The answer to both is NoTl;dr. Can we buy players or we are broke?
BBC is quoting £113 after tax.
No... it’s because it would be illegal. The clubs auditors have to sign off on the accounts and if they sign them off as unqualified that would raise heaps of questions and the media would be all over us like a rash.
Quite simply... you don’t issue false accounts.
Sorry think we're at crossed wires, that isn't my point.
THFC can, perfectly legally and ethically, re-invest (retain) it's own cash for the subsequent year, before tax.
Whether to re-invest in future operations (growth), assets, paying down debt, or even as a contingency.
Obviously no company will do that indefinitely, whether for commercial or tax purposes, as it also can't pay out dividends on cash sitting in the business.
Spurs could easily have taken any number of legal courses to play these numbers down, but chose not to.
Am assuming that is to look strong to investors, perhaps ahead of a Bond issue which I think was mentioned in the THST minutes - I'd be interested to know their thinking that's all.
Thanks - I was wondering the same thing. Why elect to pay corporation tax when we’ve got massive construction bill to pay off?
What’s also interesting is that as of June 2018 the stadium cost is £700m and the loan was at £410m of possible £630m. Suggesting we’ve already paid £300m off the stadium.
I'm quite surprised Levy wouldn't hide the profit in the business, either by retaining cash or paying down debt.
Surely clubs and agents will see that and raise their expectations?
Unless it is for the benefit of refinancing? (Or dividends..)
You would think there is a strategy here, but I can't quite figure it out.
you guys do your reporting different from us in the states so I always have trouble with these reports but it looks like we are in good shape if we laid out 490 million in cash for the stadium project and only borrowed 280 million.
Can we put this in the trophy cabinetRecord was previously held by Liverpool (think it was about £107m).........so, we made more profit in one year than any other club in the world ever!
We have £637m debt according to levy. He said so at the meeting with the supporters trust.
The facility is £637m but as of these reports we’ve only used £410m. Yes it’s likely the final figure will be around £600m. But that’s nowhere near the £1bn debt muted by many.
The facility is £637m but as of these reports we’ve only used £410m. Yes it’s likely the final figure will be around £600m. But that’s nowhere near the £1bn debt muted by many.
So like we've been telling all those pundits who said we will be restricted by paying off the stadium for the next ten years, we have been restricted for the last ten years paying off the stadium but from now on we've got cash on the hip.This is significant.
If you include Lillywhite House and the training ground etc we have spent just short of £910m on capital projects to June 2018 with loans of £460m. That's almost £450m we have invested ourselves which can now be used for the footballing side of the business.
So not only does the completion of the stadium bring in extra revenue, it also frees up a proportion of our budget which was being spent on improving the infrastructure.