Skip to main content

AS Roma lose over €200m

AS Roma will report a loss of €204 million for the 2019/20 season, the club have revealed in a message to the stock market.   The results have been published just a few months after the Italian club were taken over by the American privately held consortium of businesses and investments The Friedkin Group, who in August finalised a full purchase of the club from fellow American James Pallotta in a €591 million transaction.


"The fourth quarter of the 2019/20 financial year saw a significant deterioration in the economic and financial situation and the equity of the company and group, mainly due to the spread of Covid-19," the statement read.

As a result of the loss, the club's shareholders' equity has decreased by €115 million to negative €242.5 million. Accordingly, AS Roma require financing of €140 million for the 2020/21 season.

The club saved €30 million from players and some staff foregoing wages for the months of March, April, May and June and have agreed individual incentive plans with some players for the coming seasons.

"However, despite the measures taken by the company to mitigate the consequences, this emergency situation, extraordinary by nature and extent, has had and is having significant repercussions on economic activities of the company and of the group, causing a context of general uncertainty," the statement read.

AS Roma point out the loss has been partially offset by payments of €60 million from the club's parent company, NEEP Roma Holding SpA, and from a capital increase of shareholder loans equal to €29.1 million. 

The club, traded on Milan-based Borsa Italiana, have seen a decrease in their share price of 53 per cent to around €0.19 since the same date six months ago, and have a market cap of €115 million. 
Labels:

Comments

Post a Comment

Popular posts from this blog

Threat of financial calamity removed from Baggies

West Bromwich Albion had effectively been in decline ever since the club was sold to a Chinese consortium in August 2016, paying a figure north of £200m to buy former owner Jeremy Peace’s stake. Controlling shareholder Guochuan Lai’s ownership was fairly disastrous for the club, but his unloved tenure finally came to an end after Bilkul Football WBA, a company ultimately owned by Florida-based entrepreneur Shilen Patel and his father Dr Kiran Patel, acquired an 87.8% shareholding in West Bromwich Albion Group Limited, the parent company of West Bromwich Albion Football Club. This change in ownership was urgently required, due to the numerous financial problems facing West Brom, including growing high-interest debt and serious cash flow concerns, following years of no investment from the former owner. Indeed, West Brom’s auditors had already rung the alarm bell in the 2021/22 accounts when they cast doubt on the club’s ability to continue as a going concern without making player s...
1 comment
Read more

Spurs to sell minority stake

Tottenham Hotspur is in talks to sell a minority stake in a deal that could value it at up to £3.75 billion and pave the way for Joe Lewis and his family to sever ties with the Premier League football club. Tottenham chairman Daniel Levy is seeking an investment that values the club at between £3.5 billion and £3.75 billion, including debt. While the terms of any deal have not been finalised, City sources expect Spurs to sell about 10 per cent. The club is being advised by bankers from Rothschild on the sale. Tottenham wants to raise fresh capital for new player signings and to help fund the development of an academy for its women’s team, as well as a 30-storey hotel next to its north London stadium. The financier Amanda Staveley, who brokered the deal for Saudi Arabia’s Public Investment Fund to take over Newcastle United, is understood to be among the parties to have expressed an interest in Tottenham. Staveley’s fund, PCP Capital Partners, has raised about £500 million to ...
Post a Comment
Read more

Millwall punch above their weight

Millwall’s season was overshadowed by the tragic death of owner John Berylson following a car accident. The American had been an exemplary owner, beloved by the fans for his leadership, passion and generosity. Millwall’s finances had been pretty good during his tenure, which we shall explore by looking at the most recent accounts from the 2022/23 season, when the club narrowly missed out on a place in the play-offs after finishing 8th. Millwall’s pre-tax loss slightly reduced from £12.6m to £12.2m, as revenue rose £0.8m (4%) from £18.6m to a club record £19.4m and player sales improved from a £0.1m loss to £2.5m profit. However, other operating income dropped from by £1.1m from £1.3m to £0.2m, while operating expenses increased £1.7m (5%) from £31.6m to £33.3m. The main driver of the revenue increase was broadcasting, which rose £1.1m (12%) from £9.1m to £10.2m, though match day was also up £0.4m (7%) from £5.8m to £6.2m. In contrast, commercial fell £0.7m (19%) from £3.7m to £3....
Post a Comment
Read more