LEICESTER POSTS £67M PRE-TAX LOSS

[Staff]

17 minutes ago, Strokes said:

Am I right in saying you’re an accountant too?

No mate he's a wrestler 

[Ric Flair]

1 hour ago, Strokes said:

Am I right in saying you’re an accountant too?

And that's why we have a zero alcohol policy at work 😂

[bart]

 

Our turn for a very detailed financial summary by Swiss Ramble

[urban.spaceman]

1 hour ago, bart said:

 

Our turn for a very detailed financial summary by Swiss Ramble

Love his megathreads.

 

This one stood out so far:

 

 

Turns out Mike Ashley is doing an amazing job 

[urban.spaceman]

"Without COVID, #LCFC revenue would have been £46m higher at £196m (10% more than 2019), as £33m deferred to 2020/21 (broadcasting £28m, sponsorship £5m) and £13m foregone (match day £4m, TV £9m), meaning the club would have posted £21m loss, similar to prior year."

 

[Strokes]

9 minutes ago, urban.spaceman said:

"Without COVID, #LCFC revenue would have been £46m higher at £196m (10% more than 2019), as £33m deferred to 2020/21 (broadcasting £28m, sponsorship £5m) and £13m foregone (match day £4m, TV £9m), meaning the club would have posted £21m loss, similar to prior year."

 

I think we would have qualified for the champions league without Covid interruption.

[urban.spaceman]

"This season’s figures will benefit from #LCFC reaching the last 32 of the Europa League before being eliminated by Slavia Prague. As a comparison, I estimate that #AFC received £17m for getting to the same stage in 2019/20."

 

 

[Chrysalis]

do these accounts confirm king power pay a more reasonable amount for sponsorship now?

[Guest Chocolate Teapot]

29 minutes ago, urban.spaceman said:

"This season’s figures will benefit from #LCFC reaching the last 32 of the Europa League before being eliminated by Slavia Prague. As a comparison, I estimate that #AFC received £17m for getting to the same stage in 2019/20."

 

 

There's some interesting snippets....

 

41m in cash and the underlying revenue numbers looking positive. Outside of a pandemic they'd look very positive. Also as someone has pointed out, in terms of asset value the club is streets ahead of where it was a few years ago and that doesn't just include players.

[Sol thewall Bamba]

The £4million shirt/stadium sponsorship money (87.5% of which we pay back to King Power as a "management fee") is surely something we're going to need to look at soon. Even an average shirt deal would give us a significant boost. 

[The_77]

1 hour ago, Chrysalis said:

do these accounts confirm king power pay a more reasonable amount for sponsorship now?

No but they do confirm KP has pumped in some decent-sized loans.

[Corky]

1 hour ago, Sol thewall Bamba said:

The £4million shirt/stadium sponsorship money (87.5% of which we pay back to King Power as a "management fee") is surely something we're going to need to look at soon. Even an average shirt deal would give us a significant boost. 

We need to try and maximise the potential revenue streams whilst we're "relevant", as it were, and tap into the market.

 

The more European football the more exposure for companies.

[Desabafar]

1 hour ago, Sol thewall Bamba said:

The £4million shirt/stadium sponsorship money (87.5% of which we pay back to King Power as a "management fee") is surely something we're going to need to look at soon. Even an average shirt deal would give us a significant boost. 

it is 16m

[Sol thewall Bamba]

6 minutes ago, Desabafar said:

it is 16m

Ah yeah shirt deal is £4m. Could still pick up a lot elsewhere.

[David Hankey]

4 hours ago, urban.spaceman said:

Love his megathreads.

 

This one stood out so far:

 

 

Turns out Mike Ashley is doing an amazing job 

Yeah, and looks as though they could get relegated!!

[Spudulike]

Do we know that King Power now own all of the land and buildings outside of the East Stand right up to the eon land? 

[Fox in the North]

12 minutes ago, Spudulike said:

Do we know that King Power now own all of the land and buildings outside of the East Stand right up to the eon land? 

As far as we know, yes. The warehouse behind was the only bit of land in the way which I believe has been purchased now.

[Babylon]

Next season should look better with lots of earners off the books, deferred income from those accounts, Chilwell sale, Europe (£15m ish), higher league finish, FA Cup (win the next round and it’s about £2.5m prize money just about, more if you win the whole thing.

[Ric Flair]

13 minutes ago, Babylon said:

Next season should look better with lots of earners off the books, deferred income from those accounts, Chilwell sale, Europe (£15m ish), higher league finish, FA Cup (win the next round and it’s about £2.5m prize money just about, more if you win the whole thing.

We got another £5m for Man Utd getting CL football on the Maguire deal too which will hit 2020/21 accounts. Managed to flog Gray for £2m and save around a million in his wages, not to mention binning Silva, King and Slimani.

[Corky]

1 hour ago, Babylon said:

Next season should look better with lots of earners off the books, deferred income from those accounts, Chilwell sale, Europe (£15m ish), higher league finish, FA Cup (win the next round and it’s about £2.5m prize money just about, more if you win the whole thing.

Yeah, it's encouraging (if that's the right term) that a lot of the losses were mainly down to timing rather than recklessness. Next year will hopefully be a better time and everything has run to time, too.

[Guest ttfn]

12 hours ago, Babylon said:

Next season should look better with lots of earners off the books, deferred income from those accounts, Chilwell sale, Europe (£15m ish), higher league finish, FA Cup (win the next round and it’s about £2.5m prize money just about, more if you win the whole thing.

But lower profit on player sales, an entire year of no gate receipts, limited income from corporate events at the ground. A full year (rather than just 6 months) of BR’s new contract. Another year of interest payments on debt to King Power and Macquarie.

 

I wouldn’t be at all surprised if the total loss for the 2020/21 season was similar to 2019/20.

[Babylon]

20 minutes ago, ttfn said:

But lower profit on player sales, an entire year of no gate receipts, limited income from corporate events at the ground. A full year (rather than just 6 months) of BR’s new contract. Another year of interest payments on debt to King Power and Macquarie.

 

I wouldn’t be at all surprised if the total loss for the 2020/21 season was similar to 2019/20.

I'm not expecting us to turn a profit or anything, I mean in the sense of £67m for a few months missed, you'd expect a full year missed to be horrific. But there is a lot of costs in there that won't be in there in the next accounts, and more profit that will. 

[Guest Chocolate Teapot]

13 minutes ago, Babylon said:

I'm not expecting us to turn a profit or anything, I mean in the sense of £67m for a few months missed, you'd expect a full year missed to be horrific. But there is a lot of costs in there that won't be in there in the next accounts, and more profit that will. 

Excluding covid the accounts would actually look okay which when you consider weve just spent 100m on a training ground and land for stadium expansion, improved the playing squad and secured the long term future of the manager (protecting us if he does jump ship) is pretty remarkable.

[Ric Flair]

1 hour ago, ttfn said:

But lower profit on player sales, an entire year of no gate receipts, limited income from corporate events at the ground. A full year (rather than just 6 months) of BR’s new contract. Another year of interest payments on debt to King Power and Macquarie.

 

I wouldn’t be at all surprised if the total loss for the 2020/21 season was similar to 2019/20.

19/20 we spent more on players than we have in 20/21. Look at the net spends of both years.

[Winsum]

We have players valued at over £450 million on the books. The loss of £67 million is a loss produced from one of the most

difficult times endured by the sport

The club is backed by a wealthy parent and Cashflow at the moment is not an issue.

The opportunity next season of Champions League football and the financial benefits from on and off the field

activities is hopefully just around the corner

The wage bill is a concern but the depressed level of turnover exaggerates the position at the moment.

if the club is to progress then a bigger stadium is required which hopefully is the next piece in the financial

jigsaw, any money spent here will be capitalised and not greatly impact the profit and loss account.

The club is beginning to cement itself in the top six and then to maintain this more investment will

be needed on the playing side.

In my opinion the club has never been in s better position to transform to the next level and the

next five years will be pivotal