Accounts 22/23

[ACF]

This also shows what a terrible job the club did commercialising the club.

 

FA Cup winners, top 7 constantly, there should be an increase in sponsorship/other revenue generators. Not helped by COVID destroying corporations marketing budgets at the time but Christ, there’s money left in the table for sure.

 

Wages were too high, turnover then needs to be higher too Top. I’d rather take the ridiculous “Official Pyjama Partner of Leicester City” $ than have a points deduction.

[HankMarvin]

1 minute ago, moore_94 said:

For the books I think it might actually show as a profit? (not sure how it works honestly, @coolhandfox?)

 

Paid about £20m for him on a 5 year contract in 2020

 

We got about £12m for him from Fulham when he had 2 years left

Fee divided by contract length 

 

+4m

[Finn Claw II]

Inflation impacts revenue also…

 

I also don’t think inflation really impacts football player wages in the same way as normal jobs.  They can still afford a Waitrose shop - certainly on our generous wages 

[hebangsthedrums]

1 minute ago, Finn Claw II said:

Inflation impacts revenue also…

 

I also don’t think inflation really impacts football player wages in the same way as normal jobs.  They can still afford a Waitrose shop - certainly on our generous wages 

Yes with our wages they can literally buy a Waitrose shop - freehold, stock, fish counter and all

[funkyrobot]

4 minutes ago, reynard said:

I'm not sure that is correct. As it stands we are not only unable to register any new players but we are also unable to offer new contracts to players out of contract during the period of the embargo and presumably unable to offer new terms to any existing player. I may have this wrong so please feel free to correct me.

 

There's no getting away from the fact that these results are truly awful and we deserve everything coming our way. 

 

Of course the final figures to be considered won't be quite so bad once we take off costs of women's team etc but to allow wages to increase to that level is simple madness.

 

To me it looks like promotion is absolutely essential. Yes we will end up with a negative points position to start the season but without the Premier League money I think we are truly stuffed for years to come.

 

Missing out will likely or possibly  mean a great many years in the doldrums of football. We'd likely not only get a points deduction but the transfer embargo would also be continued, probably for at least one full season and I can't see how we would meet the EFL financial criteria either in the short terms or medium term without off loading most of the first team squad.

 

If we had a decent youth team set up I'd feel more confident but we really don't seem to be able to produce that many top quality players that way hence having to buy more and more players.

 

The rebuild will be massive and without promotion I can see us being outside the top flight for at least a decade and maybe longer. There are examples of clubs taking 20+ years to get back to the top flight and falling well down the league ladder. I'm not confident that won't be us too. The next  few weeks are critical to the short and medium term future of the club.

 

 

 

 

The EFL has a responsibility to ensure a clubs can be competitive even during an embargo, otherwise we’ll only have 16 players next season including 3 keepers! We have to be able to register up to 24 players. We can re-sign players whose contract is ending, take on other free agents and loan players. 

[reynard]

2 minutes ago, Finn Claw II said:

Inflation impacts revenue also…

 

I also don’t think inflation really impacts football player wages in the same way as normal jobs.  They can still afford a Waitrose shop - certainly on our generous wages 

It doesn't of course but without knowing what their contracts are it is hard to say whether they get an annual pay rise like most people pr whether it is a fixed contract for so many years with interim increases etc.

Whatever the case player wages have got to fall and need to fall for the game to become sustainable. 

I wonder how much we've forked out in agent fees too. Pariahs of the modern game.

[kingfox]

Unsurprisingly it seems those at the top got cocky, those two 5th place finishes went to their heads, and they tried to operate like a top six club. 
 

Those wage figures are an absolute joke, but they are hardly surprising. Fans knew that numerous players were on undeserved high wages, now here’s the evidence. 
 

Nowadays we see Director of Football being a key figure in the game, over the past few weeks we’ve seen both Man Utd & Liverpool getting linked with well respected Directors of Football. 
 

You never see Jon Rudkin getting linked to clubs like that though do you, because he’s shite. 

 

Top needs to grow a set of bollocks and make some drastic changes to our Football Operations, if not then it’s about time for our fans to seriously consider protesting against certain elements of this football club.

[EnglishOxide]

Can only assume there has been nobody at the club since Vichai that has an iron grip on the finances or the wages.

 

Under Vichai, Pearson or Walsh, there is no circumstance where Hamza fkin Choudhary would have blagged himself a 60k pw contract. He's barely worth a third of that.

 

Also, with those accounts I assume we are waiting on instalments and appearance fees for lots of players. The likes of Fofana surely owes us about £20m still. 

[reynard]

1 minute ago, funkyrobot said:

The EFL has a responsibility to ensure a clubs can be competitive even during an embargo, otherwise we’ll only have 16 players next season including 3 keepers! We have to be able to register up to 24 players. We can re-sign players whose contract is ending, take on other free agents and loan players. 

Brilliant thanks for posting that. Some  hope then though there's not much scope there really for signing new players especially as any transfer fee would likely not be allowed.  

[Foxin_Mad]

11 minutes ago, Lako42 said:

Come on man. 10% inflation hasn't seen our wage bill go up over 100% since we won the league. 

 

It's **** all to do with us having 116% of revenue being spent on wages. 

 

Oh and this reporting period isn't even the worst of the inflationary environment. 

 

Wait for next year's submission 

It's not the sole reason, but proves a weakness in the rules for me. 

 

The wages were paid on the assumption of a self confessed elite level manager and a succession of top 10 finishes which isn't unreasonable.

 

They have made errors, our transfer business has been bad, we should have ditched Rodgers sooner but its very easy for sn ambitious club to end up like this.

 

I doubt after 2021 there was much criticism of the way the club was run. I'm not sure Rudkin has ever been the right man, our transfer business during his time has been poor, the odd exception bring during Puel. 

 

We've tried to break a ceiling and ****ed it, but as a fan would you have been happy of 10 years of Crystal Palace and no trophies or Europe trips...that's the reality of a compliant sustainable club under FFP. Just nothingness. Is that what we want fir football?  Same winners, same promotions etc. 

 

 

[Finn Claw II]

The Maccauire loan was to bring forward the fees for Maddison, Barnes and Castagne. 

[st albans fox]

33 minutes ago, HankMarvin said:

If the last 3 seasons of losses amass to 215m 

that includes a Covid year ( losses 30m)

that will have rolled off so based on the last 2 prem seasons 

90 odd million each 

plus a season in the champ at the same rate (90m) would be 270m

 

allowed losses 3 year period 87m 

 

Losses are tempered by allowable deductions.  The club will not lose £90m this season either. 
 

1 minute ago, EnglishOxide said:

Can only assume there has been nobody at the club since Vichai that has an iron grip on the finances or the wages.

 

Under Vichai, Pearson or Walsh, there is no circumstance where Hamza fkin Choudhary would have blagged himself a 60k pw contract. He's barely worth a third of that.

 

Also, with those accounts I assume we are waiting on instalments and appearance fees for lots of players. The likes of Fofana surely owes us about £20m still. 

I doubt there’s anything more to come on fofana.  We got 70m+ because we wouldn’t accept loads of add ons.  And he’s hardly played so we wouldn’t be due anything extra! 

 

[Finn Claw II]

7 minutes ago, funkyrobot said:

The EFL has a responsibility to ensure a clubs can be competitive even during an embargo, otherwise we’ll only have 16 players next season including 3 keepers! We have to be able to register up to 24 players. We can re-sign players whose contract is ending, take on other free agents and loan players. 

Good job we can sign an emergency loan keeper.  If we don’t have 5 keepers on the books it’s no LCFC

[funkyrobot]

1 minute ago, kingfox said:

Unsurprisingly it seems those at the top got cocky, those two 5th place finishes went to their heads, and they tried to operate like a top six club. 
 

Those wage figures are an absolute joke, but they are hardly surprising. Fans knew that numerous players were on undeserved high wages, now here’s the evidence. 
 

Nowadays we see Director of Football being a key figure in the game, over the past few weeks we’ve seen both Man Utd & Liverpool getting linked with well respected Directors of Football. 
 

You never see Jon Rudkin getting linked to clubs like that though do you, because he’s shite. 

 

Top needs to grow a set of bollocks and make some drastic changes to our Football Operations, if not then it’s about time for our fans to seriously consider protesting against certain elements of this football club.

Top obviously likes Rudkin, I just wish he’d protect his best mate by taking the responsibility of Leicester away from him.
 

Let Jon stick to Leuven and the horses, even keep his wage the same if you like him Top but just take him out of the LCFC equation and then get a proper director of football in (who is not a mate) and then target him/her to deliver according to the expectations of the club and at least close to the financial regulations of the leagues and if they don’t achieve it then move them on! 

[Sly]

5 minutes ago, EnglishOxide said:

Can only assume there has been nobody at the club since Vichai that has an iron grip on the finances or the wages.

 

Under Vichai, Pearson or Walsh, there is no circumstance where Hamza fkin Choudhary would have blagged himself a 60k pw contract. He's barely worth a third of that.

 

Also, with those accounts I assume we are waiting on instalments and appearance fees for lots of players. The likes of Fofana surely owes us about £20m still. 

Apparently we covered our incoming transfer monies for players like Fofana with the bank loans. We now owe more in our goings than we have potential incomings. 
 

Choudhury got his extension in 2019ish to the crazy wage he’s apparently on. Prior to that, he was earning a lot less from what I was told, despite him being linked to Barca and Real Madrid  Anything to bump that salary up! 

[reynard]

This was part of Susan Whelan's statement in March 2023

King Power’s unwavering support of the Club provides a secure position from which to capitalise on our opportunities. However, in order to remain compliant with the game’s regulations both domestically and in Europe – where we aim to compete regularly – our ongoing investment strategy must continue to reflect our underlying revenue progression

 

Well they have clearly failed to do this. A complete failure of senior management. I can't see how they can continue in their posts and maintain the respect of the supporters.

[HankMarvin]

11 minutes ago, st albans fox said:

Losses are tempered by allowable deductions.  The club will not lose £90m this season either. 
 

I doubt there’s anything more to come on fofana.  We got 70m+ because we wouldn’t accept loads of add ons.  And he’s hardly played so we wouldn’t be due anything extra! 

 

Well that will depend on player sales 

 

the 90m losses last season partly  

consisted of player sales 104m including JM

purchases 53m difference + 51m

 

this season 44m purchases 

66m in sales difference + 22m

 

so straight away there is 29m worse off 

Edited 2 April by HankMarvin

[st albans fox]

2 minutes ago, HankMarvin said:

Well that will depend on player sales 

 

the 90m losses last season partly  

consisted of player sales 104m including JM

purchases 53m difference + 51m

 

this season 44m purchases 

66m in sales difference + 22m

 

so straight away there is 29m worse off 

The purchases are spread over 5 years whereas the profit from sales is straight onto the bottom line

 

[bmt]

What a mess

[STUHILL]

If our point deduction for last year will be delayed until the start of next season, will we not face a further point deduction in the same season for this years accounts? And/Or are we facing another points deduction at the start of 25/26 season? 

[kingfox]

4 minutes ago, funkyrobot said:

Top obviously likes Rudkin, I just wish he’d protect his best mate by taking the responsibility of Leicester away from him.
 

Let Jon stick to Leuven and the horses, even keep his wage the same if you like him Top but just take him out of the LCFC equation and then get a proper director of football in (who is not a mate) and then target him/her to deliver according to the expectations of the club and at least close to the financial regulations of the leagues and if they don’t achieve it then move them on! 

Rudkin has gone through the ranks at Leicester City since 2003, as the saying goes he is ‘part of the furniture’. 
 

But it’s reached the point where he needs to be moved on, Top needs to be cutthroat and make some changes. 
 

Whether it’s removing Jon Rudkin, Susan Whelan or both, something needs to happen. 
 

A well respected Director Of Football with good history is needed. 

[Guest foxestalkisfullofidiots]

4 hours ago, honeybradger said:

How reliable is this guy? Are they accounting for wages covered by other teams for our players on loan? Are these wages taking into account the relegation clauses?

Kieran Mcguire is always spot on, his Podcast the price of football has been going for about 4 years, if you listen to it he explains everything really well

[reynard]

 

So basically in the the full financial report in spring 2023 the directors stated they were confident we would comply with the premier league's sustainability and profitability requirements.

Considering the figures just released I'm not sure how they can possibly have been confident of this.

 

 

 

 

 

[MattFox]

36 minutes ago, ACF said:

This also shows what a terrible job the club did commercialising the club.

 

FA Cup winners, top 7 constantly, there should be an increase in sponsorship/other revenue generators. Not helped by COVID destroying corporations marketing budgets at the time but Christ, there’s money left in the table for sure.

 

Wages were too high, turnover then needs to be higher too Top. I’d rather take the ridiculous “Official Pyjama Partner of Leicester City” $ than have a points deduction.

Almost as if deciding to plaster your own brand over key sponsorship areas for minimal fee isn’t a good plan

[STUHILL]

3 minutes ago, reynard said:

 

So basically in the the full financial report in spring 2023 the directors stated they were confident we would comply with the premier league's sustainability and profitability requirements.

Considering the figures just released I'm not sure how they can possibly have been confident of this.

 

 

 

 

 

They expected a big fee for Danny Ward. Easily done.