Newcastle Accounts

[Jammy89]

Accounts released today:

Newcastle United publish 24/25 accounts, when Club won Carabao Cup. 🔑figures
⚽️Total revenue ?335m (record) ⬆️5%
⚽️ Commercial revenue ?123m (record, adidas deal etc) ⬆️42%
⚽️ Broadcast revenue ?161m ⬇️12% (no CL)
⚽️ Wages ?243m ⬆️11%
⚽️Average weekly wage ?103k
⚽️ Wages/revenue 73% (2024 68%)
⚽️ Amortisation ?100m ⬆️3%
⚽️ Underlying loss ?107m ⬆️55%
⚽️ Sale of property to group company ?129m (perfectly legal and allowed for PSR)
⚽️ Player sale profits ?20m ⬇️72%
⚽️Pre tax profit ?35m
⚽️Player purchases ?40m
⚽️Player sales ?29m
⚽️Total cost of squad ?581m ⬇️4%
⚽️Shares issued to owners in year ?50m

Newcastle would have failed PSR had it not been for the stadium sale to themselves.

With regards to the stadium sale to ourselves, this is the general over-view:

"it?s a lever that has been pulled to avoid financial penalty which also makes sense as the new company that owns the stadium will borrow the money to fund construction of the new one so that club is not saddled with debt"

Guess this means we can't call out Villa and Chelsea anymore

At least we're beginning to play how the others play.

[Zippity]

It's about bloody time!!

Absolutely ridiculous state of affairs all round.

[Ragatino]

It's about bloody time!!

Absolutely ridiculous state of affairs all round.

It's being framed by the media as a PSR work around. However, Chelsea's accounting magic caused those loop holes to be closed.

The actual reason the club moved the lease of the ground to a 2nd entity makes encouraging external investment much easier.

This is a move to set up a separate entity, which I would imagine, will be used to capitalise the assets of the club as collateral against the cost of building a new stadium or SJP expansion.

This action points to a new stadium/development more likely than a redevelopment process being undertaken.

As the Stadium is an asset of the club it is easier to facilitation of financing directly with a remortgaging than restructuring ownership of the lease.

This action will have cost the club around £150,000-250,000 in the legal costs and ratification. It wouldn't have been done willy-nilly.