Skip to main content

£87m losses at Arsenal

Arsenal have published their 2020 results and the effects of the pandemic are apparent.

Here are a few highlights selected by Kieran Maguire of the PriceofFootball (the 2nd edition of his book with that title is now out with Agenda).

Revenue was down £51m, day to day, losses up from £28m to £87m, net transfer spend £116m, borrowings down (but this is before club borrowed from the Bank of England)

Arsenal net spend on players was £116m in 2019/20, a record for the club. Squad cost up to £616m. Player signings for the season higher than that of any club who has reported to date.

The cost to Arsenal of sacking Emery and his entourage was £9.5m.

Arsenal matchday revenue down to £345m, a noticeable gap repeatedly appearing between them and other big earning London clubs.   Arsenal earn about £3.5-£4m per home match from ticket sales, so lockdown in March 2020 hit matchday revenue by £17m.

Broadcast income was down one third due to timing of matches as well as rebates to broadcasters.  Earned less from this source than the likes of Watford in 2019.

One positive for Arsenal in 2019/20 was a sharp rise in commercial income to a record £147m, but still well below the class leaders (the two Manchester clubs, Chelsea and Liverpool).

Arsenal made profits on player sales of £60m.

The club states on its website: 'Since the year end, the Group has refinanced its stadium finance bonds and undertaken a range of cost-cutting measures. These steps will ensure the club is well placed to respond once the situation starts to improve.

The club continues to have the unwavering support and commitment of its parent company, Kroenke Sports & Entertainment, and its ultimate owner Stan Kroenke.'   That's nice to know.

The full report can be found here: https://www.arsenal.com/media/284069


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