Chelsea Football Club announced on New Year’s Eve that the Group recorded a loss of £96.6 million (N46.42 billion) for the year ended 30 June 2019.
The loss was attributed to a number of player acquisitions and its related costs, as well as a lack of Champions League football together with associated cost of change in first-team management.
Meanwhile, the group turnover figure grew to £446.7 million (N214.7 billion) from £443.4 million (N213.1 billion) the previous year which represents 0.74% year on year increase. Also, revenue from commercial activities grew by £14.5 million, following the signing of several partnership deals with Hyundai, Vitality Health, MSC Cruises, Unilever and increased revenues from online merchandise sales.
Broadcasting and matchday revenues also decreased significantly by £3.9 million (N1.9 billion) and £7.3 million (N3.5 billion) respectively. This is as a result of the Club’s participation in the Europa League as opposed to the Champions League in the previous season.
Chelsea chairman, Bruce Buck said in a statement on the Club’s official website that, “Consistent revenue growth and careful financial management over recent seasons has allowed the Club to make significant levels of investment in the playing staff whilst maintaining compliance with UEFA Financial Fair Play regulations.
“This has contributed to another Europa League victory at the end of the 2018/19 season and a return to the highest level of European competition. This solid commercial foundation, allied to a young and exciting team now led by Frank Lampard, means that the Club is well placed to sustain its pursuit of success both on and off the pitch as well as maintain its financial stability over the coming years” he said.
Chelsea Spent big during the year: Breakdown of expenses shows the club invested a record £280.6 million (N134.8 billion) in the playing squad during the year, including the acquisitions of Kepa Arrizabalaga from Athletic Bilbao for £71 million to be the highest fee ever paid for a goalkeeper and a club-record transfer.
Chelsea signed Christian Pulisic from Borussia Dortmund for £57.6 million (N27.7 billion) as well as Mateo Kovacic and Jorginho for £40 million (N19.2 billion) and £57 million (N27.4 billion) respectively.
The club will hope to turn the figures around as they resume Champion League football under the new management of Frank Lampard.