EBS1980 Posted 10 July, 2020 Share Posted 10 July, 2020 not great... Link to comment Share on other sites More sharing options...
The Curse of St Mary's Posted 10 July, 2020 Share Posted 10 July, 2020 Link to comment Share on other sites More sharing options...
John D Posted 10 July, 2020 Share Posted 10 July, 2020 Looks like we have taken out an £80m loan to manage working capital in the short term!! Note 32 to the accounts Link to comment Share on other sites More sharing options...
benjii Posted 10 July, 2020 Share Posted 10 July, 2020 (edited) Just had a look at these. Remember this is for the year up to June 2019, so over a year out of date already. - turnover was the same as the previous year, although we only had a ten month accounting year in the previous year so on an annualised basis it was actually down (fewer tv appearances) - operating costs were £30m higher - turnover was £149m against costs of £140m - we made a transfer profit of £54m in the previous year but only 400k in this year - first team salary is £85m - total wages are £100m - total salary costs including pensions etc are £115m against turnover of £149m (77%) - we owe £47m in transfer fees - we are owed £21m in transfer fees - the company is owned by a HK company but the ultimate owner remains a BVI company controlled by Jisheng Goa - the recent loan appears to be for £80m ! This is not part of the annual accounts as it is post June 2019 but was confirmed before these accounts were published so is obviously material enough to mention. The previous working capital facility was for £20m. Edited 10 July, 2020 by benjii Link to comment Share on other sites More sharing options...
benjii Posted 10 July, 2020 Share Posted 10 July, 2020 (edited) So, basically, we are just about sustainable to the extent we don't spend materially more on transfers than we receive. Once we do, we have an accounting loss due to player amortisation, which is exacerbated by having unsaleable players on high wages who need to be covered in the first team squad by another player (Forster, Lemina, Carillo, Hoedt etc.). The interesting thing about the £80m loan is that the 80m is not the maximum working capital facility, necessarily, it's what we have actually drawn down. Edited 10 July, 2020 by benjii Link to comment Share on other sites More sharing options...
Fatboy40 Posted 10 July, 2020 Share Posted 10 July, 2020 36 minutes ago, benjii said: ... exacerbated by having unsaleable players on high wages who need to be covered in the first team squad by another player (Forster, Lemina, Carillo, Hoedt etc.). We're burning through cash there aren't we. In a traditional private business you'd be able to go down the route of redundancies to reduce overheads, but we're totally stuck with them all, and I think we all know the chances of selling any this summer are zero. Link to comment Share on other sites More sharing options...
verlaine1979 Posted 10 July, 2020 Share Posted 10 July, 2020 Any clues as to why operating costs would suddenly jump by £30m year on year? Link to comment Share on other sites More sharing options...
benjii Posted 11 July, 2020 Share Posted 11 July, 2020 11 hours ago, verlaine1979 said: Any clues as to why operating costs would suddenly jump by £30m year on year? I think that’s mostly amortisation of contracts plus net transfer spend. Usually when we have people on expensive long term contracts we sell them after a couple of years. Now we have players on expensive long term contracts that no one wants so they represent a significant write off each year and they don’t get sold to offset our spending. Frankly, we’d be mad to turn down any half decent bid for Hojbjerg. I guess the contract extension for Long is a decent sign of confidence though. With three other strikers on the books plus Redmond capable of doing a job further forward we could have easily let him go. Link to comment Share on other sites More sharing options...
trousers Posted 11 July, 2020 Share Posted 11 July, 2020 (edited) Does anyone know how the DMWSL 612 Ltd company fits into the ownership jigsaw these days? (2019 Accounts just filed for this company too) I always thought that acted as the parent company for Southampton Football Club, but how does that fit in with Lander Sports (UK) Ltd...? https://beta.companieshouse.gov.uk/company/06951749/filing-history Edited 11 July, 2020 by trousers Link to comment Share on other sites More sharing options...
benjii Posted 11 July, 2020 Share Posted 11 July, 2020 5 hours ago, trousers said: Does anyone know how the DMWSL 612 Ltd company fits into the ownership jigsaw these days? (2019 Accounts just filed for this company too) I always thought that acted as the parent company for Southampton Football Club, but how does that fit in with Lander Sports (UK) Ltd...? https://beta.companieshouse.gov.uk/company/06951749/filing-history It's probably the company that Kat uses to hold her shares. Not really part of the SFC group any more. Link to comment Share on other sites More sharing options...
bangkoksaint Posted 12 July, 2020 Share Posted 12 July, 2020 So are we in trouble? Link to comment Share on other sites More sharing options...
skintsaint Posted 13 July, 2020 Share Posted 13 July, 2020 20 hours ago, bangkoksaint said: So are we in trouble? not while we are in the PL. Link to comment Share on other sites More sharing options...
Recommended Posts
Create an account or sign in to comment
You need to be a member in order to leave a comment
Create an account
Sign up for a new account in our community. It's easy!
Register a new accountSign in
Already have an account? Sign in here.
Sign In Now