Spurs accounts June 2015

[longtimespur]

Interesting read. Have copied thfc below.

Read the full article at Guardian

It says 2015 but then states we finished 3rd so assume it's this year.

 

[longtimespur]

Tottenham
Accounts of Tottenham Hotspur Limited for the year to 30 June 2015

• Ownership Enic International Limited, registered in the Bahamas (tax haven), owns 85.55% of Spurs. Joe Lewis, resident in the Bahamas, has the controlling 70.6% ownership of Enic; trusts, of which Daniel Levy and family are the beneficiaries, own the other 29.4%

• Turnover 6th highest in League £196m, up from £181m in 2014

• Income Match-day income £41m; TV and broadcasting £91m; Commercial £60m; Uefa prize money £5m

• Wage bill 6th highest in League £101m, up from £100m in 2014

• Wages as proportion of turnover 52%

• Profit before tax £12m, following £80m profit in 2014

• Net debt £21m

• Interest payable £9m

• Highest-paid director Daniel Levy £2.61m

State they are in: Generally flourishing, with a third-place finish this season after fifth last season, solid finances, and manager Mauricio Pochettino signed until 2021. The new 61,000-seat stadium project, which has been long in the planning, difficult and controversial in a dense urban neighbourhood, has been granted permission, works have started, and it is planned to open in August 2018. Chairman Daniel Levy was paid a total package of £2.61m in 2014-15, the highest paid director in the Premier League; the package is understood to include bonuses for achieving targets.

 

[Lilbaz]

Before anyone mentions the profits that is down to player amortisation.

When we sold Gareth Bale £86m was recorded on our balance sheet. We then spent that money on other players but due to amortisation these payments are recorded over the entirety of the players contract (for example we paid £25m on Soldado with a 5 year contract, this means that only £5m [£25m /5] was recorded on that year's financials).

Instead of looking at profit, before deciding how much we can spend on players it is better to look at cash flow (how much we actually have in the bank).

 

[Spursidol]

http://www.tottenhamhotspur.com/the-club/investor-relations/annual-reports/

OS commentary and annual report for 30 June 2015.

 

[tiger666]

Here come many posts from people thinking they know more about finance than Enic.

 

[Wine Gum]

Interesting read. Have copied thfc below.

Read the full article at Guardian

It says 2015 but then states we finished 3rd so assume it's this year.

The financial results posted are for year ending 30th June 2015. The figures for year ending 30th June 2016 will not be published for many months.

 

[longtimespur]

The financial results posted are for year ending 30th June 2015. The figures for year ending 30th June 2016 will not be published for many months.

Okay..... why mention the 3rd place finish compared to last years 5th?
Confused me

 

[Everlasting Seconds]

Here come many posts from people thinking they know more about finance than Enic.

Basic insight into accounting actually is extremely useful when commenting. Otherwise it is all just numbers. Very very large numbers. But being able to present an informed opinion as for instance @Lilbaz just did, is actually not a bad thing. That doesn't mean that anybody thinks they know more than ENIC. So if you are going to be bitter, take it out in the kit thread or somewhere more productive .

 

[tommyt]

Before anyone mentions the profits that is down to player amortisation.

When we sold Gareth Bale £86m was recorded on our balance sheet. We then spent that money on other players but due to amortisation these payments are recorded over the entirety of the players contract (for example we paid £25m on Soldado with a 5 year contract, this means that only £5m [£25m /5] was recorded on that year's financials).

Instead of looking at profit, before deciding how much we can spend on players it is better to look at cash flow (how much we actually have in the bank).

So, how much have we actually got in the bank?

 

[longtimespur]

@Wine Gum........ I can see why accountants get paid so much if it takes them over a year to publish

 

[Bobbins]

Okay..... why mention the 3rd place finish compared to last years 5th?
Confused me

It only mentions us finishing third in relation to the fact that we're consistently doing well - it mentions finishing 5th in the season of these accounts as well.

It's just pointing out that we're on a stable financial footing whilst still maintaining consistently high league finishes - which in turn helps financially.

Oh and pretty much everything in finance when it comes to accounting, figures, reporting etc is done a year in arrears. Figures can change over time as different factors are taken into account and revisions made to calculations, so you need a full year to get an accurate picture of what's actually happened.

 

[gusrowe]

Before anyone mentions the profits that is down to player amortisation.

When we sold Gareth Bale £86m was recorded on our balance sheet. We then spent that money on other players but due to amortisation these payments are recorded over the entirety of the players contract (for example we paid £25m on Soldado with a 5 year contract, this means that only £5m [£25m /5] was recorded on that year's financials).

Instead of looking at profit, before deciding how much we can spend on players it is better to look at cash flow (how much we actually have in the bank).

I think the fee was £13 million up front and the balance on appearances so no major loss..

Before anyone mentions the profits that is down to player amortisation.

When we sold Gareth Bale £86m was recorded on our balance sheet. We then spent that money on other players but due to amortisation these payments are recorded over the entirety of the players contract (for example we paid £25m on Soldado with a 5 year contract, this means that only £5m [£25m /5] was recorded on that year's financials).

Instead of looking at profit, before deciding how much we can spend on players it is better to look at cash flow (how much we actually have in the bank).

I understand the fee was only £13 million up front and the balence based on performances and appearances. So no great financial loss maybe even stevens.

 

[Lilbaz]

I think the fee was £13 million up front and the balance on appearances so no major loss..

I understand the fee was only £13 million up front and the balence based on performances and appearances. So no great financial loss maybe even stevens.

Think you missed the point. Amortisation is for all players.

If you receive £100m in sales that goes straight in the book. If you then spend that £100m on players but they are all on 5 year contracts the books will only reflect that you have spent £20m. So you will show that you have £80m profit even though that £80m has already been spent.

(we didn't get all of the bale money up front but that is how it's recorded).

 

[Lilbaz]

So, how much have we actually got in the bank?

£10.273m. As of july 2015.

 

[tommyt]

£10.273m. As of july 2015.

Thanks.