Liverpool Announce Latest Financial Results, Debt Tumbles Thanks to Owners
Liverpool have announced increased revenue and a decrease in external debt during their financial results for the year ending May 31, 2013, signalling the club's finances are moving in the right direction.
As reported by the club's official website, revenue is up by 9 percent to £206.1 million since the Fenway Sports Group took over in 2010.
The American investment company—which is also parent company of the Boston Red Sox—has injected £46.8 million into the club to pay for a stadium loan, while also helping to decrease debt by "nearly" £200 million.
Managing director Ian Ayre spoke about the recently published numbers, per the official release:
"These results demonstrate that the financial health of the club continues to make good progress as we continue our journey to transform the club on and off the pitch.
Over the past four or five years, revenue has been consistently increasing from around £170million in 2009 to over £200million today, and external debt has decreased significantly to less than £50million.
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It has been a fantastic season for the Reds both on and off the pitch. While the team are currently excelling themselves by occupying second place in the Premier League, it seems John W. Henry's consortium has managed to stabilise a club that appeared in free fall under the previous ownership of Tom Hicks and George Gillett.
Henry spoke about the difficulties faced back in August 2012, calling the club's finances and pursuit of Champions League football "a tremendous challenge," as reported by Dominic King of the Daily Mail.
As highlighted in Ayre's statement on the club website, Liverpool have managed improved financial numbers while also signing six new players, including Daniel Sturridge, who has 18 Premier League goals this season.
Smart investments have been made with the future in mind—players such as Philippe Coutinho and Joe Allen joining Sturridge throughout this period—as the club seeks to stabilise and improve in the coming years.
Liverpool's financial clout is put into perspective when you consider it is ninth on Deloitte's Football Money League, the highest position of any non-Champions League team.
Inter Milan are the next team to feature without participating in this year's elite competition, coming in at 12th, while Tottenham are the next English side to make an appearance without possessing the luxury of Champions League football in 13th.
As tweeted by the Liverpool Echo's official account, the club's improved numbers are big news:
It seems as if the Reds will return to Champions League football next season, suggesting their financial prowess will improve even further in the next year.
Should the club put together a run of appearances in the competition across a few seasons, the redevelopment of Anfield—as reported by Paul Gorst of the Mirror—is likely to go without a hitch. It is refreshing to see the club in dependable hands after a difficult few years, as right now, there's plenty to shout about for the Kop.
