davieG Posted 18 May 2010 Posted 18 May 2010 From the BBC - http://news.bbc.co.u...ty/8690328.stm? Leicester City have reported annual losses of £6m for the 2008/2009 financial period ending on 31 May.The club, who lost more than £14m for the same period in 2007/08, earned promotion back to the Championship by winning League One in 2008/09. But chairman Milan Mandaric cited reduced television revenue in League One as a big reason for their losses. Mandaric said: "We have successfully stabilised our club...unfortunately the success comes at a price." He added: "With much lower broadcasting income in League One, we are reporting losses of £6m for the season ending 31 May. "Nevertheless this is a significant improvement when compared to the £14m of losses of the previous record. "Reporting these losses, I am mindful of the demanding nature of football finances and I am fully committed to standing by this club, whatever its financial needs are." Not sure this is actually news as I'm certain I've heard this previously.
Foxes_Trust Posted 18 May 2010 Posted 18 May 2010 From the BBC - http://news.bbc.co.u...ty/8690328.stm? Not sure this is actually news as I'm certain I've heard this previously. It is only because the accounts for season 08/09 have only finally been officially published, nearly 3 months late
Carlos9 Posted 19 May 2010 Posted 19 May 2010 "Reporting these losses, I am mindful of the demanding nature of football finances and I am fully committed to standing by this club, whatever its financial needs are." Lets hope he means that.
Podge Posted 19 May 2010 Posted 19 May 2010 That's not terrible news, seeing as now we've had a season back in the Championship we should see an improvement on that figure for this season's results and hopefully we can keep building along the same lines we are now
Fox in a Box Posted 19 May 2010 Posted 19 May 2010 I would look at what the profit/loss is from when Milan purchased the club. (didnt they make a £5m profit in the first year?) Note. He hires and fires managers He sanctions wages and monies to be spent on players He has overall control over the purse strings. This amount doesnt take into account any of this season which has seen improved revenue streams.
Hitesh Posted 19 May 2010 Posted 19 May 2010 What does this bit mean?? At the year-end, there were 10 players for which the cost of their registration has been capitalised and were still being amortised over the period of the respective player's contract.The combined net book value of these 10 player registrations was £3m as at 31 May 2009. Taken from here
Mav Posted 19 May 2010 Posted 19 May 2010 What does this bit mean?? Taken from here Clauses in their contracts, bonuses?
Babylon Posted 19 May 2010 Posted 19 May 2010 Didnt they make a £5m profit in the first year? If we were making £5m profit there would have been no need to sell the club to him.
Flynny Posted 19 May 2010 Posted 19 May 2010 It's just confirmation of what Mandy said to expect. He said he expects to make a £5-6 million pound loss every year.
Jon the Hat Posted 19 May 2010 Posted 19 May 2010 What does this bit mean?? Taken from here It means if we bought some players for say, £6m, rather than take that £6m as an expense to the profit at loss account in one go, we put that amount on the balance sheet as as asset, and amortised it over the length of their contract - which means if it was 3 years that you would charge £2m each year to the P&L. The net book value is the original purchase cost less less the amount amortised.
Flynny Posted 19 May 2010 Posted 19 May 2010 It means if we bought some players for say, £6m, rather than take that £6m as an expense to the profit at loss account in one go, we put that amount on the balance sheet as as asset, and amortised it over the length of their contract - which means if it was 3 years that you would charge £2m each year to the P&L. The net book value is the original purchase cost less less the amount amortised. So you mean that if we bought Wellens for £1,000,000 a year ago, and he's on a three-year contract, £330,000 has gone down as a loss and he's on the books as a £660,000 asset?
Jiggers the Fox Posted 19 May 2010 Posted 19 May 2010 It means if we bought some players for say, £6m, rather than take that £6m as an expense to the profit at loss account in one go, we put that amount on the balance sheet as as asset, and amortised it over the length of their contract - which means if it was 3 years that you would charge £2m each year to the P&L. The net book value is the original purchase cost less less the amount amortised. Accountancy and football, my two loves together in one place!!
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