Before taxes, Chelsea announced a profit of £ 128.4 million thanks to the decision to sell women's team to the parent company of the club, but such tricks cannot be repeated in the light of large transfer accounts
Chapeau to Chelsea's Money Men, but there is a limit to the strategy that smartly saw them their way through PSR instructions for the past financial year.
On Monday, the club announced a profit before taxes of £ 128.4 million for the year ending on June 2024 despite a significant decrease in income as a result of their absence of the Champions League. It followed the losses of £ 90.1 ma year earlier. But by crediting the “removal of players' registrations” worth £ 152.5 million and the “repositioning” of their ladies team, Chelsea has also confirmed that the transfer expenditure of the first two years of the owners of the Stamford Bridge is simply not sustainable.
In particular, the “repositioning” – in other words that sell the very successful women's side of the club – cannot be repeated. The full bills still have to be published, but Chelsea said it “had a profit on the removal of subsidiaries of £ 198.7 million” and the majority of it comes from Blueco that the ladies team bought.
This follows a similar trick a year earlier when two hotels at Stamford Bridge were sold by the football club to Blueco for £ 76.5 million that are subject to extra control by the Premier League, who have tried to determine whether the deals meet their “real market value” regulations.
Yet there is a limit to these physical assets and the big disadvantage of their decision to sign players for long -term contracts is that they still have a few years to come to amortized repayments.
Chelsea has spent more than £ 1 billion in players since the Blueco consortium Roman Abramovich replaced in 2022. But by having players signed long contracts, in a few cases up to eight seasons, this meant that the reimbursement of transfer costs will be distributed over five years.
This means that for the current financial year and a considerable amount still have to be repaid – forcing Chelsea to sell players to balance the books or find new ways to move pieces of infrastructure.
Chairman Todd Boehly recently said that he and majority owners could separate Clearlake Capital in the future if they disagree that they are leaving Stamford Bridge for a new stadium.
In recent weeks, proponents have also kept protests on ownership.
Become a member of our new WhatsApp community and receive your daily dose of mirror football content. We also deal with our members of the community on special offers, promotions and advertisements from us and our partners. If you don't like our community, you can view every time you like. If you are curious, you can read our privacy statement.
Comments