Liverpool scores major revenue boost

Liverpool Football Club has announced a pre-tax profit of £42m (€50m) and increased turnover of £533m for last season’s Champions League-winning campaign.

Liverpool scores major revenue boost

Liverpool Football Club has announced a pre-tax profit of £42m (€50m) and increased turnover of £533m for last season’s Champions League-winning campaign.

While still profitable, the £42m figure was down from £125m in the previous year due to significant player investment.

The club, which also finished as Premier League runners-up, said turnover rose by £78m for the year to the end of last May, and that it had invested a club record £223m in players.

Liverpool signed goalkeeper Alisson and midfielders Naby Keita, Fabinho and Xherdan Shaqiri during the accounting period and offered new deals to 11 players, including Jordan Henderson, Roberto Firmino, Mohamed Salah, Sadio Mane, Andy Robertson and Trent Alexander-Arnold.

Media, commercial and match revenue all increased as a result of the club winning its sixth European Cup in the same season that a new Champions League broadcasting deal commenced.

Media revenue rose by £41m to £261m, commercial revenue was up £34m to £188m, and match revenue climbed £3.5m to £84m.

“What we’re seeing is sustained growth across all areas of the club, which is aligned to the recent performance on the pitch,” chief operating officer Andy Hughes said.

Liverpool also invested £50m in a new training facility in Kirkby and signed nine new commercial partnerships during the period. The club also plans to expand its stadium capacity by rebuilding the Anfield Road stand.

“The cost of football, however, does continue to rise in transfers and associated fees but what’s critical for us is the consistency of our financial position, enabling us to live within our means and continue to run a sustainable football club,” Mr Hughes added.

“This sustained period of solid growth is testament to our ownership, Fenway Sport Group, who continue to support the club’s ambitions and continue to reinvest revenues," he said.

Liverpool lead the Premier League table by 22 points and are 12 points away from winning their first English top-flight title in 30 years.

The Merseyside club is 38 points above fifth-placed Manchester United, which reported on Tuesday a 19% fall in revenue and 31% fall in core earnings for the second quarter, due mainly to its absence from the Champions League.

Another Champions League miss for United would be costly for the 20-time English champions. The club has been eclipsed by neighbours Manchester City in recent years and now faces the prospect of bitter rivals Liverpool clinching its 19th domestic title.

United's revenue and profit took a dive in its second quarter, hit by the loss of Champions League broadcasting revenue, with core earnings falling 31% to £72m on revenue down 19% at £168m.

Manchester United is in “rebuild” mode as the club chases a return to the Champions League, executive vice-chairman Ed Woodward said after this week's financial results.

-Reuters

More in this section

Budget 2022 Logo

What impact will this  year's budget have on you and your business.

The Business Hub
Newsletter

News and analysis on business, money and jobs from Munster and beyond by our expert team of business writers.

Sign up
Puzzles logo
IE-logo

Puzzles hub

Visit our brain gym where you will find simple and cryptic crosswords, sudoku puzzles and much more. Updated at midnight every day. PS ... We would love to hear your feedback on the section right HERE.

Lunchtime
News Wrap

A lunchtime summary of content highlights on the Irish Examiner website. Delivered at 1pm each day.

Sign up
Revoiced
Newsletter

Our Covid-free newsletter brings together some of the best bits from irishexaminer.com, as chosen by our editor, direct to your inbox every Monday.

Sign up