Financial results for year ending 30 June 2013

Very good results. Better then I feared tbh.

Losing only £7m is a drop in the ocean compared to most of the PL teams.

However what I find interesting is this bit "£37.9m of that has been converted into equity shares, bringing the club's net liabilities down to £1.6m from £32.4m in 2012". Basically this is being used as a way to pay for things. I wonder if that will be allowed when the new financial fair play rules come in?

£15m worth of alterations since it was granted consent last October or thereabouts? That's just not credible.

You're thinking of a different development - which is the additional pitches approved last year. These accounts are for the year to June 2013. The overspend was on changing the spec and design of the training ground once work was already underway.

Ok.... so I've only had a brief skim through the thread so forgive me if this has been covered. But it seems obvious to me!

 

So we have £27m in transfer fee liabilities right now. I'm not sure if it is easy to find precise figures for 2013/2014 Premier League prize-money, but I read at the end of last season there was to be a huge increase in TV money this year compared to last. Given that we earned £46.9m in broadcasting rights for 2012/13, and the team finishing 20TH in 2013/2014 is expected to receive £63m this season (source: http://www.telegraph.co.uk/sport/football/competitions/premier-league/10072297/New-Premier-League-TV-deal-promises-100m-prize-money-for-next-seasons-title-winners.html), then if we come 8th/9th we should expect TV/prize money revenue to go up to £83m - £85m (an increase of around £20m on last year). This increase, plus the operating profit (which I assume we'll be able to make again - at least) eliminates the entire £27m.

 

I'm no accountant. But sounds to me like we're entirely well-positioned financially. The BBC article is way OTT, and I'm slightly disappointed with the tone taken by Hans Hoffsteter in his comments. It may be that he is accentuating the negatives now to (1) have a dig at the previous regime and (2) make it look like the new regime has done a better job down the line, but I really can't see any reason why we can't invest again in the summer!

Agree with this. I really don't see anything bad here. In fact, quite the opposite.

I honestly do feel (and really, really, hope) that we will hold on to all the players that we want to hod on to for next season (i.e. Shaw, Lallana, JRod, Lovren, etc.) All our younger players will be a year older and, more importantly, with a year's more experience in the prem behind them. Thus, they will be better next season.

We will almost certainly shift Osvaldo and Mayuka, and possibly Jos, as well as shipping out a load of dead wood (those who have not played a part this season whose contacts expire in the summer). Gallagher should be ready to step up and get more game time next season, possibly Stephens, Reed and McQueen too.

To be honest, if we only lose those mentioned above and bring in decent (but not exceptional or expensive) options at CB and another Striker (and possibly another 'keeper) I would be very happy and optimistic about next season.

You're thinking of a different development - which is the additional pitches approved last year. These accounts are for the year to June 2013. The overspend was on changing the spec and design of the training ground once work was already underway.

Ok thanks. Even worse then. More cost to add to the £30m. And I still can't see where £15m of spec changes come from. Gold taps perhaps.

Good thread and interesting results, not unexpected in the quick progress of the nearly complete 5 year plan.

The revenue stream from sponsorship seems a bit spartan, but NC was not a marketing man.

I would be comfortable if funds from Osvaldo, Mayuka , and to a lesser extent Sharp contribute to any further incoming players whilst the club / Katharina cover other expenditure by getting a larger income from sponsorship.

looking good from what I can see.

COYR

And the sales will begin shortly.

Hoffsteter obviously said what he said for a reason.

 

Last week our manager was saying we had the best left back in the world, today we have a director announcing a "difficult" financial position and being left with a "burden". They might as well have said "Gentlemen, let the bidding commence".

 

The figures don't seem like anything to worry though, it all depends how much money KL wants to make/throw away.

They could have but, instead, they said, "We are in a position where we do not have to sell any players Mauricio wants to keep”

And the sales will begin shortly.

What sales?

The sales he wants so he can say "told you so".

They could have but, instead, they said, "We are in a position where we do not have to sell any players Mauricio wants to keep”

Another quote from the radio interview. "When we would start to sell players to cover any gaps we have in the financials, that would be definitely the wrong way."

The sales he wants so he can say "told you so".

Ha, no. Don't think so. What an interesting statement to make though. Talk about preparing the fans for what's coming ahead... A few nice open "letters" to get everyone on side then WHAM... Oooops, sorry, but we needed the money (even though we really, honestly don't).

Ha, no. Don't think so. What an interesting statement to make though. Talk about preparing the fans for what's coming ahead... A few nice open "letters" to get everyone on side then WHAM... Oooops, sorry, but we needed the money (even though we really, honestly don't).

They could have but, instead, they said, "We are in a position where we do not have to sell any players Mauricio wants to keep”

They would never say anything else.

They would never say anything else.

They could not say anything ?

They could not say anything ?

Exactly, why do you think he wanted to come out and tell us what a difficult financial position the club are in?

But these statements don't suggest we need the money. Could be a case of preparing fans for a summer that won't see us spending £20/30m on new players, which is a bit disappointing, but not the end of the world if we keep our squad together.

I think this is basically it and what these announcements screamed of, its a tightrope though, if I was Lallana, shaw, morgan I would want to know ambition (commitment to spend) is there and I honestly am not sure if it is.

Exactly, why do you think he wanted to come out and tell us what a difficult financial position the club are in?

As SM said above, so that we don't expect 30m to be spent this summer.

Or, so that selling teams don't try to hike their prices up - which they would if he had said, 'Yep, we're waded. No money worries here!'

But, if it makes you feel happy, go on being a mini-Alpine/Glasgow/BS and that glass half-empty.

I think this is basically it and what these announcements screamed of, its a tightrope though, if I was Lallana, shaw, morgan I would want to know ambition (commitment to spend) is there and I honestly am not sure if it is.

If all those aforementioned stay, and we only sell Osvaldo, Mayuka and those never likely to get a look in - whilst signing, say, 6-8m on a new CB and striker - do you think we will be in as good a position going into next season as we are now?

Personally, I would be very happy with that outcome.

Ha, no. Don't think so. What an interesting statement to make though. Talk about preparing the fans for what's coming ahead... A few nice open "letters" to get everyone on side then WHAM... Oooops, sorry, but we needed the money (even though we really, honestly don't).

What part of the statements regarding not needing to sell didn't you understand or perhaps you simply can't accept what they've said and don't really understand the accounts either?

If all those aforementioned stay, and we only sell Osvaldo, Mayuka and those never likely to get a look in - whilst signing, say, 6-8m on a new CB and striker - do you think we will be in as good a position going into next season as we are now?

 

Personally, I would be very happy with that outcome.

We wouldn't get much quality for that money but a couple of good players in those positions and I'd be happy, provided the STs stayed the same.

Exactly, why do you think he wanted to come out and tell us what a difficult financial position the club are in?

We're not though. Anyone with 1/2 a brain can see that.

We can kiss goodbye to a shopping spree though but I can certainly live with that if we can keep the current crop together.

If all those aforementioned stay, and we only sell Osvaldo, Mayuka and those never likely to get a look in - whilst signing, say, 6-8m on a new CB and striker - do you think we will be in as good a position going into next season as we are now?

 

Personally, I would be very happy with that outcome.

Yeah I would be very chuffed, obviously depends on the quality of the purchase but I think we would need to sink around 20m all in plus keep the players we have interested. And I think that spending the cash to prove ambition is the way to do that.

Thats not me being pessimistic, its just how I think itll play out and personally I think the noises being made represent what will be a stern leave our players alone (great news) but we wont be making extravagant signings (unfortunate).

We wouldn't get much quality for that money but a couple of good players in those positions and I'd be happy, provided the STs stayed the same.

Lovren was £8m, I'd say he's been pretty decent value thus far.

Lovren was £8m, I'd say he's been pretty decent value thus far.

Very chuffed, but these deals are always a bit of a risk. He wasnt setting the world alight at Lyon but then I dont think Bony or Benteke were overly expensive and have IMO been well worth the outlay.

Basically though I think 20m over both positions (cb/st) is probably required though I imagine clearing ossie off the wage list will be a sticking point

'Southampton's stars safe after accounts show revenues rise to £71.8m'

http://www.theguardian.com/football/2014/mar/31/southampton-stars-accounts-revenue-finances

Lovren was £8m, I'd say he's been pretty decent value thus far.

Ok, I read it as 6-8m for the two, not each.

Remember the dome had a be rebuilt from scratch, that's a six figure sum right there unbudgeted.

Ha. Just shows what a headline does for an article doesn't it. It that pops up the BBC, it's a different story all round. Nice to have a little more common sense, but it won't get as many clicks!

Are you sure? Don't think anyone's arsed how much debt we have, what they care about is our players and whether they'll be getting off

Sent from my iPhone using Tapatalk

I'd be interested to know how and why the training ground costs have doubled.

De-fumigation and disinfectant costs after the Portsmouth shirts were discovered 'secreted' in the office partition

Very chuffed, but these deals are always a bit of a risk. He wasnt setting the world alight at Lyon but then I dont think Bony or Benteke were overly expensive and have IMO been well worth the outlay.

 

Basically though I think 20m over both positions (cb/st) is probably required though I imagine clearing ossie off the wage list will be a sticking point

Benteke cost £7million, Bony cost £12million.

Benteke cost £7million, Bony cost £12million.

Benteke has 29 goals in 59 games. That makes £7M a bargain. Bony 11 in 29 so less good, but better than a 1 in 3 ratio so still pretty decent.

http://anfieldindex.com/5707/the-financial-importance-of-a-good-premier-league-finish-for-liverpool.html

Best to look at all this in context. I think a lot of what has been said serves a dual purpose in that it gives scope to knock Cortese and perhaps sets us all up for a sale or two in the Summer.

This article does however suggest that Saints could turn this around pretty quickly. Trick is not to sign any more expensive, disinterested marquee signings who would rather be elsewhere in the first place but renegotiate with Lallana, Shaw, Morgan and Jayrod and extend Fonte and Cork. I would then buy a bit strong No1 (i.e the guy who goes up for the headers) centre back ( Ryan Shawcross for say £10 m anyone?) and a young striker (...perhaps Ings....). The key though is to keep this group together as they are still young and will improve.

Alas though I think we will lose at least two from the four of Lallana, Shaw, Morgan and Jayrod and Fonte and Cork will move on.....

Benteke cost £7million, Bony cost £12million.

Thought it was the other way around. Looking at the three (bony,benteke,lukaku) I think Benteke would be my overall choice, I think Lukaku is v good but the other two havnt really had afair crack of the whip infront of decent midfields.

Thought it was the other way around. Looking at the three (bony,benteke,lukaku) I think Benteke would be my overall choice, I think Lukaku is v good but the other two havnt really had afair crack of the whip infront of decent midfields.

I'm still expecting us to sign players for reasonable amounts of money, but it'll be more looking for the next Benteke than chasing marque, ego signings like Osvaldo. Im fine with this, i'd much rather have a promising player from the Belgian or Dutch league who wants to come to England and play in the premier league than a someone from Serie A who isn't wanted there and only here because we're the only clu that'll take him.

I'm still expecting us to sign players for reasonable amounts of money, but it'll be more looking for the next Benteke than chasing marque, ego signings like Osvaldo. Im fine with this, i'd much rather have a promising player from the Belgian or Dutch league who wants to come to England and play in the premier league than a someone from Serie A who isn't wanted there and only here because we're the only clu that'll take him.

I would love to see what Pochettino could do with a physical beast in our system. I've been incredibly impressed with the way he has developed players in his short-stint with us - and I think a transfer policy that reflects that would be great - both in terms of saving money and seeing players grow with us.

Very chuffed, but these deals are always a bit of a risk. He wasnt setting the world alight at Lyon but then I dont think Bony or Benteke were overly expensive and have IMO been well worth the outlay.

 

Basically though I think 20m over both positions (cb/st) is probably required though I imagine clearing ossie off the wage list will be a sticking point

Can you imagine the flak a £20m striker is going to get on here if he doesn't score a hattrick in his first three games

I'm still expecting us to sign players for reasonable amounts of money, but it'll be more looking for the next Benteke than chasing marque, ego signings like Osvaldo. Im fine with this, i'd much rather have a promising player from the Belgian or Dutch league who wants to come to England and play in the premier league than a someone from Serie A who isn't wanted there and only here because we're the only clu that'll take him.

I would love to see what Pochettino could do with a physical beast in our system. I've been incredibly impressed with the way he has developed players in his short-stint with us - and I think a transfer policy that reflects that would be great - both in terms of saving money and seeing players grow with us.

Definately, his development of players is excellent, look at the way he has us playing, physical improvements etc and then even the increase in Lallanas awareness and decision making which IMO were lacking last year. Rodriguez seems to be becoming better at converting chances aswell.

Top top coach.

I think we need someone of that ilk up front imo

Exactly, why do you think he wanted to come out and tell us what a difficult financial position the club are in?

He didn't. Why make things up? He said we were when they came in. I think the fact that Kat had to rummage around the bottom of her handbag to find £2.2m in cash last September confirms that. My interpretation is that he was having a pop at the financial planning (or lack of). You really shouldn't have to go to the owner cap-in-hand for 2 million quid in cash if you're running the business properly.

We wouldn't get much quality for that money but a couple of good players in those positions and I'd be happy, provided the STs stayed the same.

I'm not sure J-Rod and Fonte would agree with you there

http://anfieldindex.com/5707/the-financial-importance-of-a-good-premier-league-finish-for-liverpool.html

 

Best to look at all this in context. I think a lot of what has been said serves a dual purpose in that it gives scope to knock Cortese and perhaps sets us all up for a sale or two in the Summer.

 

This article does however suggest that Saints could turn this around pretty quickly. Trick is not to sign any more expensive, disinterested marquee signings who would rather be elsewhere in the first place but renegotiate with Lallana, Shaw, Morgan and Jayrod and extend Fonte and Cork. I would then buy a bit strong No1 (i.e the guy who goes up for the headers) centre back ( Ryan Shawcross for say £10 m anyone?) and a young striker (...perhaps Ings....). The key though is to keep this group together as they are still young and will improve.

 

Alas though I think we will lose at least two from the four of Lallana, Shaw, Morgan and Jayrod and Fonte and Cork will move on.....

Where on earth is Fonte going?

I'm still expecting us to sign players for reasonable amounts of money, but it'll be more looking for the next Benteke than chasing marque, ego signings like Osvaldo. Im fine with this, i'd much rather have a promising player from the Belgian or Dutch league who wants to come to England and play in the premier league than a someone from Serie A who isn't wanted there and only here because we're the only clu that'll take him.

Which category does Ramirez fit into? A bit more money and a better league but definitely a 'potential star' type when we signed him.

Personally I don't mind. Obviously Osvaldo was a mistake but he's a pretty unusual type - can't blame it on his price tag or the country he came from. Though Italian players do tend to struggle here...

EDIT: Sorry, didn't realise I was posting in the same thread

Benteke has 29 goals in 59 games. That makes £7M a bargain. Bony 11 in 29 so less good, but better than a 1 in 3 ratio so still pretty decent.

historical stats I've seen show that 1 in 3 is about average for the average Prem. striker. So far this season Jay Rod has surpassed that, and Rickie isn't far off .

as for the £27 million debt on transfers, I'm assuming that it is not overdue debts that we have defaulted on , but outstanding payments yet to be made.. at some future date.

As far as I'm aware very few deals are all cash up front, but are period instalments paid over a number of years.

historical stats I've seen show that 1 in 3 is about average for the average Prem. striker.

Dunno what "historical stats" you're looking at Dave. But 1 in 3 over 38 games is roughly 13 goals a season, which would have been enough to get into the top ten scorers in 4 of the last 5 league seasons. If that's what you consider average then fair enough.

What does KL want to do with this club?

We're going to finish this season in a very creditable 8th or 9th place most probably and (with the possible exception of Everton) all the clubs above us are to be frank about it inherently bigger/better financed business's than we are. To break through that invisible 'glass ceiling' and regularly compete with these bigger clubs might require a level of further investment in the squad that would rival Spurs huge spending last summer.

Tonight for all that money spent the table shows that Tottenham Hotspur are exactly two places and 8 points better off than we are and reduced now to the dubious prospect of a Europa League qualification at best. Well if the Europa League is the reward ... well a fan has to ask if the 'game's worth the candle' as they used to say.

I want to see my club run in a prudent manner with a eye to its long term future rather than chasing some mad dream that's probably out of our reach anyway.

What does KL want to do with this club?

 

We're going to finish this season in a very creditable 8th or 9th place most probably and (with the possible exception of Everton) all the clubs above us are to be frank about it inherently bigger/better financed business's than we are. To break through that invisible 'glass ceiling' and regularly compete with these bigger clubs might require a level of further investment in the squad that would rival Spurs huge spending last summer.

 

Tonight for all that money spent the table shows that Tottenham Hotspur are exactly two places and 8 points better off than we are and reduced now to the dubious prospect of a Europa League qualification at best. Well if the Europa League is the reward ... well a fan has to ask if the 'game's worth the candle' as they used to say.

 

I want to see my club run in a prudent manner with a eye to its long term future rather than chasing some mad dream that's probably out of our reach anyway.

If you dont think Everton are bigger than we are or manged better with money than you are very much mistaken.

If you dont think Everton are bigger than we are or manged better with money than you are very much mistaken.

It's lucky I didn't say that then.

Ok.... so I've only had a brief skim through the thread so forgive me if this has been covered. But it seems obvious to me!

 

So we have £27m in transfer fee liabilities right now. I'm not sure if it is easy to find precise figures for 2013/2014 Premier League prize-money, but I read at the end of last season there was to be a huge increase in TV money this year compared to last. Given that we earned £46.9m in broadcasting rights for 2012/13, and the team finishing 20TH in 2013/2014 is expected to receive £63m this season (source: http://www.telegraph.co.uk/sport/football/competitions/premier-league/10072297/New-Premier-League-TV-deal-promises-100m-prize-money-for-next-seasons-title-winners.html), then if we come 8th/9th we should expect TV/prize money revenue to go up to £83m - £85m (an increase of around £20m on last year). This increase, plus the operating profit (which I assume we'll be able to make again - at least) eliminates the entire £27m.

 

I'm no accountant. But sounds to me like we're entirely well-positioned financially. The BBC article is way OTT, and I'm slightly disappointed with the tone taken by Hans Hoffsteter in his comments. It may be that he is accentuating the negatives now to (1) have a dig at the previous regime and (2) make it look like the new regime has done a better job down the line, but I really can't see any reason why we can't invest again in the summer!

"Forgive my maths - been a long day! Should've said an increase in prize-money of around £40m! Easily swallows this £27m liability."

Good to see the Echo basically regurgitating my post

http://www.dailyecho.co.uk/sport/11118914.Saints_on_brink_of___80m_jackpot/?ref=mry

Cortese has lots to answer for.

Seems he left books in right mess.

Cortese has lots to answer for.

Seems he left books in right mess.

Well he was a banker.