Annual Report - 2019/20

pardoeofftomexico

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That's a good point. At the year end we were still in the FA Cup and CL, and still could have theoretically won the league (albeit that was unlikely). So it's entirely possible that we paid, or at least provided for, bonuses for progressing in or even winning those competitions.
The accounts were signed in March 2021 so the liabilities would have been reviewed at closer to that date. They would not have taken into account bonuses for competitions that we now know we didn't win.
 

VOOMER

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I reckon that we have negotiated more pragmatic deals, with less reliance on having to take high percentages of the sponsorship up front.
 

VOOMER

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crazy how reliant clubs are for getting in the champions league ,us included , the consequences of missing out financially are massive .

I would say that is more important for clubs that wish to challenge for trophies, as they also need to attract the best players.
 

SWP's back

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Football finance isn't something I know anything about, just wondered with Chelsea making a profit in the same period which I know included the Hazard transfer. With their £200 million plus spending spree they've had, will that put them in the same position as us but a year later loses wise?
Yes
 

Prestwich_Blue

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The accounts were signed in March 2021 so the liabilities would have been reviewed at closer to that date. They would not have taken into account bonuses for competitions that we now know we didn't win.
But they'd have to reflect the position at the time of the year end I assume, which was that we didn't know. You could put in a provision for these that you later knew wouldn't be fully payable. That's what happens with bad debts. You provision for potential bad debts at a point in time then release the provision when the debt is settled or part settled.

The fact is we really don't know and it won't be clear until the 2021 accounts are released.
 

Prestwich_Blue

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Just for clarity, unless someone an correct me, my understanding is that FFP has not been relaxed, scrapped, suspended, diminished, diluted, paused, abolished, or any such term.

The limits have not been changed, nothing has reduced or paused. The only change so far is that the repirting period has been increased to 4 years instead of 3 to give clubs time to claw back profits when things resume. A loss is still a loss though. So effectively the 20 and then the 21 reporting period will be looked as one, with the loss increased pro rata over the two years.

There is talk of allowing owners to cover any losses as an emergency measure for 20, but ive not seem more confirmation of that.

Whatever version of 'help' uefa have planned out for clubs, i damn well bet the club know the possible outcomes and are happy to report the books in line with that.
The position is that any losses directly attributable to Covid can be ignored, so that would be matchday revenue mainly, which will be something like £70-75m for us over the 2020 and 2021 financial years. Also the lmit of €30m on losses over the rolling three-year period will be relaxed but we don't know what the new limit will be. We'll be fine for FFP in that case as our accumlated FFP-adjusted profit should be £75-80m for 2018 & 2019, plus we can ignore that loss of matchday revenue from our (assumed) £120m loss for the 2020 & 2021 financial years and can also add back 2 years expenditure on youth & women's football plus depreciation, which is probably another £50m over those 2 years.
 

blueparrot

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But they'd have to reflect the position at the time of the year end I assume, which was that we didn't know. You could put in a provision for these that you later knew wouldn't be fully payable. That's what happens with bad debts. You provision for potential bad debts at a point in time then release the provision when the debt is settled or part settled.

The fact is we really don't know and it won't be clear until the 2021 accounts are released.
Which is only a few weeks away, not for us, but for the club so we will probably be able to see from transfers how the club see the 2021 accounts.
 

LucahArchie10

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Imagine if we had not been successful at CAS?

The loss of that income alone would have not made the books a pretty sight, going forward?

Perhaps that is why our accounts this year were delayed until the outcome, as I recall previously they were usually released around November period?
Do you see City now going in big this Summer so they are sorted for at least the next 5 years so for example Haaland & Grealish with a young LB leaving next year to go for another HM & we are done for a few more years

I get why Pep says we aint going in big bla bla but we all know that's a game being played

For me its hit the town big time leaving those big teams to play catch up based on covid turnover

Will CFG spend knowing next 12 months income will blitz anything we've earned along as fans get back in that is
 

KennyG

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Sure it has been mentioned on here, but the bottom line is we are pitiful at selling. We can’t keep spending and not recouping.
Liverpool, Chelsea and Utd get top dollar for cast offs.
 

blueparrot

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Sure it has been mentioned on here, but the bottom line is we are pitiful at selling. We can’t keep spending and not recouping.
Liverpool, Chelsea and Utd get top dollar for cast offs.
Mentioned a lot, of course it’s nonsense because if it was true those running the club would make the required changes , because they aren’t idiots. Unless you think we turn down the bigger offers for a laugh and sell cheap.
 

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