £8.4m to £18.2m, as prior year included £17m profit on the sale of the stadium, partly offset by profit on player sales rising £7m to £12m. Revenue fell £0.5m (2%) from £23.3m to £22.8m, while expenses were flat overall.
COVID-19 impacted #BCFC revenue with match receipts falling £0.4m (8%) to £4.7m, while commercial was down £0.9m (9%) to £9.3m. In contrast, broadcasting rose £0.9m (11%) to £8.8m, while other operating income increased £0.9m to £1.5m, including £819k COVID grant.
The spark for the protest by Manchester United fans at Old Trafford might have been the deeply unpopular Super League, but it also highlighted an underlying unhappiness with the club’s owners, so I thought it might be interesting to look at the finances under the Glazers #MUFC
The Glazers took control of #MUFC back in June 2005 via a £550m leveraged buyout, so their first full season in control was 2005/06. Therefore, this review will look at the 15 seasons since then, up to 2019/20.
In the last 15 years #MUFC have generated an impressive £5.9 bln revenue, but had £5.4 bln expenses (including £2.9 bln wages and £1 bln player amortisation), leading to £467m operating profit. This was boosted by £257m profit on player sales, but £817m interest meant £92m loss.
Liverpool’s 2019/20 financial results covered a season when they won the Premier League, UEFA Super Cup and FIFA Club World Cup, but were eliminated in the last 16 of the Champions League. Finances adversely impacted by the pandemic. Some thoughts in the following thread #LFC
#LFC swung from £42m profit before tax to £46m loss, as impact of COVID-19 resulted in revenue falling £43m (8%) from £533m to £490m, while expenses increased £31m (6%). Profit on player sales fell £18m to £27m, but £4m gain from sale of Melwood. Loss after tax was £39m.
The main driver of the #LFC revenue reduction was broadcasting, which fell £59m (23%) from £261m to £202m, while match day dropped £13m (16%) from £84m to £71m. This was partially offset by commercial rising £29m (16%) from £188m to £217m.
Aston Villa’s 2019/20 financial results covered the season following promotion, when they retained their Premier League status by finishing 17th and also reached the Carabao Cup final. Second season after Nassef Sawiris and Wes Edens acquired the club. Some thoughts follow #AVFC
Despite promotion #AVFC loss widened from £69m to £99m. Revenue more than doubled from £54m to £113m, though profit on player sales fell £11m to a small negative result, while investment in the squad to compete in the Premier League increased expenses by £76m (55%).
Main driver of the #AVFC £58m revenue increase was broadcasting, up £56m from £22m to £78m, due to the much more lucrative Premier League TV deal, though commercial also rose £4m to £21m, while player loans were up £1m to £2m. However, gate receipts were down £2m (13%) to £11m.
No sooner had a European Super League (ESL) been announced than the plans were shelved, at least for the time being, but what were the factors that drove the 12 breakaway clubs to this deeply unpopular move? As usual, it was all about money, a combination of fear and greed.
Whether football is broken is debatable, but there is little doubt that many of the 12 Super League clubs are facing serious financial problems. To some extent, this helps explain why the “dirty dozen” would seek more revenue, but does not excuse this horribly ill-conceived plan.
You don’t have to look too far to see the seriousness of the financial predicament with pre-tax losses of the 12 ESL clubs adding up to a worrying £667m, even before #LFC announce their results. Three of them lost more than £100m: #Milan £169m, #MCFC £125m and #FCBarcelona £112m.
After news of the European Super League broke, the estimated earnings of clubs from the Big Five leagues in the 2020/21 Champions League might seem a little bit “after the Lord Mayor’s show”, but here’s an analysis up to the semi-finals in any case.
I should emphasise that these figures can only be considered as indicative. They are based on UEFA’s revenue distribution guidelines, but also include estimates for the TV pool and rebates to broadcasters following losses caused by the COVID-19 pandemic.
West Bromwich Albion’s 2019/20 accounts covered a season when they finished 2nd in the Championship, thus securing promotion to the Premier League after a 2-year absence. Manager Slaven Bilic was subsequently replaced by Sam Allardyce in December 2020. Some thoughts follow #WBA
#WBA pre-tax loss widened from £7m to £23m, mainly due to promotion bonuses and COVID. Revenue fell £17m (24%) from £71m to £54m, while operating expenses increased £19m (22%), partly offset by profit on player sales rising £19m to £29m. Loss after tax up from £6m to £21m.
The main reason for #WBA £17m revenue reduction was broadcasting, which dropped £12m (23%) from £53m to £41m, mainly due to lower parachute payment, though gate receipts also decreased £2.5m (34%) to £4.8m, while commercial was down £2.4m (22%) to £8.4m.
#ReadingFC 2018/19 financial results covered a season when the #Royals finished 14th in the Championship. Manager José Gomes was replaced in October 2019 by Mark Bowen, who has since been succeeded by Veljko Paunovic. Some thoughts in the following thread.
This was the third season that #ReadingFC were under the control of Chinese businessman Dai Yongge (and his sister Dai Xiu Li), who own 96% via Renhe Sports Management Co Ltd. Bowen said, “He has spent a hell of a lot of money on the club and still wants to spend money.”
#ReadingFC loss increased from £30m to £42m, largely due to no repeat of prior year’s £8m from sale of the training ground and £2m other operating income. Revenue dropped £3m (16%) from £21m to £18m, while profit on player sales fell £0.8m to £1.6m. Expenses cut £2m (3%).
Leeds United’s 2019/20 accounts cover a season when they won the Championship under Marcelo Bielsa, thus securing promotion to the Premier league after a 16-year absence, despite unprecedented challenges posed by the COVID-19 pandemic. Some thoughts in the following thread #LUFC
#LUFC paid a price for success, as their pre-tax loss widened from £21m to £62m, despite revenue rising £5m (11%) from £49m to £54m, as significant investment led to expenses increasing £44m (52%), including £20m promotion bonuses and £7m TV rebate to broadcasters.
The main reason for #LUFC £5m revenue growth was £7m (25%) increase in commercial income from £27m to £34m (largely merchandising), as gate receipts fell £1.2m (9%) to £11.4m and broadcasting was down £0.5m (5%) to £8.7m. Profit on player sales dropped £6m to £10m.
Manchester City’s 2019/20 financial results covered a season when they finished runners-up in the Premier League, reached the semi-finals of the FA Cup and the quarter-finals of the Champions League, and won the League Cup. Some thoughts in the following thread #MCFC
#MCFC swung from £10m profit before tax to £125m loss, as the impact of the COVID-19 pandemic resulted in revenue falling £57m (11%) from £535m to £478m, while expenses increased £81m (14%). Profit on player sales was up £1m to £40m. Loss after tax was £126m.
The main driver of the #MCFC revenue reduction was broadcasting, which fell £63m (25%) from £253m to £190m, while match day dropped £13m (24%) from £55m to £42m. This was partially offset by commercial rising £19m (9%) from £227m to £246m.
Burnley’s 2019/20 financial results covered a season when they finished in 10th place, the club’s second highest Premier League finish, securing a fifth consecutive season in the top flight. Some thoughts follow #BurnleyFC#twitterclarets
After these accounts closed in December 2020 ALK capital acquired a majority (84%) shareholding in #BurnleyFC. Long-term local owners Mike Garlick and John Banaszkiewicz remain at Turf Moor as directors, working in partnership with new chairman Alan Pace.
#BurnleyFC profit before tax dropped from £5m to break-even, mainly due to COVID impact, including an additional month of expenses. Revenue fell £4m (3%) from £138m to £134m and expenses increased £9m, though profit on player sales rose £8m to £15m. Profit after tax was £0.5m.
Brentford’s 2019/20 financial results covered a season when they narrowly missed out on promotion, finishing 3rd in the Championship before losing the play-off final to Fulham. Some thoughts in the following thread #BrentfordFC
#BrentfordFC swung from £24m profit before tax to £9m loss, as last year benefited from £14m sale of land. Revenue dropped £1.3m (9%) from £15.2m to £13.9m, while profit on player sales fell £2m to £25m. Investment in the squad meant expenses increased £14m. Loss after tax £10m.
Main driver of COVID-impacted #BrentfordFC revenue decrease was broadcasting, down £1.6m (18%) to £7.3m, while ticketing also fell £0.3m (9%) to £3.1m, partly offset by commercial rising £0.5m (18%) to £3.6m. Other income fell £1.6m to £1.0m, including job retention scheme £635k.
Sheffield United’s 2019/20 financial results covered a season when they finished 9th in the Premier League following promotion and reached the FA Cup quarter-finals, which was described by the club as “a respectable achievement”. Some thoughts follow #SUFC#twitterblades
This is the first year under new #SUFC owner Prince Abdullah after the High Court ruled that Kevin McCabe had to sell his 50% share to the Prince. This also triggered an agreement whereby the club had to purchase the stadium, training facility, gym, hotel and offices for £38m.
Following promotion #SUFC swung from £21m pre-tax loss to £19m profit, a £40m improvement, as revenue shot up £122m from £21m to club record £143m, though profit on player sales fell £10m to £4m and competing in the Premier League increased expenses by £72m. Profit after tax £18m
AFC Bournemouth’s 2019/20 financial results covered a season when they finished 18th, resulting in relegation to the Championship after five years in the Premier League. Finances were significantly impacted by the COVID-19 pandemic. Some thoughts in the following thread #AFCB
#AFCB loss almost doubled from £32m to a club record £60m, largely due to revenue dropping £36m (27%) from £131m to £95m, partly offset by profit on player sales rising £20m to £23m. Expenses increased £8m, while other operating income (mainly player loans) fell £1m to £7m.
#AFCB revenue decrease was mainly attributable to COVID, which contributed to broadcasting falling £35m (30%) from £116m to £81m, though match day was also down £1.5m (29%) from £5.0m to £3.5m. These reductions were partly compensated by commercial rising £1m (9%) to £11m.
Quick look at the UEFA Champions League and Europa League 2020/21 revenue distributions for English clubs as at the quarter-final stage. Analysis of the amounts earned to date in the following thread #MCFC#LFC#CFC#MUFC#AFC#THFC#LCFC
I should emphasise that these figures are only indicative. They are based on UEFA’s revenue distribution guidelines, but also include some assumptions for the TV pool and rebates to broadcasters following losses caused by the COVID-19 pandemic.
As it stands (at quarter-final stage), English clubs have earned the following amounts from Europe: #MCFC €92m, #LFC €90m, #CFC €89m, #MUFC €68m, #AFC €25m, #THFC €20m and #LCFC €17m. In the case of Manchester United, their figure is Champions and Europa League combined.