Financial Results

[Mullet1]

https://www.lcfc.com/news/2488308/lcfc-financial-results-202021?fbclid=IwAR17PmqGXp7i2AY8EX3FYzVz1OreDvA4MQb4jeD8f9Q1yE9zO8yYmlIWkt0
 

[AKCJ]

 

[VLC86]

I appreciate that losing £36m isn’t great, I guess in the context of us borrowing forecasted income it’s worse, but it’s not actually horrendous is it?

 

Probably does point to us selling a couple of players in the summer though. Fofana the year after.

[Ian Nacho]

Interesting to see wages have gone up about £30m on the previous year. 

[Torten]

The important thing is that our revenue is increasing - hopefully not just a temporary increase due to Europa league

[turlo]

quite a significant jump in our wage bill since last years results

 

 

 

[coolhandfox]

9 minutes ago, Ian Nacho said:

Interesting to see wages have gone up about £30m on the previous year. 

Some would have been bonuses paid for winning the FA Cup, not loads but that would have been a one off.

 

 

[st albans fox]

That’s £100m loss over the two covid seasons ……..

[Stadt]

The wage bill needs cutting down, our wages relative to our income is far too high. 

[Ric Flair]

1 minute ago, coolhandfox said:

Some would have been bonuses paid for winning the FA Cup, not loads but that would have been a one off.

 

 

That would be in 2021/22 accounts would it not?

 

Biggest thing for me is that revenue has gone up £70m and that's before we've signed this FBS deal. We are doing more in bringing in extra revenue which pays for the wages and transfers. We continue to push it to the maximum and yet still our fans demand more.

[turlo]

A huge chunk of the increase in turnover is from broadcasting rights, which includes the £30 mill that was deferred from the previous season. sponsorship is up by 10 mill (could that be from the new FBS deal?)

 

Edited 17 February 2022 by turlo

[Ric Flair]

Just now, Stadt said:

The wage bill needs cutting down, our wages relative to our income is far too high. 

Then fans need to stop being so precious about us keeping our most established players. It's a fine line between signing young and talented players on the back of cashing in on our successful players but it's the only way without seriously pissing off our players and them wanting to leave quite quickly anyway.

 

What's quite interesting though is even as we continue to see huge increases in wages, there's been a handful of players not sign new deals that were expected to. Tielemans, Soyuncu, Ricardo etc. The wages would be through the roof if they had. This backs up the notion that under Rodgers we have started paying our signings huge starting salaries and that's because we're now signing more 24+ players like Castagne, Praet, Perez, Vestergaard etc and they demand a minimum starting salary of £70k a week. Grim given how crap nearly all of them have been an'all.

[Ric Flair]

3 minutes ago, turlo said:

A huge chunk of the increase in turnover is from broadcasting rights, which includes the £30 mill that was deferred from the previous season. sponsorship is up by 10 mill (could that be from the new FBS deal?)

 

FBS will hit 2021/22

[coolhandfox]

3 minutes ago, Ric Flair said:

That would be in 2021/22 accounts would it not?

 

Biggest thing for me is that revenue has gone up £70m and that's before we've signed this FBS deal. We are doing more in bringing in extra revenue which pays for the wages and transfers. We continue to push it to the maximum and yet still our fans demand more.

The accounts are up 31st of May 2021, cup final was 15th of May 2021.

 

So would depend if they paid them before or after the 31st.

[turlo]

1 minute ago, Ric Flair said:

That would be in 2021/22 accounts would it not?

 

Biggest thing for me is that revenue has gone up £70m and that's before we've signed this FBS deal. We are doing more in bringing in extra revenue which pays for the wages and transfers. We continue to push it to the maximum and yet still our fans demand more.

approx 30 mill of that was the deferred revenue from the previous season

 

"£27.6m of Broadcasting rights and £5.3m of Sponsorship and advertising relating to the 201 9/20 season was deferred into the 2020/21 financial year due to the delay in the conclusion of the 2019/20 football season arising from COVID 19."

 

[Ric Flair]

Just now, coolhandfox said:

The accounts are up 31st of May 2021, cup final was 15th of May 2021.

 

So would depend if they paid them before or after the 31st.

My bad, thought they were standard financial year April - end of March.

 

Yes, could well be increases due to cup win then. 

[jeffschlupp]

Not much of note in there, all seems pretty standard to me.

 

Club owes Top directly £30m (same as last year), and KPI in total £111.5m + £42.5m, give or take. The £111.5m is the £91m original loan for Seagrave + a top-up of £20.5m, and then they've take another loan out of £42.5m since May.

They now owe Macquarie £80m but this is all new loans and all of their old charges are resolved.

 

It's an operating profit if you take out COVID among other things.

 

£43.9m is a remarkable profit on transfers when you consider we paid for Fofana and Castagne that summer. I recall telling this place in the summer the club had got some superb instalment deals on Soumare and Daka...same situation there.

 

Edit: Does once again show the importance of commercial revenue. £33m from sponsorship and advertising? The figures next year with FBS are going to be interesting.

Edited 17 February 2022 by jeffschlupp

[coolhandfox]

8 minutes ago, turlo said:

A huge chunk of the increase in turnover is from broadcasting rights, which includes the £30 mill that was deferred from the previous season. sponsorship is up by 10 mill (could that be from the new FBS deal?)

 

13m from the Europa League, show how important European football is and that doesn't count the extra in the gate receipts etc  

Edited 17 February 2022 by coolhandfox

[Ric Flair]

Just now, turlo said:

approx 30 mill of that was the deferred revenue from the previous season

 

"£27.6m of Broadcasting rights and £5.3m of Sponsorship and advertising relating to the 201 9/20 season was deferred into the 2020/21 financial year due to the delay in the conclusion of the 2019/20 football season arising from COVID 19."

 

Yes just read that, but given £13m defecit on gate receipts, we've added another £10-15m in other sponsorships and advertising which I think could be the Thailand sponsorship that we had last year.

[coolhandfox]

Plain to see why we have been are being a little careful in the transfer market.

 

Can't imagine what Villa and Everton books are going to look like over the next for years.

[turlo]

2 minutes ago, jeffschlupp said:

Not much of note in there, all seems pretty standard to me.

 

Club owes Top directly £30m (same as last year), and KPI in total £111.5m + £42.5m, give or take. The £111.5m is the £91m original loan for Seagrave + a top-up of £20.5m, and then they've take another loan out of £42.5m since May.

They now owe Macquarie £80m but this is all new loans and all of their old charges are resolved.

 

It's an operating profit if you take out COVID among other things.

 

£43.9m is a remarkable profit on transfers when you consider we paid for Fofana and Castagne that summer. I recall telling this place in the summer the club had got some superb instalment deals on Soumare and Daka...same situation there.

Do we pay anything back on those KPI loans? Lost what page its on but there was a note that those loans were "payable on demand" rather than over a specific period like a bank loan

[Ric Flair]

4 minutes ago, coolhandfox said:

Plain to see why we have been are being a little careful in the transfer market.

 

Can't imagine what Villa and Everton books are going to look like over the next for years.

Cannot wait to see them. Gonna get them up on the 70inch in the cinema room and read with a load of cans and some nachos.

[coolhandfox]

Whilst a small chuck the costs and wages of the Women team would have hit the books for the first time in this account period. 

Edited 17 February 2022 by coolhandfox

[Guest ttfn]

The Strategic Report explains that the main reason for the cost increase is that some of the 19/20 bonuses were held over to 20/21. This makes sense as the 19/20 season was still ongoing at 31 May 2020. 
 

Same goes for the increase in broadcasting rights on the revenue side.
 

Read the front half and you don’t need to look at the back bit too much.

Edited 17 February 2022 by ttfn

[coolhandfox]

3 minutes ago, ttfn said:

The Strategic Report explains that the main reason for the cost increase is that some of the 19/20 bonuses were held over to 20/21. This makes sense as the 19/20 season was still ongoing at 31 May 2020. 
 

Same goes for the increase in broadcasting rights on the revenue side.
 

Read the front half and you don’t need to look at the back bit too much.

Good point that will account for some of the increased wage costs