Chelsea's profit on player sales fuel record turnover
Posted On March 22, 2019
The Blues have released strong figures about their performance in a financial sense, despite an underwhelming season last year
Chelsea’s player sales reached £113 million ($144m) last season and have helped the club to achieve a record-high profit, after tax, of £62m and a best ever turnover figure of £443.4m for the year ending on June 30 2018.
The player sales were for last season and included the likes of Diego Costa to Atletico Madrid for £53m, Nemanja Matic to Manchester United for £40m, Nathan Ake to Bournemouth for £20m and Juan Cuadrado to Juventus for £17.3m. There were 17 further deals done out of the club, not including loans, leading to the figure to rise to £113m.
It was a season that ended in former manager Antonio Conte leaving the club after a fifth-place finish and an FA Cup win. The manager’s complaints about the club’s business in the transfer market lead to the club becoming unsettled in the dressing room and in the board room. Conte’s severance pay is not included in the figures.
However, Chelsea have managed to break-even under Uefa’s Financial Fair Play (FFP) regulations and have increased many revenue streams – including those from broadcasting by £41.7m to £204.1m.
Chelsea increased match day revenues by £8.4m in the 2017/18 season, having won the FA Cup and to the Carabao Cup semi-final, but having disappointed with a last-16 exit in the Champions League.
The Blues also increased sponsorship from commercial activities, rising by £32m after signing a new kit deal with Nike and having other major sponsors including Carabao and Yokohama Tires. There will now be calls for Chelsea to dip into the transfer market in January, as they aim to give their star player Eden Hazard a record-breaking new deal worth over £300,000-a-week.
Bruce Buck released a statement, alongside Chelsea’s accounts to celebrate a year of success away from the pitch for the club.
“The club has now posted a series of record-breaking revenue figures and our profit margin has increased in consecutive years. This has occurred against a backdrop of varying participation in European football, and different degrees of achievement in the Premier League, which demonstrates we have built a sound business footing to support our on-pitch quest for success.
“With our matchday income steady, despite not finishing in the top four of the Premier League last season, and our global fanbase increasing, we thank our loyal supporters as well as our hard-working staff and valued partners for helping to make a successful financial year.”
The strong financial figures will be welcome news to Roman Abramovich, who has paused the development of the club’s stadium, amid a geopolitical situation which has halted the renewal of his UK investor visa.
Chelsea sources have insisted that Abramovich is committed to the club, but he is rumoured to have contracted the Raine Group to broker a sale of around £2.5bn, which would be a global record sale for any sports club.
The Blues parent company which represents the interests of Abramovich, Fordstam Limited, earned a profit of £24.9m for the year.