Following relegation from the Sky Bet Championship to League One, turnover for Bolton Wanderers (the football business of Burnden Leisure) decreased across the business during the 2016/17 financial year to £8.3m from £24.3m. This was predominantly due to the loss of the Premier League parachute payments which the club had received for the previous four years following relegation in 2011/12. This led to broadcasting revenue dropping to £1.7m from £12.9m.
Total wages and salaries reduced by £5.9m from the previous year to £12.6m and the ability to achieve further reductions was hampered by the burden of a significant number of playing contracts that ran beyond the end of the 2015/16 season. The annual report notes, 'A great deal of work has also been undertaken to control all other costs through the business. Encouragingly, this has resulted in a £4m reduction in sales and administrative expenses. It is due to these cost savings that, despite the significant £16m reduction in turnover [across the whole business], the operating losses [£12.9m on the football business] have only seen an increase of £4.9m from the levels experienced in the previous year.' A £5.5m profit from player sales (up from £0.4m) also made a big difference.
Gate receipts were down marginally at £3.1m. Corporate hospitality was up from £295k to £614k. Merchandising was down from £1.062m to £656k. Sponsorship and advertising reduced from £1.7m to £832k.
At £6.4m the hotel business accounts for 44 per cent of Burnden Leisure turnover. Its contribution to turnover was down from £7.1m to £6.4m.
Dean Holdsworth received £50k plus the cost of his legal fees in settlement of a termination of employment dispute.
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