Skip to main content

The losses mount

As the financial year comes to an end, there is a fast and furious race by clubs to submit their 2023/24 accounts and they all show losses.   Information courtesy of football finance guru Kieran Maguire.

Ayr United lost £187k in 23/24 taking total losses to over£1.7m. Club is dependent upon director loans of £585k to continue.   Scottish clubs are generally quite prudent so this is quite a big loss by their standards. 

Gillingham losses almost doubled to £4.3 million in 23/24. The losses were underwritten by a £1.3m donation and £2.2m of loans

Salford City lost over £5.3m in 23/24 taking total losses to over £28m since being acquired by new owners

Promotion chasing York City lost £235k in 23/24.

Scunthorpe United lost £499k in 23/24 despite losing two thirds of their employees. Club had over £4 million of liabilities at 30 June 2024.   Included in the Scunthorpe United accounts for 23/24 is a £250,000 bad debt write off. I wonder who is responsible for this, asks Maguire?

The club is seeking a fifth owner to cover losses as it anticipates promotion to the Nationnal League.

Facing criticism from angry fans, Scunthorpe have halted talks with FC 100,000, a  group wanting to buy a football club through online subscriptions.  It was co-founded by Will Brooks who was behind a similar venture at Ebbsfleet United, only for the club to run into difficulty as subscriptions plummeted.

Labels

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