FFP

[aj2k77]

There may be some big write downs in that number.

Do you know how Spurs did?

Lost loads but they have injuries.

[BC54 VFC]

That YOY increase in wages of £52m is some hike!

[ROBBO]

One positive is that organisations or countries that see the Premiership as an ideal place to sportwash (Newcastle cough cough) will realise that the top four monopoly have ensured that having a lot of money to throw around has suddenly become pointless. Many are waiting to see what happens to Man City, if they incur a sizeable penalty there will be many clubs in strife.

[sid1964]

So the loss of £138 million is all Chris Hecks fault?

If the figure is correct are we going to get a points deduction next season or even this season?

[Dogtanian]

So the loss of £138 million is all Chris Hecks fault?

If the figure is correct are we going to get a points deduction next season or even this season?

No, because it would have been announced by now as the PL have had our figures since December.

Next year’s will depend on if we have screwed up in this season’s accounts, which won’t end until May.

[Dave]

If these rumours are even close to being true, it would make no sense us spending £12m or so on Nedeljkovic and Rogers, neither of which were essential in January.

[Gareth]

If these rumours are even close to being true, it would make no sense us spending £12m or so on Nedeljkovic and Rogers, neither of which were essential in January.

Exactly this

[Somniloquism]

That YOY increase in wages of £52m is some hike!

Not sure if they include Torres, or Diaby but I expect they were not cheap, especially the latter. But we also did lots of new contracts over the last 18
months, plus it might also contain bonuses in players contracts for making Europe.

[Smithy]

That YOY increase in wages of £52m is some hike!

Not sure if they include Torres, or Diaby but I expect they were not cheap, especially the latter. But we also did lots of new contracts over the last 18
months, plus it might also contain bonuses in players contracts for making Europe.

Had we even qualified for Europe when these accounts closed?

[Dogtanian]

May 2023, so yep.

[lovejoy]

On page 29 it says our wage to revenue ratio is 92% but on page 31 it says 71%.

[Risso]

That figures doesn't quite add up to me, but we'll see at the end of the month I guess.

For comparison, in the accounts for the year before (31 May 2022), we made an operating loss (ie before anything to do with player costs) of £14m. We then had amortisation of £83m, making the loss worse, but profit on disposal of players (Grealish mainly) of £97m which offsets it. With a few quid of interest in and out, there was a small profit for the year.

So conceivably, if the operating loss stays broadly similar this year, and we sold no players, then with the amortisation we could be looking at a loss of c. £100m. Add increased amortisation for players bought and an increase in wages, and I guess you could be getting that up over £100m. But if we look at the post balance sheet events note that mentions everything that happens between 31 May 2022 and 28 Feb 2023, then it states that we sold players worth £48m, which I reckon is Targett (£15m) Trez (£4m) Chukwuemeka (£18m), Ings (£12m), El Ghazi (£2m). Most of that would have been profit as all except Ings had been here a while, and Chukwuemeka was a youth player.

The same note says we bought players worth £63m, ie Carlos (£26m), Duran (£15m), Moreno (£12m) Dendocker (£13m). For the sake of argument, if they're all on an average 3 year contract, that's an extra £20m a year amortisation. So a very rough back of a fag packet calculation:

2022 operating loss: (£14m). Add maybe another £10m for 2023, that's (£24m). Take 2022 amortisation of (£83m) deduct say £10m and add amortiastion of new players = (£93m) Add that to the operating loss to give total loss of (£117m). Take off say, £36m for profit on players sold, gives a loss of (£81m). Not great but nowhere near what's being reported. Obviously I have no idea if that guess at an operating loss is correct. If it's way more, then the loss figure being reported could be right, and if it's less then it'll be smaller.

[PaulWinch again]

Interesting thanks.

[Drummond]

Well I trust you to be right (on that, don't get carried away 😉) more than some random twitter thing.

Plus, why on earth would the club be taking risks on it all and getting it all wrong? I just don't see our owners gambling our future.

[Smithy]

Well I trust you to be right (on that, don't get carried away 😉) more than some random twitter thing.

Plus, why on earth would the club be taking risks on it all and getting it all wrong? I just don't see our owners gambling our future.

That's my view too. The way the club is run today, it just doesn't strike me as plausible that we would lose SO much money as to put us in FFP peril - certainly not given we actually paid cash money for players in January as well.  I could definitely see us getting up close to the limit in a managed way, but being past it by orders of magnitude (as suggested by some of these figures), I just don't see it.