Liverpool Accounts Reveal £19.8M Loss Despite Record £301M Revenue in 2015-16

Liverpool recorded a loss of £19.8 million despite overall revenues increasing to a highest-ever £301 million for the year ending May 31, 2016.  

According to Andy Hunter in the Guardian, the Anfield club's latest accounts revealed the loss, in part contributed to by the signings of Roberto Firmino (£29 million from Hoffenheim) and Nathaniel Clyne (£12.5 million from Southampton) and the professional contracts awarded to 12 academy players.

Hunter added that one of the contributing factors to the overall revenue increase was an upturn in matchday and media revenue at Anfield, a result of manager Jurgen Klopp leading Liverpool to the Capital One Cup and UEFA Europa League finals in 2015-16.

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Per a Liverpool statement, the construction of the new main stand at Anfield—which opened in September last year—impacted on the slight downturn in commercial revenue (a decrease of £700,000 to £115.7 million) as access to the stadium was restricted outside of matchdays.

As noted by Hunter, though, the long-term benefits of the rebuild will be apparent in the current year's revenues as it added 8,500 new seats to Anfield's capacity.

Andy Hughes, Liverpool’s chief operating officer, explained that the club's finances are in good shape, per Liverpool's statement: 

"

These results demonstrate the solid financial progress that’s been made over the past six years under the leadership of FSG with continued investment in the playing squad and the completion of the main stand.

The increase in the underlying revenue adds further strength to the club’s financial position despite the cost of football rising with player transfer fees, wages and agents’ costs. [...]

All three main revenue streams continue to show strength and commercial revenues held firm irrespective of the impact of the Main Stand at Anfield.

"

Liverpool are the only club in the top 10 of the Deloitte Football Money League who did not play in the UEFA Champions League in 2015-16, nor did they qualify for the 2016-17 tournament, per BBC Sport.

A return to the top European club competition would be huge added benefit to the Reds financially, and they are just a point off the Premier League's top four, the qualifying places for the Champions League.