Their Financial Results

This is Soro, another midfielder brought in out of nowhere to rot in the bench, they bought him and Klimala for over 5 million !

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At 30 June I am assuming they will have collected quite a bit of the season ticket money, no Champions League, more spending along with more wages. No income from Europa league nights suggests a player sale will be needed come January.

If they don’t win the league then even if we are back in grounds next season I can’t see there season ticket sales being anywhere near what they were.
 
Yes, I highlighted the bit in red and underlined it as their latest 'acquisitions' will be on the wrong side of the balace sheet since the results were announced with little income forthcoming.

I am beginning to think that they are really desparate for this (supposed) 10 in a row to cash in big time on merchandise for it. I really don't think they foresaw any possibility of them not winning the title this year - for financial reasons they might be bricking it and that alone could see the LB dumped after a couple more reverses.
I don't think they have the money to pay him off, or bring someone else in.
 
Music to my ears, Lawwell says

"The year ahead is unpredictable and Celtic are not immune to the extent of the challenges that we could face at many levels," he said.

"Whilst we will continue to invest and not deviate from our strategy, we are also cognisant that we may have to endure the Covid-19 restrictions for longer than we would all hope and therefore must balance our desire to progress the club against long-term sustainability."

There wage bill is not manageable IMO
 
Covid would not have had a huge effect on those numbers, it was into March before games were cancelled. Season ticket money was already in, and roughly 75% of the season had been completed.

This seasons figures will be far worse.
That's exactly what I was thinking. Covid effect not really kicking in till start of season I would have thought - well after end June.
 
They relied on a net transfer income of £5million to break even on the P&L. However despite breaking even they have seen a cash decrease of £10million. That could indicate a serious decline in season ticket income which will be felt on the current year’s P&L.

They have also spent an awful lot of that cash post the balance sheet date on loans with no sell on value and on players who appear to be shite, which is very good news for us!
 
I suspect that they - and ourselves - will not have received all monies from UEFA. Remember, the competitions didn’t end until late August. Indeed we were still playing in the tournament in August.
That's true.

Depending on how and when it's paid, Between that money and home games being called off probably accounts for between a quarter and a half of the drop in revenue.
 
This makes great reading, they basically had to sell Tierney to balance the books. They have spent 20 million this season and not made any big sale, so net ~40 million down next season.

They need champions league so much next season, if out of touch by xmas could be a fire sale
 
What can FF Acoountants and Fiananciers read into these figures announced today and what it means for them if this season goes tits up for them?

26 Oct, 2020 16:37
Announcement of Results for the year ended 30 June 2020

- Group revenue decreased by 15.8% to £70.2m (2019: £83.4m)

- Operating expenses including labour decreased by 7.3% to £80.5m (2019: £86.9m)

- Gain on sale of player registrations of £24.2m (2019: £17.7m)

- Acquisition of player registrations of £20.7m (2019: £6.2m)

- Profit before taxation of £0.1m (2019: £11.3m)

- Year-end cash net of bank borrowings of £18.2m (2019: £28.6m)

Unsurprisingly, Covid-19 has had a material detrimental effect on the financial results and the year ended 30 June 2020 saw revenue fall to £70.2m (2019: £83.4m) and profit before tax fall to £0.1m (2019: £11.3m). As discussed in more detail in the Strategic Report, this was largely attributable to the value destructive impact of the pandemic across many aspects of our business. Nevertheless, these results are satisfactory in the circumstances at hand. Our year end cash net of bank borrowings was £18.2m (2019: £28.6m). Post year end we also took the opportunity to increase our existing revolving credit facility from £2m to £13m to provide a further buffer should it ever be required.

The governmental restrictions imposed to protect public health continue to have a negative financial impact on the football industry. Our hard work and measured approach to investment in recent years has provided a degree of protection, but given the inherent uncertainty of the current environment, we must proceed and invest with a degree of caution. Nevertheless, we remain confident in the fundamentals of our football model and since the Balance Sheet date we have strengthened our player squad. Following the year end, we invested in the registrations of Vasilis Barkas, Albian Ajeti, David Turnbull and brought in loan signings Shane Duffy and Diego Laxalt. We also extended the loan of Mohamed Elyounoussi. Moreover, we have retained all of our key players from last season.
The increase in revolving credit seems big? If they felt they only needed 2M buffer previously, why the massive increase to 13M?

Is this just to deal with the uncertainty with covid and supporters not getting in? Or is it to cover lack of player sales or potential exposure to court cases?
 
I'm guessing that analysis of threats to the business (impending court case) as part of a standard SWOT analysis is not required for accounts reporting. It will be required as part of the annual board meeting where mitigation would be discussed.
It’s unlikely to be mentioned in the accounts. It’s a bit of a legal minefield.

By admitting you MAY have a liability in the accounts, you could end up prejudicing yourself in any future court case.
 
I agree.

We sold out season tickets - So have no missing ticket income from walk up sales.

We have sold a shitload of kit. We lost all of that in the spiv years.

We had a good europa run.

I expect our accounts to be the healthiest we’ve seen in a long long time.
We also signed new shirt sponsorship deals with Seko, Tomket Tyres and The Energy Check. That’s money we’ve never had previously.
 
we can laugh at these figures but imo No club including ourselves will show any kind of profit. this virus is gony bite

Does seem odd they managed to show, on paper at least, a tiny profit. Agree it will whack all clubs. Important to note those accounts refer to a season that was probably only 35% impacted by corona. The real issue for football clubs will be the current season shown on the 2021 account, where matchday income as well as other non-core revenues are going to be massively down for the entire year.
 
His wiki entry is hilarious

A 5 ft 8 in Ivorian who has played less than a hundred games in 4 season across Moldovan, Belarusian and the Israeli league.

Guy is only 22 as well. Sounds like the kind of jobber we used to get under warburton.
22 my baz. He's at least 47
 
It’s unlikely to be mentioned in the accounts. It’s a bit of a legal minefield.

By admitting you MAY have a liability in the accounts, you could end up prejudicing yourself in any future court case.

They would have to mention the litigation would they not as a contingent liability? I think we've had to mention the Sports Direct/Rangers Retail litigation every year?

Especially as they are listed publicly aren't they.
 
They would have to mention the litigation would they not as a contingent liability? I think we've had to mention the Sports Direct/Rangers Retail litigation every year?

Especially as they are listed publicly aren't they.
I’m not sure they do. Been a while since I prepared accounts though.

Will see when the accounts are released.
 
The increase in revolving credit seems big? If they felt they only needed 2M buffer previously, why the massive increase to 13M?

Is this just to deal with the uncertainty with covid and supporters not getting in? Or is it to cover lack of player sales or potential exposure to court cases?
Liewells bonus will still need paying.
 
I'm guessing that analysis of threats to the business (impending court case) as part of a standard SWOT analysis is not required for accounts reporting. It will be required as part of the annual board meeting where mitigation would be discussed.
But any pending legal litigation needs to be mentioned in the notes.
 
The way I read these accounts are as folliws

Celtic made a 10m loss with a 25m player sale included

they had 28m at the bank this is reduced to 18m

this was in June

since then they have spent circa 15m on players and loan fees

they have increased their wage bill not reduced it

they are looking at similar cost next year 75-80m

their turnover will probably be 55m tops

they are looking at a 20m to 25 m loss next year

all of their cash reserves will be gone and they will need to borrow circa 10m

we win the league they are looking at fire sale and drastic reduction in their wage bill

they couldn’t sustain another 20m loss

they have gambled every single advantage they had over us for this season

they also have the court cases to deal with

10m of claims could mean admin if Desmond doesn’t bail them out
 
Music to my ears, Lawwell says

"The year ahead is unpredictable and Celtic are not immune to the extent of the challenges that we could face at many levels," he said.

"Whilst we will continue to invest and not deviate from our strategy, we are also cognisant that we may have to endure the Covid-19 restrictions for longer than we would all hope and therefore must balance our desire to progress the club against long-term sustainability."

There wage bill is not manageable IMO

A Rangers League win will ensure a significant chunk of the Piggery support will not return for years. They will never forgive Liewell & Lennon.
 
Jullien - £7m
Bolingoli - £3m
Taylor - £3m
El Hammad- £1.5m
Soro - £2m
Klimala - £3.5m

Doesn't include the £15 - £20m they spent this summer.
The thing is with their recent signings and their model as a whole over the years they have got lucky with Wanyamma and Dembele when they have moved on, they are scrambling to find the next batch by signing duds
 
The bragging of being cash rich and having a war chest is just about to be obliterated

Their overheads and wage bill versus their income looks like we all assumed that they are not has financially astute as we have been spun by the mhedia

Dave Kings prediction about a stack of cards ready to crumble if we can win one title and get entry into the CL

The SPL asking for Null & Void is defo there so they can try and pull a fast one and try and get them entry to next season CL

We must keep on winning and pile the pressure on them - On and off the park
 
The increase in revolving credit seems big? If they felt they only needed 2M buffer previously, why the massive increase to 13M?

Is this just to deal with the uncertainty with covid and supporters not getting in? Or is it to cover lack of player sales or potential exposure to court cases?

will be some emergency planning, cover Predicted wage shortfall (if no fans in spending on pies and merch etc) and also probably to get one or two deals completed I think
 
we can laugh at these figures but imo No club including ourselves will show any kind of profit. this virus is gony bite
It’s more about any advantage off the pitch they had over us has pretty much been eroded especially if we manage to win the League and qualify for the CL this year. They’ve went from a position of absolute dominance to risky gambles that haven’t paid off over the course of two or three years that’ll shatter any misconceptions about them being a well run, rich club.

Lawwell has very much turned a successful and profitable club with the tools at their disposal to nail us to the floor for even longer than they have into something that’ll have to downsize severely in the coming years. It hinges on this year.
 
I agree.

We sold out season tickets - So have no missing ticket income from walk up sales.

We have sold a shitload of kit. We lost all of that in the spiv years.

We had a good europa run.

I expect our accounts to be the healthiest we’ve seen in a long long time.

There will be a fall in hospitality and match day sponsorship but it will be interesting to see how much that is replaced by the merchandise and Rangers TV money. Feel like I’ve spent a fortune with Rangers despite the last match ticket being the Leverkusen game.
 
The bragging of being cash rich and having a war chest is just about to be obliterated

Their overheads and wage bill be their income looks like we all assumed that they are not has financially astute as we have been spun by the mhedia

Dave Kings prediction about a stack of cards ready to crumble if we can win one title and get entry into the CL

The SPL asking for Null & Void is defo there so they can try and pull a fast one and try and get them entry to next season CL

We must keep on winning and pile the pressure on them - On and off the park
100% and thank our investors for the offset they have made for us.
 
I’m not sure they do. Been a while since I prepared accounts though.

Will see when the accounts are released.
The auditors of my employers asked for our lawyers opinion on the likelihood of a win or loss in a legal case they were embroiled in before they could decide if a contingent liability note was required.
 
I’m not sure they do. Been a while since I prepared accounts though.

Will see when the accounts are released.

I just had a look at our 2019 Annual Report and it has a section titled: Contingent Liabilities and Provisions.

In that section it mentions SD/RR, Orlit Enterprises, Memorial Walls and Employee Claims.

I guess we'll have to wait for the full report.
 
Far too much talk about them on this board since last week. I like prefer to not acknowledge their existance other than when we play them and their position in the league in relation to ours.
 
I suspect one thing we can take from this is that they are unlikely to spend much in the January transfer window, unless of course they sell first.

I doubt we will splash the cash either unless, just maybe, Gerrard says to the board that he needs £2m or whatever to sign X player to (hopefully) push us over the title winning line. Put like that, and for all that it would probably be unbudgeted, I wonder if our key shareholders would be tempted to pony up more cash. Not sure we can ever even thank them enough for what they have already done to date however.
 
They would have to mention the litigation would they not as a contingent liability? I think we've had to mention the Sports Direct/Rangers Retail litigation every year?

Especially as they are listed publicly aren't they.
Not as this stage I don’t think. They’d need to know the amount and likelihood of having to pay it to include it.

I expect they’ll have a note in the accounts explaining any legal action, but it’s unlikely to include any figures at this point.
 
Not as this stage I don’t think. They’d need to know the amount and likelihood of having to pay it to include it.

I expect they’ll have a note in the accounts explaining any legal action, but it’s unlikely to include any figures at this point.

I don't think they need to know the amount to mention that there may be a liability, as we have mentioned SD in our account but it says: "...at this stage, the extent of the Company's liability other than with regard to legal fees has not been decided by the court".

If they're being sued, which I'm sure they are, I think that has to be noted.
 
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