financial fair play the victims ... city accounts

Derby county has just been given a warning of a points deduction … this follows Sheff Wed and last season Birmingham.
what happens if the sale of their grounds has no bearing on the fact they were needless as a points deduction comes along anyway.. in other words they did the sale to "try" and avert the losses but to late! do the "owners say well that was a waste of time" and hand back the grounds? or they keep them and when they move on have to add that to money they get for the club by the next owner … or do they sell the club but keep the ground and charge rent?

 

NOTES ON CITY ACCOUNTS .. WE MADE A PROFIT and didn't sell the stadium!

The Robins announced their 2018/19 accounts and the first time the club had turned a profit under Steve Lansdown's tenure as owner of the club. Lansdown himself called the latest financial report a 'milestone' and has pointed at the continual progress of the club over the last years.

the club's talent spotting and recruitment has been superb in identifying good players who they can develop and sell on to other clubs. Profits of £38m from player sales last season is sensational and absolutely amazing. And you've got to give credit to the recruitment team for that.
And thirdly for a club like City the costs of trying to compete in the Championship are prohibitively high and they are incredibly lucky to have the owner that they do have who is clearly a fan of the club and a fan of the city and is prepared to continually invest in the club to give them a chance of promotion to the prem


The 'Other Costs' in the 2018/19 accounts have gone up a lot in the latest report. Could that be to do with agent fees or other items? We're speculating a little bit here, of course, but is that one possible explanation? Agents fees
could be a contributory factor clearly given that they sold players for £40m and those players will have representatives who will be taking a slice of the fees. But I also think it's a part of the costs that have increased because the club has expanded the other functions.
The clubs have expanded the other functions and invested in conferences, hospitality suites and concerts - and they cost more money to run and maintain. That will increase costs, but it also drives higher revenues.

match day revenue has gone down as the club hasn't had the same good Carabao Cup run at a time when the average attendance is going up. Again, it goes to show how vital a cup run is and how tough income is for clubs outside the top flight... matchday revenue, if you look at the numbers it is down, it is down by £1m - a lot of money to you or I but compared to the other revenue sources it's relatively minor.
Matchday revenue is one fifth of commercial revenue for Bristol City so the club has realised that as well, they know that in the Championship there's a natural ceiling for attendances of around about 20,000 unless the club is pushing on into the top six, because I think you usually have higher attendances there, but it takes an awful lot of extra seats and tickets sold to turn into a lot of money in terms of revenue. Because by the time you strip out VAT and let's say a third of tickets are going to seniors or children, for an extra 1,000 tickets sold you're
wages in the championship have gone up £20+m ….. If you do that over the course of 20 games and a season then it's an extra £500,000 per an extra 1,000 fans, which is not a lot of extra money in the context of running a football club where you've got a wage bill of over £30m.

looks like we are in a healthy state...……………..

 

I have never had a second thought about the way our club is run on the financial front by Steve Lansdown and these figures only go to show how fiscally responsibly he manages our bank balance. Clearly we have become much more of a selling entity by developing and moving players on to hopefully better things and yet I have difficulty understanding how the move upward as stated by SL must be affected by our inability to develop and hold on to some of this talent pool, rather than send them on their way. Stability in the squad must surely be the key to the success we are supposed to be chasing and our policy of developing players only to have them sold on must have a negative affect because we are constantly looking for good new players to fill the pot back up to an acceptable level.

Looking back over the last 5 years or so indicates that our outgoings have generated a generous income which has to be beneficial in overall terms but has the money we have spent on rebuilding the team to offer a serious challenge been wasted? Bristol Sports is the heart of the organization but it needs to have a good blood supply from the supporters to make it work on a longer term basis. I would mark us as 95% in the corporate class but only a 65% in the on-field department.

What about you?

 

Plus we don't go out paying silly money on high profile over rated mangers, that might not improve our position...as it is, we have a manager/coach that has made us an established club in the championship to which many/all have failed since AD..just saying...

 

Spot on but I still wish for more success.

 

Key items:

• Profit before tax = £10.954m (2018 = loss before tax of £25.347m)
• Profit on disposal of players = £38.2m (2018 = £0.3m)
• Central distributions from broadcasting, the Football League and solidarity payments up £250,011 (2018 = up £908,900)
• Total gate revenue down £673,131 (2018 - up £1,625,818 following Carabao Cup run)

 

Thanks for the figures jgf and the last one goes to show that if you perform well in cup competitions then they will come down to the Gate. I know a drop of 670 odd thousand doesn't sound like much but if you had a good cup run (oh the loss of the Liverpool match irks me a lot) and combine this with a really good run at promotion I would guarantee that those figures would rise in leaps and bounds. Nevertheless we look to be in good financial hands unless the league moves the goalposts.

 

it cost us £500k and had we a replay probably another £3-400k
been a bad year for cup football …

 

No manager in our history has brought in the money from player sales that LJ has. Prior to him joining, our record fee was about £4m for Akinbyi, I think he has passed that about 6 times!!

 

It helps not to chop and change the manager all the time - every time that happens you end up with 5 or 6 in the squad that the new guy "does not fancy"

 

and just as importantly you are not paying twice for the same thing... each manager has been paid compensation probably would have paid a couple of players wages!