City's Losses ....

[Prestwich_Blue]

As above, is it the 'operating loss' that UEFA are arsed about for FFP? If so we'll piss it, with the new TV deal and the Nike kit deal amongst other revenue streams.

Seems that this is the operating loss from 2012, which is essentially revenue minus day-to-day expenses like wages. It doesn't include things like player amortisation, profit or loss on player sales and finance charges. It is part of the overall £97m loss which has already been reported and is the start figure for FFP.

 

[SWP's back]

As above, is it the 'operating loss' that UEFA are arsed about for FFP? If so we'll piss it, with the new TV deal and the Nike kit deal amongst other revenue streams.

Seems that this is the operating loss from 2012, which is essentially revenue minus day-to-day expenses like wages. It doesn't include things like player amortisation, profit or loss on player sales and finance charges. It is part of the overall £97m loss which has already been reported and is the start figure for FFP.

So it's a complete non story as you told us all this in November of last year with your breakdown.

 

[Prestwich_Blue]

As above, is it the 'operating loss' that UEFA are arsed about for FFP? If so we'll piss it, with the new TV deal and the Nike kit deal amongst other revenue streams.

Seems that this is the operating loss from 2012, which is essentially revenue minus day-to-day expenses like wages. It doesn't include things like player amortisation, profit or loss on player sales and finance charges. It is part of the overall £97m loss which has already been reported and is the start figure for FFP.

So it's a complete non story as you told us all this in November of last year with your breakdown.

Basically yes.

 

[SWP's back]

Seems that this is the operating loss from 2012, which is essentially revenue minus day-to-day expenses like wages. It doesn't include things like player amortisation, profit or loss on player sales and finance charges. It is part of the overall £97m loss which has already been reported and is the start figure for FFP.

So it's a complete non story as you told us all this in November of last year with your breakdown.

Basically yes.

As predicted by you then.

Here's to Oct/Nov and the accounts for the season just gone then. £50m is your estimate yeah? And does that include the £20m for Balo?

 

[Rammyblues]

Can someone explain in simple laymans terms what is going on, getting very confused.

Is fbloke right or not? do last years accounts show we only lost 21m?

Any help much appreciated.

 

[Prestwich_Blue]

So it's a complete non story as you told us all this in November of last year with your breakdown.

Basically yes.

As predicted by you then.

Here's to Oct/Nov and the accounts for the season just gone then. £50m is your estimate yeah? And does that include the £20m for Balo?

I reckon much closer to £60m but it includes the sale of Mario. That counts in 3 ways:

Amortisation, which saves us about £2.5m
Wages, about £3-3.5m
Profit on sale, about £8-9m.

 

[Wallace1314]

The report I have seen seems to relate to the 2011/2012 financial year, which would make sense. It will be a good while before accounts for the 2012/2013 financial year can be audited and finalised.
Seems that things are heading in the right direction in terms of profitability. The main encouraging factor is that MCFC does not carry any significant debt burden. There are two main down sides to heavy debt burdens - (i)ongoing interest and repayment costs; and (ii) the owner of the debt can always call it in. Thankfully MCFC does not have those concerns.
Clearly the owners are seeking profitability as that is how they will start to see a return on their investment. It is the old story of having to speculate to accumulate in business.
Onwards and upwards!!
Tell you what though next season is going to really tough - I reckon the standard will be high and it will be a mega competitive title race. CTID

 

[Prestwich_Blue]

Is fbloke right or not? do last years accounts show we only lost 21m?

That was the operating loss, which was revenue from tickets, tv & commercial sources, less expenses like wages, heat & light, goods for resale, etc. So that's income from normal trading less the normal expenses we had in putting on games, paying players etc. Our income from normal sources was something like £244m and our trading expenses were £265m (off the top of my head). That's an operating loss of £21m.

However there are other items of income & expenditure that need to be added to that figure to get the overall loss. These include amortisation (the charge we make for writing off player contracts), interest received and paid, any profit or loss on the sale of players and any one-off (or extraordinary) items. When you add all those onto that £21m operating loss, you get the full £97m figure. We reported all this at the end of last year so it's absolutely nothing new.

 

[PrestwichPeteMcfc]

No one knows our results in the year to 31 May 2013 - probably not even City's in house accountants yet!
BDO won't sign off until about September (but they get 9 months if needed because we're not a public company). Deloitte can only base their report on figures audited by BDO if they are to have any creditability.

 

[Rammyblues]

The penny has dropped, thanks for taking the time to explain that to me.