Skip to main content

Villa loss £71m in one year

Now that the accounts of Aston Villa's holding company (Recon Ltd) have been published it is possible to get a more accurate idea of the club's finances. Aston Villa trading losses exceeded £1 million a week in 2017/18 or a total of £71m.

Broadcasting, including Premier League distributions, accounted for 59 per cent of the £68.6m turnover. Parachute payments were down by £8m. Sponsorship was up because of the training ground deal and represented 7 per cent of turnover. Gate receipts accounted for 17 per cent.

Wages were up £12 million to £73m as Villa count cost of John Terry and other loan deals but other employees count the cost as staff numbers fall by 270. Villa paid £106 in wages for every £100 of income in 2017/18. Income likely to fall by £25m in 2018/19 as in the final parachute year.

Villa claim youth development spending, which is excluded from FFP calculations, rose by £5m in 2017/18. Club received £3m land compensation, perhaps HS2 related?

Villa spent just £1.8 million on new players in 2017/18 but had sales of £32 million. Whilst Villa didn’t sign many players in 17/18 they did have to pay £41 million in instalments on old purchases. Share issue brought in £69 million to rescue the club.

Villa may be okay in terms of financial fair play as some costs are excluded. Kieran Maguire of the PriceofFootball has estimated that FFP losses for last two seasons are £25.1 million so maximum loss for 2018/19 is £13.9 million. Will be tough due to parachute payments falling but not impossible.

Labels:

Comments

Post a Comment

Popular posts from this blog

Wolves get raw deal from FFP

  I used to see a lifelong Wolves fan for lunch once a month.   He was approaching ninety, but still went to games.   Sadly he passed away the other week. As football finance guru Kieran Maguire has noted, Wolves continue to be constrained by financial fair play rules.  Radio 4 this morning described them as this year's 'crisis club' and the pessimists have certainly been piling in. Martin Samuel wrote sympathetically in the Sunday Times yesterday, saying that the Premier League drives talent away with regulatory red tape: 'Why could Al-Hilal sign Neves? Because Wolves needed the money. And why did Wolves need the money? Because the club had to comply with an artificial construct known as financial fair play. So Wolves are going skint, yes? No. There is no suggestion that Wolves are in financial trouble, only that they are failing to meet the rigours of FFP. Wolves’ owners appear to have the money to run the club, and invest in the club, and in fact came up with a pow
Post a Comment
Read more

Gold standard ground boosts Tottenham's income

The gold standard in European football grounds is the Tottenham Hotspur stadium in north London, a £1bn construction project completed in 2019. Its impact on the club’s finances has become increasingly clear as the effects of the pandemic have faded. Previously, the average fan would spend less than £2 inside the ground on a typical match day, but now that figure is about £16, thanks to new facilities including the longest bar in Europe and an on-site microbrewery. Capacity has gone up from 36,000 at the club’s previous home of White Hart Lane to 62,000.  The new stadium — built on land adjacent to White Hart Lane — has opened the door to a broad range of other events that have helped to push commercial income up from €117mn in 2018 to €215mn in 2022. Last year, Tottenham hosted US singer Beyoncé for five nights on her global Renaissance tour, two NFL matches, as well as rugby games and heavyweight boxing bouts.  Money brought in from football has gone up too. Match day income is
Post a Comment
Read more

Charlton takeover approved

The long awaited takeover of Charlton Athletic by SE7 Partners from Thomas Sandgaard has been approved:  https://londonnewsonline.co.uk/se7-partners-obtain-efl-approval-for-charlton-athletic-takeover/ Charlton have had unhappy experiences with owners for over a decade, so how this works out will remain to be seen.  There is certainly potential there, but will it be realised? This interview with Charlie Methven gives detail not available elsewhere:  https://thecharltondossier.com/charlie-methven-on-the-record/
Post a Comment
Read more