2023/24 Financials (The Club made a pre-tax loss of £19.4M for the 12-months to 30 June 2024)

[LCFCCHRIS]

13 hours ago, The Horse's Mouth said:

Moronic idea really, cutting wages of the footballers would just mean all that money saved goes into some directors pocket 

Better than into the pocket of an Eduard type journeyman who contributes nothing to a team. 
 

clubs are making huge losses currently. So they need the profits back into clubs. I’m sure the players will survive on £2000 a day 

Edited 1 April by LCFCCHRIS

[davieG]

Seem to be doing better in Belgium

 

https://www.leicestermercury.co.uk/sport/football/football-news/inside-king-power-stadium-owners-10072002

 

By

Jordan Blackwell

 

Positive review over King Power’s OH Leuven ownership

City’s financial accounts for last season are due imminently, but they have just been released over in Belgium, where King Power own OH Leuven.

Belgian newspaper Het Nieuwsblad have undertaken an analysis of each side’s finances and King Power’s running of Leuven appears healthy enough.

The club made a loss of €14.6m for the 23-24 season. They had a ‘squad spend ratio’ – wages paid to players and coaching staff compared to the net income of the club – of 88 per cent, satisfying the Belgian Pro League’s maximum limit of 90 per cent.

However, that will need to come down. By the 25-26 season, the Pro League want that figure to be 70 per cent or less.

The report notes that King Power are looking into how they can improve both OH Leuven’s stadium and training ground, although it appears those considerations are in the early stages at the moment.

Asked for an assessment of King Power’s running of OH Leuven, Wim Lagae, a sports economics professor at KU Leuven, Belgium’s biggest university, said: “I would say: thanks to King Power. Since 2023, they have invested no less than 63 million euros in capital increases.

“There is a sustainability element: I also hear that King Power says that they will continue to invest even in the event of relegation. You can feel that in the relevant investments.

“Women's football is a spearhead here. At OHL they think: we may not be the best in the men's category, but we could be the best in the women's category.

“You also see it in other small things that are being worked on, such as their investments in the greenkeeper and the grass pitch.

“OH Leuven is also increasingly succeeding in increasing their income on non-match days, for example by renting to companies or as a home base for the Red Flames (Belgium’s women’s national team).

“Together with Westerlo, OH Leuven belongs to the group of clubs where the owners really pump money.”

[stevostadium]

7 hours ago, ClaphamFox said:

Yes, I heard Rob Tanner last night. He did indeed imply that the EFL is 'baying for blood' but he provided no details whatsoever about what the EFL can get us for and what measures they will be able to take against us. The podcasts you mention all follow the same pattern: dark hints that we're going to get 'hit hard' with something by a vengeful EFL combined with no knowledge whatsoever of exactly how this will happen.

I'm pretty sure the EFL will not be able to hit us with a transfer embargo this summer because we didn't breach for the period ending 2023-24 and we won't submit our accounts for 2024-25 to them until the autumn at the earliest. A points deduction may be possible if the PL's arbitration process against us for 2020-23 (the one we escaped on a technicality) ends up being passed onto the EFL. However, as yet it's not clear whether this will happen.

 

As for sellable assets, I disagree about BEK. I don't think we'd be able to sell him for much more than we bought him for, so selling him would have little benefit from a PSR perspective. Much better to keep him. Likewise I can't see anybody dropping big money on Fatawu until it's clear how he's recovered from his injury.

I think BEK is our biggest sellable asset alongside the GK. (Although i appreciate we paid 20-25M Euros)

If Arsenal are sniffing around than that s 30-40M, GK will be 30-35M IMO

You say the word the EFL "may" hit us with a points deduction, on what basis?

I said this a few months ago about Sheff Utd and was shot down buy yourself saying we have not committed an offence like Sheff U so wont get a points deduction, so whats changed?

 

IMO i think now have a few hard long years ahead of us now like Reading etc and fear the worst.

 

I am genuinelly not looking for an argument here just want to know whats changed.

[stevostadium]

In all honestly the club is run like an absolute disgrace, i genuinely cant see a way out with current "Top level management team" in place

Edited 1 April by stevostadium

[ClaphamFox]

2 hours ago, stevostadium said:

I think BEK is our biggest sellable asset alongside the GK. (Although i appreciate we paid 20-25M Euros)

If Arsenal are sniffing around than that s 30-40M, GK will be 30-35M IMO

You say the word the EFL "may" hit us with a points deduction, on what basis?

I said this a few months ago about Sheff Utd and was shot down buy yourself saying we have not committed an offence like Sheff U so wont get a points deduction, so whats changed?

 

IMO i think now have a few hard long years ahead of us now like Reading etc and fear the worst.

 

I am genuinelly not looking for an argument here just want to know whats changed.

Nothing has changed. I’ve repeatedly argued against any suggestions we may get a transfer of embargo this summer, but I’ve never ‘shot down’ claims we may get a points deduction. Our case is different from Sheff Utd’s because they were punished for defaulting on payments to other clubs and we have not been accused of anything like that. However, we are still in an arbitration process with the PL over our PSR breach for 2020-23 (the one we avoided on a technicality earlier this season). It is possible that gets passed onto the EFL to deal with, in which case we may get a deduction next season (although nobody seems to know whether this is likely to happen or not). None of this is new. 
 

I’ll be surprised if anybody offers north of £35m for BEK and I think it would take at least that to persuade us to sell him. However if I’m wrong and a big offer comes in for him, then yes, I’m sure he’ll go. 

[The Horse's Mouth]

7 hours ago, Les-TA-Jon said:

You specifically said that the PSR rules haven't affected us though - but they simply have

 

For what it's worth, I totally agree that we've been a shambles for a long time. But I just see as a 'both things can be true at once' situation. 

 

 

I didn’t specifically say that they haven’t affected us, I said they aren’t the reasons for our failures this season. The rules affect us the same way as any other team 

[Foxin_Mad]

At least king top has secured another payday loan on us, wonder if payday is coming?!

[moore_94]

 

[moore_94]

 

[moore_94]

https://www.lcfc.com/pages/en/media-article/lcfc-accounts-2023-24

 

Leicester City Football Club today publishes its annual accounts for the period ending 30 June 2024.

 

After nine consecutive seasons of Premier League football, our first year outside of the top flight in a decade had a marked impact on revenues. However, a profitable period of player trading, positive commercial performance and appropriate management of costs enabled us to make the investments we needed to deliver a successful season and an immediate return to the Premier League.

 

The Club made a pre-tax loss of £19.4M for the 12-months to 30 June 2024. This compares with a loss of £89.5M to 30 June 2023 (a 13-month period following a change to align year-ends across the Group).

 

Our turnover for the year fell to £105.3M (2023: £177.3M). However, while broadcast rights revenue (£54.2M) and sponsorship revenue (£21.5M) were reduced as a direct result of absence from the top flight, gate receipts held firm (£18.4M in both 2024 and 2023) and other commercial revenues increased by £0.3M to £9.8M.

 

Our financial results also continue to reflect our ongoing investment in LCFC Women, who secured a fourth successive season of Barclays Women’s Super League football, while maintaining their record of having improved their points total every year since promotion in 2021.

 

The long-term, financial security required for the Club to re-establish its wider position of strength continues to be provided by our Chairman, Aiyawatt Srivaddhanaprabha, whose overall investment in the Club since 2010 now exceeds £420M, following a latest conversion of debt into equity in January 2025.

 

Susan Whelan, Leicester City Chief Executive, said: “Operating outside of the Premier League during the 2023/24 season required some obvious adjustments compared with previous years. However, we achieved success on the pitch and attained promotion and the Championship title at the end of the season.

 

“As a Club, we still have work to do to return to the consistent heights of the last 15 years and the ability to successfully adapt to different challenges is a strength we will rely on as we build for future seasons.

 

“Thank you to our supporters, staff and partners for the vital roles they play in the Club’s development, for the loyalty they continually demonstrate and for the passion that will fuel our future progress.”

Edited 2 April by moore_94

[Lionator]

3 minutes ago, moore_94 said:

https://www.lcfc.com/pages/en/media-article/lcfc-accounts-2023-24

 

Leicester City Football Club today publishes its annual accounts for the period ending 30 June 2024.

 

After nine consecutive seasons of Premier League football, our first year outside of the top flight in a decade had a marked impact on revenues. However, a profitable period of player trading, positive commercial performance and appropriate management of costs enabled us to make the investments we needed to deliver a successful season and an immediate return to the Premier League.

 

The Club made a pre-tax loss of £19.4M for the 12-months to 30 June 2024. This compares with a loss of £89.5M to 30 June 2023 (a 13-month period following a change to align year-ends across the Group).

 

Our turnover for the year fell to £105.3M (2023: £177.3M). However, while broadcast rights revenue (£54.2M) and sponsorship revenue (£21.5M) were reduced as a direct result of absence from the top flight, gate receipts held firm (£18.4M in both 2024 and 2023) and other commercial revenues increased by £0.3M to £9.8M.

 

Our financial results also continue to reflect our ongoing investment in LCFC Women, who secured a fourth successive season of Barclays Women’s Super League football, while maintaining their record of having improved their points total every year since promotion in 2021.

 

The long-term, financial security required for the Club to re-establish its wider position of strength continues to be provided by our Chairman, Aiyawatt Srivaddhanaprabha, whose overall investment in the Club since 2010 now exceeds £420M, following a latest conversion of debt into equity in January 2025.

 

Susan Whelan, Leicester City Chief Executive, said: “Operating outside of the Premier League during the 2023/24 season required some obvious adjustments compared with previous years. However, we achieved success on the pitch and attained promotion and the Championship title at the end of the season.

 

“As a Club, we still have work to do to return to the consistent heights of the last 15 years and the ability to successfully adapt to different challenges is a strength we will rely on as we build for future seasons.

 

“Thank you to our supporters, staff and partners for the vital roles they play in the Club’s development, for the loyalty they continually demonstrate and for the passion that will fuel our future progress.”

First response is that the club isn’t too bothered about relegation again as it’ll help to balance the books. Short term pain for long term gain? It’s a stupid strategy but I may be wrong 

[CosbehFox]

6 minutes ago, Lionator said:

First response is that the club isn’t too bothered about relegation again as it’ll help to balance the books. Short term pain for long term gain? It’s a stupid strategy but I may be wrong 

Hmmm the safety net of the second parachute payment isn't so kind. Worth baring in mind that these 'results' are helped a lot by that. 

Edited 2 April by CosbehFox

[LFEFox23]

Can someone break this down into Laymans terms, Are we in the dog poo again or not?

[AKCJ]

That's not as bad as I thought it would be.

 

Still horrendous, mind you considering we're going into the same situation with maybe a quarter of the squad value that we went down with in 22/23.

 

 

[Gamble92]

12 minutes ago, Lionator said:

First response is that the club isn’t too bothered about relegation again as it’ll help to balance the books. Short term pain for long term gain? It’s a stupid strategy but I may be wrong 

The reason they should be more bothered about this relegation is the widening gap between the Championship and Premier League - and on paper we should have been in the best possible position of a promoted side to survive. Given the wage bill we went down with. 

 

If we're promoted next season then there won't be anyone on the level of KDH, Hermansen, Ricardo, Ndidi etc. So we've effectively let ourselves fall into the yo-yo club again. 

[FrankieADZ]

18 minutes ago, moore_94 said:

https://www.lcfc.com/pages/en/media-article/lcfc-accounts-2023-24

 

Leicester City Football Club today publishes its annual accounts for the period ending 30 June 2024.

 

After nine consecutive seasons of Premier League football, our first year outside of the top flight in a decade had a marked impact on revenues. However, a profitable period of player trading, positive commercial performance and appropriate management of costs enabled us to make the investments we needed to deliver a successful season and an immediate return to the Premier League.

 

The Club made a pre-tax loss of £19.4M for the 12-months to 30 June 2024. This compares with a loss of £89.5M to 30 June 2023 (a 13-month period following a change to align year-ends across the Group).

 

Our turnover for the year fell to £105.3M (2023: £177.3M). However, while broadcast rights revenue (£54.2M) and sponsorship revenue (£21.5M) were reduced as a direct result of absence from the top flight, gate receipts held firm (£18.4M in both 2024 and 2023) and other commercial revenues increased by £0.3M to £9.8M.

 

Our financial results also continue to reflect our ongoing investment in LCFC Women, who secured a fourth successive season of Barclays Women’s Super League football, while maintaining their record of having improved their points total every year since promotion in 2021.

 

The long-term, financial security required for the Club to re-establish its wider position of strength continues to be provided by our Chairman, Aiyawatt Srivaddhanaprabha, whose overall investment in the Club since 2010 now exceeds £420M, following a latest conversion of debt into equity in January 2025.

 

Susan Whelan, Leicester City Chief Executive, said: “Operating outside of the Premier League during the 2023/24 season required some obvious adjustments compared with previous years. However, we achieved success on the pitch and attained promotion and the Championship title at the end of the season.

 

“As a Club, we still have work to do to return to the consistent heights of the last 15 years and the ability to successfully adapt to different challenges is a strength we will rely on as we build for future seasons.

 

“Thank you to our supporters, staff and partners for the vital roles they play in the Club’s development, for the loyalty they continually demonstrate and for the passion that will fuel our future progress.”

excuse me? 

they must be really smoking something good at the club, 

what development? going backwards

[Jambiasso]

A concern for me is wages still being over 100% of revenue and that we managed to make a loss despite parachute payments and making £71.8m profit on the sales of Barnes, Castagne and KDH (page 3 of the report)

[ian__marshall]

On 01/04/2025 at 09:42, davieG said:

Aye all clubs make bad transfers but some are able to ride better it for all sorts of reasons many underhand ones.

 

I think our biggest failure was to continue to agree top 6 PL wages to more players than it was justified.

That's the difference between what we did and what Brighton do. That and continuous succession planning. 

 

As soon as Brighton's players get to the point where they believe they warrant more money outside of their model they are moved on to club that can support the players demands with the club's best wishes.

 

It instills trust with both players and agents as they know they can move when they reach a certain level assuming there is a taker. It also keeps the wage bill in check as you never breach, and if a player has no suitors on the terms they are after the emphasis is on their agent to sell their services better rather than the club to improve their terms. Fundamentally it means they attract lots of upcoming raw talent who know they are in a great environment to develop and have a springboard to propel themselves to great heights. 

 

Contrast that against the Mahrez scenario where we dug our heels in, and you can see why we ended up losing Tielemans for nothing as he couldn't risk signing a new contract and having the same happen to him. 

 

Where we do differ from Brighton, is that we were a victim of our own success. Having unexpectedly won the PL, we really had no choice but to reward said players with salaries that reflected that level. That then set a precedent for incoming signings as they and their agents demanded similar terms and then it has become a vicious cycle where the over a period of time the wages have remained high but the quality had dropped off.

 

Brighton haven't as yet found themselves in that situation so it is easier to manage the transition as they close the gap on the top 6. That said, if they did suddenly win the league I imagine they'd place their faith in their model, and sell off those demanding higher wages and backfill with those players looking to break through into the first team. 

 

The best way to remedy this now is to go with youth on lower salaries and adopt the Brighton model of letting players leave and planning for their departure. 

[Les-TA-Jon]

So that's:

• £92.5m loss for period ending June 2022
• £89.5m loss for period ending June 2023
• £19.4m loss for period ending June 2024

£201.4m loss for 3 year period ending June 2024 

 

So £96.4m over the PSR allowable losses threshold of £105m - but of course you have the various allowable add-backs and player sales etc. 

[87fox]

From the actual accounts document:
 

Quote

One of the ways in which this cost reduction was implemented was ... the confidential settlement of a commercial dispute before the end of the financial year.

What does this relate to??

[StanSP]

They've really leant into the Championship promotion success as something to be proud of, as opposed to it being totally avoidable being in that division in the first place. 

30 minutes ago, moore_94 said:

As a Club, we still have work to do to return to the consistent heights of the last 15 years and the ability to successfully adapt to different challenges is a strength we will rely on as we build for future seasons

Also, how have they successfully adapted to challenges? And what strengths can be seen from it?! 

[Stadt]

29 minutes ago, moore_94 said:

However, a profitable period of player trading, positive commercial performance and appropriate management of costs

"Profitable player trading" We made a profit on players we were forced to sell because we were relegated, including the 'pure profit' on our best academy player for ~30 years.

[StanSP]

Just now, 87fox said:

From the actual accounts document:
 

What does this relate to??

Was it the JD sports thing? 

[CosbehFox]

1 minute ago, StanSP said:

Was it the JD sports thing? 

It suggests money LCFC received 

[87fox]

1 minute ago, StanSP said:

Was it the JD sports thing? 

It relates to income for the club - I thought the JD Sports thing would have been a fine?