Liverpool record revenue but £19M loss for 2015-16

Liverpool made a £19.8m loss in the financial year ending 31 May 2016 despite overall revenue increasing to a record £301m, the club’s latest accounts reveal.

Despite failing to qualify for the Champions League - and Liverpool were the only club in the top ten of Deloitte’s financial league not to do so - both media and match-day revenue increased at Anfield, largely as a result of Jürgen Klopp’s team reaching both the Europa League and League Cup finals.

Media revenue rose by £1m to £123.6m, match-day income by £3.4m to £62.4m and commercial revenue was down by £700,000 to £115.7m. The decrease was attributed to the construction of the new main stand at Anfield restricting access to the stadium on non-match days, although ten commercial partnerships were signed during the period.

Overall revenue rose by £3.9m to a record £301.8m, the accounts reveal, but new signings such as £29m Robert Firmino and £12.5m Nathaniel Clyne contributed to a loss before tax of £19.8m. The accounts also include the professional contracts awarded to 12 youth academy players. Liverpool launched new websites in Arabic, French and Spanish and its social media following climbed above 50m.

Andy Hughes, Liverpool’s chief operating officer, said: “These results demonstrate the solid financial progress that’s been made over the past six years under the leadership of FSG (Fenway Sports Group) with continued investment in the playing squad and the completion of the main stand.

“The increase in the underlying revenue adds further strength to the club’s financial position despite the cost of football rising with player transfer fees, wages and agents’ costs. During this reporting period, we also agreed a new five-year credit facility which further secures the club’s long term financial stability. All three main revenues streams continue to show strength and commercial revenues held firm irrespective of the impact of the main stand at Anfield.”

Liverpool’s finances for the current year will be improved by revenue from the new main stand, that opened in September, and the record broadcasting deal that has come into effect.

Pretty light on detail at the moment. 

Not much in the expenses column to work on.

Liverpool made a £19.8m loss in the financial year ending 31 May 2016 despite overall revenue increasing to a record £301m.

Overall revenue rose by £3.9m to a record £301.8m, the accounts reveal, but new signings such as £29m Robert Firmino and £12.5m Nathaniel Clyne contributed to a loss before tax of £19.8m. The accounts also include the professional contracts awarded to 12 youth academy players. Liverpool launched new websites in Arabic, French and Spanish and its social media following climbed above 50m.

Andy Hughes, Liverpool’s chief operating officer, said: “These results demonstrate the solid financial progress that’s been made over the past six years under the leadership of FSG (Fenway Sports Group) with continued investment in the playing squad and the completion of the main stand.

Liverpool’s finances for the current year will be improved by revenue from the new main stand, that opened in September, and the record broadcasting deal that has come into effect.

Andy Hughes Liverpool's chief operating officer, giving us his opinion of the club's current accounts - albeit with JWH's hand up his arse completing the ventriloquist set up.

Pretty light on detail at the moment. 

Not much in the expenses column to work on.

Need to see the income statement

if what Andy Hughes says is true that is.

I don't understand the "continued investment in the playing squad" part. I get that we've spent money on players but let's not make out like we've progressed the squad at all with these investments. If you lose important players and replace them then it's hardly progress is it? That's just remaining in one position. They can start rolling out the investment red carpet when we keep our best players and sign better players to take us to another level. I'm yet to see us do that.

what a incredible spin job. Everyone knows that we are the only club to not actually spend any money before we receive some.

We are the mid table version of Arsenal and that is f**king sad

I love how the fact that we don't qualify for champions league is almost a positive.

I don't understand the "continued investment in the playing squad" part.

It does puzzle me that they point this out as if its some kind of bonus. 

Thank you Liverpool for using some of the £300M for investing in footballers.  You guys are the best.

Worth noting that the reds received €37.8M in UEFA TV money for last seasons Europa League. (About £30M).

Benfica, for instance, made it to the Quarters of the Champions League and picked up €1.5M less than we did.

Worth noting that the reds received €37.8M in UEFA TV money for last seasons Europa League. (About £30M).

Benfica, for instance, made it to the Quarters of the Champions League and picked up €1.5M less than we did.

we will know more once we have more information.

The LFC statement is vague, we need to see the details.

http://www.uefa.com/MultimediaFiles/Download/competitions/General/02/41/82/56/2418256_DOWNLOAD.pdf

So the one good thing these guys have done, apparently sorting our finances out so that long term we can compete, we've actually made a loss.

But at least they invested in the playing squad!

Couldn't make it up.

Sounds like they're getting their excuses in early for lack of investment this Summer.

Am I right then that we made a loss even after a minus net spend on players last summer?

If so that is worrying.

Am I right then that we made a loss even after a minus net spend on players last summer?

If so that is worrying.

Those accounts refer to the 2015/16 season mate, last summer doesn't come into it - we'll only see the results for this season (which will likely be positive given the new main stand and the broadcast deal) next year.

In 2015/16, according to wikipedia, we had a net spend of about £21,450,000. Main signings were Benteke and Firmino, while the main sale was Raheem Sterling.

Those accounts refer to the 2015/16 season mate, last summer doesn't come into it - we'll only see the results for this season (which will likely be positive given the new main stand and the broadcast deal) next year.

In 2015/16, according to wikipedia, we had a net spend of about £21,450,000. Main signings were Benteke and Firmino, while the main sale was Raheem Sterling.

Add in sacking BR and hiring Klopp as well as match day disruption from building work.

Looking forward to the amateur accountants coming out of the woodwork

Those accounts refer to the 2015/16 season mate, last summer doesn't come into it - we'll only see the results for this season (which will likely be positive given the new main stand and the broadcast deal) next year.

Probably won't be a huge difference in the media money for this year.  Extra £35M or so from better Premier League TV deal probably cancels out no European footy.

You're right about the Main Stand being finished though and that impact.  I'll have an early guess at £325M for this season.

Am I right then that we made a loss even after a minus net spend on players last summer?

If so that is worrying.

If I'm not mistaken (it could happen that I am ) this doesn't include the money from the NBCSPORTS TV deal to broadcast games in the states.

If it does, then it's a bit worrying.

Spin offensive... mark my words - we will soon see the forum (PR) shills out in force, telling us how wonderful Johnny boy is. 😉

Spin offensive... mark my words - we will see will be the forum (PR) shills out in force, telling us how wonderful Johnny boy is. 😉

JWH:"We only lost 19m without Champion's League? Well what are we worried about, just get into Europa Jürgen!"

Noticed the phrase about financial progress and immediately thought about how no real progress is being shown in the most important area. On the pitch. Further cements my view that the owners have no desire to make us successful again and are all about the franchise.

For me this simply proves the stupidity of their business model. If they had bothered to invest heavily in the squad in the first place and bought world class talent rather than 'ones for the future' we'd actually have spent the last six years in the Champions league and therefore they would not only have recouped their investment but the club would be making a profit.

For me this simply proves the stupidity of their business model. If they had bothered to invest heavily in the squad in the first place and bought world class talent rather than 'ones for the future' we'd actually have spent the last six years in the Champions league and therefore they would not only have recouped their investment but the club would be making a profit.

But then they'd have to replace like for like players and cover MASSIVE wages. The way they do it now is far cheaper in every area. They aren't bothered about success, so why would they be bothered about CL?