Frankie 505 Posted September 22, 2010 Share Posted September 22, 2010 RANGERS Football Club today (Wednesday September 22, 2010) published its annual financial results for the year ending 30 June 2010.Financial results included:-Turnover of £56.3m (2009 - £39.7m), an increase of £16.6m or 41.8%·Net operating expenses decreased by 9.1% or £4.4m to £43.9m (2009 - £48.3m)·Operating profit increased by £22.4m to £5.1m (2009 - loss of £17.3m)·Profit for the year increased by £16.9m to £4.2m (2009 - loss of £12.7m)Rangers Chairman Alastair Johnston said: "I am very pleased to present the Rangers Football Club Annual Report against a backdrop of success for the Club."To win our 26th League Cup was outstanding but to secure our second successive Clydesdale Bank Premier League title at this juncture was not only a tremendous achievement but one of paramount importance to the welfare of the Club."I would like to extend my congratulations to Walter Smith, Ally McCoist, Kenny McDowall and the playing squad for their efforts."The result of that success was qualification for the UEFA Champions League this year, the net revenues from which will, in turn, provide us with greater financial stability."One of the immediate benefits of this was the commitment by Walter to manage the team for another season and Ally and Kenny agreeing to new contracts."The benefit of participating in the UEFA Champions League in Season 2009/10 is clear with our turnover increasing by £16.6m to £56.3m."This, together with measures taken on reducing our cost base, resulted in an increase in operating profit of £22.4m to £5.1m from last year's loss of £17.3m."Retained profit for the year amounted to £4.2m, an increase of £16.9m on last year. The current year incorporates a £0.5m gain on sale of player registrations compared with a gain of £6.2m in the prior year."In terms of debt, our net cash inflow in the year amounted to £4.0m. As I highlighted last year we still had £9.2m payable in terms of historic player transfers."The cash flow in the current year reflects payments of £8.0m on these prior year acquisitions, and resulted in our year end debt in relation to the term loan and overdraft facility with Lloyds Banking Group of £22.3m. Total debt at 30 June 2010, incorporating finance leases and other loans, amounted to £27.1m."A balance has to be struck between debt reduction and remaining competitive on the playing front. To this end, we agreed a business plan with Lloyds Banking Group in recent months, and whilst we continue to look for new investment, this has enabled an allocation of funding for new players, while at the same time retaining the nucleus of the squad that has served us so well in the past two seasons."The financial results and the team's success have assisted in stabilising the business and strengthening our balance sheet. Some caution must be exercised, however, given the effect of the recession on our core revenue streams and the implications to Scottish football of the country's European ranking."Challenges therefore still remain but I am confident that the management team under the guidance of Martin Bain can continue to enhance the company's financial performance whilst maintaining our team's competitive edge on the field."Every Rangers fan, myself included, knows only too well the issues we have faced in recent times given our debt levels and the distraction of ownership speculation."However, we are now in a position to look forward more constructively and positively as we make every effort to achieve continued success for this great football club."Full report here...http://www.rangers.co.uk/page/annualreport/0,,5,00.html Link to post Share on other sites More sharing options...
Big Laff's Dodgy Barnett 20 Posted September 22, 2010 Share Posted September 22, 2010 in short ? Link to post Share on other sites More sharing options...
1st_Jan_1994 4,868 Posted September 22, 2010 Share Posted September 22, 2010 in short ?Doing well. Link to post Share on other sites More sharing options...
Frankie 505 Posted September 22, 2010 Author Share Posted September 22, 2010 In short, debt reduced to £27.1million.... Link to post Share on other sites More sharing options...
lylad 33 Posted September 22, 2010 Share Posted September 22, 2010 good very glad to hear Link to post Share on other sites More sharing options...
Poetry_In_Blue 1,043 Posted September 22, 2010 Share Posted September 22, 2010 So as a club before the new season started we are still currently £27.1 million in debt?Even though this should (over the year) be reduced even further with participation in the CL this season?Will be helpful for someone who does understand these things to give a brief more accurate breakdown and not their own interpretation. Link to post Share on other sites More sharing options...
1st_Jan_1994 4,868 Posted September 22, 2010 Share Posted September 22, 2010 In short, debt reduced to £27.1million....I think most were predicting around the 25 million mark anyways. The players we have brought in this summer have been just outside net spend aswell as this years Champions League revenue to come off next years bill. Link to post Share on other sites More sharing options...
Frankie 505 Posted September 22, 2010 Author Share Posted September 22, 2010 I think most were predicting around the 25 million mark anyways. The players we have brought in this summer have been just outside net spend aswell as this years Champions League revenue to come off next years bill. Given the numbers in the report there is definitely scope for further substantial debt reduction this time next year.I'd have thought down to the £20million mark is possible.I'm sure our resident accountants will be able to qualify such speculation... Link to post Share on other sites More sharing options...
Amac9 2,060 Posted September 22, 2010 Share Posted September 22, 2010 Can only be a good thing. Link to post Share on other sites More sharing options...
Big Laff's Dodgy Barnett 20 Posted September 22, 2010 Share Posted September 22, 2010 27.1 mil ?3 years ago we were £30 mil in debtwe have only lowered it by less than a million per year ?so it will take about 30 years to get rid of the banks grasp of the club ? Link to post Share on other sites More sharing options...
BRITNEY IS NOT FEELING IT 8,292 Posted September 22, 2010 Share Posted September 22, 2010 It's good but just a wee bit still on the large side , hopefully the figure of debt will be reduced further with an extremely well played and profitable CHAMPIONS league campaign and a TREBLE win , Link to post Share on other sites More sharing options...
KingKirk 24,892 Posted September 22, 2010 Share Posted September 22, 2010 27.1 mil ?3 years ago we were £30 mil in debtwe have only lowered it by less than a million per year ?so it will take about 30 years to get rid of the banks grasp of the club ? Only calls for one thing a takeover Link to post Share on other sites More sharing options...
1st_Jan_1994 4,868 Posted September 22, 2010 Share Posted September 22, 2010 27.1 mil ?3 years ago we were £30 mil in debtwe have only lowered it by less than a million per year ?so it will take about 30 years to get rid of the banks grasp of the club ? Yeah but one of them years there was no Champions League money after we went crashing out to Kaunas and we had to go and buy Mendes, Davis and Edu ... over 9 million of which was still outstanding until the tail end of last season.On top of that we still had big earners like Hemdani and Ferguson bleeding us dry (for want of a better word) Link to post Share on other sites More sharing options...
WaltersGotStyle 159 Posted September 22, 2010 Share Posted September 22, 2010 What happens when we have no guaranteed CL money? Link to post Share on other sites More sharing options...
1st_Jan_1994 4,868 Posted September 22, 2010 Share Posted September 22, 2010 What happens when we have no guaranteed CL money?We sell Davis, McGregor, Bougherra, Miller and go into administration ...Oh wait Link to post Share on other sites More sharing options...
Big Laff's Dodgy Barnett 20 Posted September 22, 2010 Share Posted September 22, 2010 Only calls for one thing a takeover The Only Show In Town Link to post Share on other sites More sharing options...
papaguy51 912 Posted September 22, 2010 Share Posted September 22, 2010 Perhaps I'm uneducated on the matter, but I'm almost disappointed to see the debt still at that amount.The operating costs and overall profits look fantastic though.·Profit for the year increased by £16.90m to £4.2m (2009 - loss of £12.7m) Link to post Share on other sites More sharing options...
highlander05 53 Posted September 22, 2010 Share Posted September 22, 2010 you have to look at things like we have no cut down operating costs, wages etc, so things will decline more rapidly. recently we've done well though to cut costs and reduce the debt, but sometimes its hard to do both at the same time successfully one usually follows the other. I would expect a more steep drop in our debt on our next accounts as long as we get in to the CL. Link to post Share on other sites More sharing options...
WaltersGotStyle 159 Posted September 22, 2010 Share Posted September 22, 2010 I am totally unimpressed as without the CL income we would have operated at a loss last year. Link to post Share on other sites More sharing options...
Frankie 505 Posted September 22, 2010 Author Share Posted September 22, 2010 The debt figure isn't lower because of the £9.2m payable in terms of historic player transfers (of which we paid off £8m)... Link to post Share on other sites More sharing options...
MisterC 11,805 Posted September 22, 2010 Share Posted September 22, 2010 This just goes to show why we should be protesting more about the way the club is being run. Link to post Share on other sites More sharing options...
thebooler 4,509 Posted September 22, 2010 Share Posted September 22, 2010 I am totally unimpressed as without the CL income we would have operated at a loss last year.Is that no a bit like a hotellier saying "Our profits were 5m but if we never had those 3 weddings, it would only have been 4m". Link to post Share on other sites More sharing options...
BasileBoliSoup 9 Posted September 22, 2010 Share Posted September 22, 2010 The debt figure isn't lower because of the £9.2m payable in terms of historic player transfers (of which we paid off £8m)...So the debt will likely go below the £20m mark next year without these? The only worrying thing is we will likely have less income as we may not qualify for the CL the following year and it could start to go the opposite direction in the 2012 results. Link to post Share on other sites More sharing options...
Frankie 505 Posted September 22, 2010 Author Share Posted September 22, 2010 So the debt will likely go below the £20m mark next year without these? The only worrying thing is we will likely have less income as we may not qualify for the CL the following year and it could start to go the opposite direction in the 2012 results.Depends on how the club use the profits from this year's CL.I'd imagine they may slice it up depending on the situation next summer, e.g. some money to debt, some to offset the chance we don't participate in the CL.What we need is a profitable club without those monies. Easier said than done though. Link to post Share on other sites More sharing options...
Frankie 505 Posted September 22, 2010 Author Share Posted September 22, 2010 I'd imagine then that that £8million will go elsewhere this year? Tranfers, debt reduction, that sort of thing?That is correct. Link to post Share on other sites More sharing options...
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