By David Owen
March 1 – Liverpool, one of five clubs locked in a fight for Champions League places behind runaway Premier League leaders Chelsea, tumbled back into the red in the 2015-16 financial year. The club reported a pre-tax loss of £19.8 million, versus a profit of £60 million last time, when it was the Premiership’s most profitable club.
Liverpool attributed the latest loss mainly to “further investment and turnover in the first-team squad”, pointing out that 12 first-team additions were made, including Roberto Firmino, James Milner and Danny Ings.
However, since the period also included the lucrative sale of Raheem Sterling to Manchester City, more detailed analysis would appear to be required. Liverpool’s bumper profit the previous year was largely attributable to the July 2014 sale of the Uruguayan Luís Suárez to Barcelona. As ever, arrival of the accounts at Companies House should shed more light on the position.
Revenue for the year to 31 May 2016 edged above the £300 million mark to a record £301.8 million. Media and match day revenue was up, but commercial revenue declined slightly, with construction of the expanded Main Stand said to have impacted on access to the club’s well-known Anfield stadium on a non-match day.
Andy Hughes, chief operating officer, revealed that the club had agreed a new five-year credit facility during the period, which he said further secured its long-term financial stability. He disclosed that Liverpool were “consulting” on a proposed development at its academy in Kirkby “to bring together the first team and our young players”.
The Merseyside club, currently managed by Jurgen Klopp, has been owned by Fenway Sports Group of the US since October 2010.
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