Leicester City and PSR – Everything you need to know on EFL dispute, player sales, and what next

[MPH]

47 minutes ago, iancognito said:

Is that official? I heard that now the pts deductions and appeals are confirmed as yet un-named clubs had pushed ahead with their claims. One of the cabal of "football Finance experts" was on the radio the other day saying there would be at least 40-50m in compensation due via the PL. You'd think our lawyers would want to factor that lost revenue into our losses for last season.

 

official as in press release? No. But you can’t expect  an official announcement, surely?

[Chrysalis]

12 hours ago, HankMarvin said:

“Looking at the most recent accounts from the 2021/22, on the face of it Leicester City have the most to fear, because they had by far the largest operating loss of £83m, the highest wage bill of £182m, the highest wages to turnover ratio of 85%, the highest debt of £346m and the highest interest payable of £19m”

 

 

Turnover will be expected to be 178m if you correlate the broadcasting losses -35m for European football/finishing bottom 3 in line with Southampton and Leeds 

 

even with the reduction in salary and bonuses as you state above the wages to turnover ratio will stay high because of the loss of broadcasting turnover.

 

what about the rise in interest rates?

 

Looking at that, Leeds probably the least vulnerable of the three.

We had the highest turnover but a large amount of it proportionally was broadcasting.  Leeds the highest "natural" turnover. Southampton the lowest.

 

We had an extra 60 million in wages, ridiculous wage bill for a club of our stature.  Our wage bill was 3x our non broadcasting revenue, and 30m over our broadcasting revenue, Leeds wage bill was less than double their non broadcast revenue and slightly higher than their broadcast revenue, Southampton wage bill a bit more than triple their non broadcast revenue and slightly lower than their broadcast revenue.

 

We also had the highest amortisation costs, southampton the least.

Unsurprisingly the wages to turnover ratio reflects my thoughts on the financial vulnerability.

[iancognito]

4 hours ago, MPH said:

 

official as in press release? No. But you can’t expect  an official announcement, surely?

At some point it would become public knowledge or the PL would release a statement because it would be part of official proceedings. With £xxM involved they'd have to address it.

[PaulW]

15 hours ago, Sir Shep said:

Apologies as I haven’t studied the threads much but has the club said anything or are they hiding in a cave with their fingers in their ears going la la la la la? 

Neither of those.

[WoodyFox]

Breakers of PSR and FFP, you made us sing that 

[coolhandfox]

7 hours ago, Chrysalis said:

Looking at that, Leeds probably the least vulnerable of the three.

We had the highest turnover but a large amount of it proportionally was broadcasting.  Leeds the highest "natural" turnover. Southampton the lowest.

 

We had an extra 60 million in wages, ridiculous wage bill for a club of our stature.  Our wage bill was 3x our non broadcasting revenue, and 30m over our broadcasting revenue, Leeds wage bill was less than double their non broadcast revenue and slightly higher than their broadcast revenue, Southampton wage bill a bit more than triple their non broadcast revenue and slightly lower than their broadcast revenue.

 

We also had the highest amortisation costs, southampton the least.

Unsurprisingly the wages to turnover ratio reflects my thoughts on the financial vulnerability.

It a uncomplete picture, this is only looking at the 21/22, with pluging the the other 2 sets of accounts for the whole 3 year reporting period it hard to know where anyone is.

[Ric Flair]

9 hours ago, Chrysalis said:

Looking at that, Leeds probably the least vulnerable of the three.

We had the highest turnover but a large amount of it proportionally was broadcasting.  Leeds the highest "natural" turnover. Southampton the lowest.

 

We had an extra 60 million in wages, ridiculous wage bill for a club of our stature.  Our wage bill was 3x our non broadcasting revenue, and 30m over our broadcasting revenue, Leeds wage bill was less than double their non broadcast revenue and slightly higher than their broadcast revenue, Southampton wage bill a bit more than triple their non broadcast revenue and slightly lower than their broadcast revenue.

 

We also had the highest amortisation costs, southampton the least.

Unsurprisingly the wages to turnover ratio reflects my thoughts on the financial vulnerability.

Leeds are a fascinating case because they spent significantly in 22/23 (although they also sold Raphina and Phillips for to offset about two thirds of it) and last summer they largely loaned out their players so they must be running close to breaches for 23/24 unless they manage to sell a few before the end of June.

 

 

[coolhandfox]

1 hour ago, Ric Flair said:

Leeds are a fascinating case because they spent significantly in 22/23 (although they also sold Raphina and Phillips for to offset about two thirds of it) and last summer they largely loaned out their players so they must be running close to breaches for 23/24 unless they manage to sell a few before the end of June.

 

 

I think they could be close to the PL FFP, they have been name check by Stefan Borson as having the same issue as us if promoted.

 

Could be carnage next season.

 

Edited 9 March by coolhandfox

[UniFox21]

1 hour ago, Ric Flair said:

Leeds are a fascinating case because they spent significantly in 22/23 (although they also sold Raphina and Phillips for to offset about two thirds of it) and last summer they largely loaned out their players so they must be running close to breaches for 23/24 unless they manage to sell a few before the end of June.

 

 

They've sold a LB to Bournemouth for £20m which will help

[UniFox21]

27 minutes ago, coolhandfox said:

I think they could be close to the PL FFP, they have been name check by Stefan Borson as having the same issue as us if promoted.

 

Could be carnage next season.

 

If we now assume all these have failed, and all get promoted, then that's 8 teams at risk of being on negative points. 

You also have a complete scattering of club size as well; not just small or giants

[coolhandfox]

Interesting take on what would happen if we fail both.

[Out Foxed]

35 minutes ago, UniFox21 said:

If we now assume all these have failed, and all get promoted, then that's 8 teams at risk of being on negative points. 

You also have a complete scattering of club size as well; not just small or giants

not really. Chelsea is the only "elite" club there.

[Corky]

Are we guaranteed to fail the EFL regulations this year or is there a chance, however remote, that we could sell enough players to meet the threshold?

[UniFox21]

59 minutes ago, Out Foxed said:

not really. Chelsea is the only "elite" club there.

Well yes, but my point was you have clubs at all ends of the league.

 

An elite club, 2 clubs pushing for European football, Wolves who are a solid mid table, 2 clubs fighting relegation and 2 who will potentially be back in the league next year.