Leicester announce how title win helped secure tidy profit

Date published: Thursday 2nd March 2017 8:33

Leicester have announced a pre-tax profit of £16.4million for the year ending May 31, 2016.

The club’s turnover increased by more than £24million from the previous financial year, mainly due to the prize money from landing the 2015/16 Premier League title. They had finished 14th in 2014/15.

Increased domestic television revenue and an upward swing in attendance also contributed to the rise in turnover.

Chief executive Susan Whelan said: “Our long-term commitment to financial sustainability includes regular reinvestment back into the club, keeping it competitive as we bid to bring continued success to its growing supporter-base and the community that has supported it for over a century.

“We will continue to work diligently and purposefully to build a legacy they can all be proud of.”

 

The Foxes’ profits dropped around £10million despite the title success, mainly due to increased investments in the first-team squad.

The club also upped their charitable donations, including £2million towards the development of a new Leicester children’s hospital, and invested a further £3.5million into their “fixed asset infrastructure”.

Whelan added, quoted on the club’s website: “The 2015/16 season will be remembered for generations to come as the season Leicester City changed the game. But those closest to our success – our supporters – will know that, while unexpected, it was a reward for the years of sustainable planning that preceded it.

“Our business principles, infrastructure and foundations have been in place for some time and it is our absolute belief in our approach that has yielded such a remarkable outcome, albeit it some way ahead of schedule.

“The incredible support of the Srivaddhanaprabha family and the King Power Group of companies continues to safeguard the club’s future and it remains an enormously rewarding experience for everyone associated with the club to be part of the family’s long-term vision.

“Their passion for the club and commitment to its progress sets the tone from which we all take inspiration.”

 

The Premier League champions have confirmed, meanwhile, that they are legally challenging a Football League charge of breaching financial fair play rules in 2014.

The Foxes exceeded the permitted £8million loss in the Championship-winning 2013-14 campaign.

“The club has entered into an arbitration process with the Football League in relation to the legality of the 2012 Championship FFP rules,” read a Leicester statement, quoted by BBC Sport.

“Provision has been made for legal costs in relation to this process, however the directors are confident that no further liability will be incurred by the company.”

Related Articles

HAVE YOUR SAY IN OUR FORUM

Comments