By Paul Nicholson
September 21 – Scottish Double Treble winners Celtic have announced record revenue of £101.6 million, an £11 million improvement on the previous year and a doubling of profit to £17.3 million before tax.
The financial results for the year ended 30 June 2018, also show player sales income of £16.5 million, against an outlay of £16.5 million.
In what is a classic case of understatement, Celtic chairman Ian Bankier, said: “These results, which declare record sales revenue of £101.6m (2017: £90.6m) and a profit before taxation of £17.3m (2017: £6.9m), reflect a financial year in which everything went well.”
He went on to congratulate Celtic manager Brendan Rogers and the club’s executive management and staff saying: “The board considers that the group proven strategy of investment in football operations, whilst maintaining a self-sustaining financial model, has provided a stable platform for the success enjoyed in the year under review.”
Bankier did issue a veiled warning about next year’s financials, pointing to “the immediate disappointment of failing to qualify for the Group Stages of the Champions League.” Celtic did open their Europa League group campaign with a win, but the money from the Europa League will not match that of Champions League play.
He also reiterated “our vulnerability to the growing financial power of a number of key constituencies within the European Game. These circumstances are unchanged and we remain watchful of events that unfold.”
Last year the club invested in a number of improvements at Celtic Park including a new pitch, LED flood lighting and an improved sound system.
In his report chief executive Peter Lawwell highlighted an increase in staff costs alongside a commitment to “continue to search the world for talented players to play the Celtic way.”
“Total labour costs in 2018 increased by £7.1m, from £52.2m in 2017 to £59.3m (14%), largely due to increases in the football department,” he said.
“Player recruitment and development continues to be fundamental to the Club. Our objective is always to bring players to the Club who will improve the squad. Given the quality of our existing squad that is a challenging task, made more difficult by hyper-inflation in transfer fees and player salaries in the market. Nevertheless, our objective is to invest everything that we can into the football operation without putting the Club at risk,” he said.
Contact the writer of this story at firstname.lastname@example.org