Media and commercial revenue drive Liverpool FC turnover
Liverpool has released its annual accounts today, showing that turnover increased £78m year on year, to £533m.
This was led by media revenue, which rose by £41m to £261m and commercial income, which reached £188m (up £34m year-on-year). Match revenue also increased by £3.5m to £84m.
The financial period includes the new UEFA Champions League broadcast contract and a second-place finish in last season’s Premier League.
Overall profit before tax for the period was reported at £42m.
"This continued strengthening of the underlying financial sustainability of the club is enabling us to make significant investments both in player recruitment and infrastructure,” said Andy Hughes, LFC’s Chief Operating Officer.
“Being able to reinvest over £220m on players during this financial period is a result of a successful business strategy, particularly the significant uplift in commercial revenues.
“The cost of football, however, does continue to rise in transfers and associated fees but what’s critical for us is the consistency of our financial position, enabling us to live within our means and continue to run a sustainable football club.”
During the period, it signed 9 new commercial partners, including AXA. It has also added a new retail partner in Malaysia and new selling channels on Amazon in USA, Canada and Germany. Ecommerce orders were shipped to 190 countries.
Online, it saw social media followers increase 26% to almost 70m.
“What we’re seeing is sustained growth across all areas of the club, which is aligned to the recent performance on the pitch. Since this reporting period we have continued to reinvest in the club’s infrastructure and we look forward to the opening of our new training base at Kirkby ahead of the new season, which will provide first-class facilities for our players and staff,” continued Hughes.
“We have also just completed a second-phase consultation on a proposed expansion of the Anfield Road stand which could see an increase in the stadium’s capacity, giving even more supporters the opportunity to see the team. There is more work to do and, importantly, we will continue our dialogue with all key stakeholders, including local residents, businesses and community groups.
“These financial results and this sustained period of solid growth is testament to our ownership, Fenway Sport Group, who continue to support the club’s ambitions and continue to reinvest revenues both in strengthening the playing squad and the club’s infrastructure to build for the future.”