‘Solid’ Gunners figures please Gazidis

CHIEF executive Ivan Gazidis is confident Arsenal’s commercial future is bright after a “very solid” set of results, despite a fall in turnover and profit.

The Gunners, who have US billionaire Stan Kroenke as their majority shareholder, reported group turnover for the year ended May 31, 2011 as £255.7m (€297m), down from £379.9m (€441.8m) in 2010, while profit was reduced from £56m to £14.8m (€17.2m).

However, factors such as reduced income from property sales at the Highbury redevelopment and increase of player wages have played their part, with the high-profile summer sales of captain Cesc Fabregas and Samir Nasri not taken into account in this period.

The 60,000-seater Emirates Stadium, though, continues to more than pay its way as continued improved matchday income helped to reduce the group’s overall debt down from £135.6m to £97.8m, much of which is secured on low, fixed-interest rate bonds paid back over a long period against the cost of relocation in 2006.

Gazidis said: “In terms of our financial base and in terms of our platform, we are very secure — it’s a good set of results again. We haven’t seen the same kind of profits from the property side that we have seen in the past but that was entirely to be expected. Our property business is debt-free so any new sales of property do accumulate cash, which is very positive for the future. “We didn’t have the same kind of profit from player sales that we had in the previous season and that explains the slight reduction in profit, but this is a very solid, very healthy set of results and a good platform to move forward from.”

Arsenal’s accounts also revealed a significant reserve of “cash and short-term deposits” at some £160m. While Gazidis stressed that money was “working capital” going forward, the chief executive maintained funds were always available to the manager if he wishes to use them.

“We do have money that would be available to spend in the transfer market as Arsene decides is necessary,” Gazidis said. “It’s a healthy cash position to be in and with the ability to make moves in the player market if we want to.”