Financial results

[yankspurs]

Forget buying players to improve the squad.. we have done enough of that the last few seasons.. Buy players for the Starting IX.. & promote from the academy to fill out the squad

That's what I meant....

 

[whitelanefever]

That's what I meant....

Fair enough.. sorry

 

[ERO]

What was that you were saying?

 

[kmk]

According to the Evening Standard.

The world record £85million transfer of Gareth Bale to Real Madrid in 2013 boosted Tottenham’s latest financial results, which were released today.

Spurs, who are owned by the Bahama-based billionaire Joe Lewis, saw profits soar from £1.5m to £65.3m last year after selling the 25-year-old Welshman.

The club used the money to fund a £108m spending spree under former manager Andre Villas-Boas, including big-money signings such as Erik Lamela, Roberto Soldado and Paulinho.

However, according to a spokesman for the club, these purchases were not included in the latest profit figure. More details will be revealed when the full annual accounts are published next month.

 

[225]

What was that you were saying?

 

[Spursidol]

Is that not just impairment though? Meaning rather than it being our choice to include a provision, we would be obliged to recognize the asset impairment immediately due to accounting regulations? Not really relevant, but just wondering how it would work in the world of football finance.

Agreed. Only reason for suggesting its 'voluntary' is that its difficult to agree what a player valuation is - on this thread at the start iof this season Paulhinoi, Soldado, Kaboul, Capoue et al were great players who would come good, and no doubt with shirt sales to justify that.

I'm sure there will be a list of 'standard' tests to justify a player valuation - but at the start of this sreason all the above might well have passed those tests with ease...but right now, hmmmm!

 

[TottenhamLegend]

Player valuations will be intangible assets though........and in the case of Ade and Soldado that's quite accurate .

On this, I'm fairly sure player valuation is based entirely on purchase price, which is then depreciated over the course of their contract. Performance, and subsequent increase in hypothetical market price is not considered.

e.g. Eriksen will probably be worth something like £3m from an accounting point of view at this point in time. Therefore even if we were to sell him this summer for what we bought him for, we'd still make a big financial profit in terms of next year's profit and loss.

In other words - player valuations are completely pointless to consider in these numbers.

Edit: Just seen that @Spursidol well and truly beat me to that one!

 

[225]

On this, I'm fairly sure player valuation is based entirely on purchase price, which is then depreciated over the course of their contract. Performance, and subsequent increase in hypothetical market price is not considered.

e.g. Eriksen will probably be worth something like £3m from an accounting point of view at this point in time. Therefore even if we were to sell him this summer for what we bought him for, we'd still make a big financial profit in terms of next year's profit and loss.

In other words - player valuations are completely pointless to consider in these numbers.

Edit: Just seen that @Spursidol well and truly beat me to that one!

Think it works exactly the same in retail and wholesale. The "Value" of goods is the 'buy in' price, or cost price.

 

[dagraham]

On this, I'm fairly sure player valuation is based entirely on purchase price, which is then depreciated over the course of their contract. Performance, and subsequent increase in hypothetical market price is not considered.

e.g. Eriksen will probably be worth something like £3m from an accounting point of view at this point in time. Therefore even if we were to sell him this summer for what we bought him for, we'd still make a big financial profit in terms of next year's profit and loss.

In other words - player valuations are completely pointless to consider in these numbers.

Edit: Just seen that @Spursidol well and truly beat me to that one!

Totally agree. Players will be on the balance sheet at book value, not market value. I was just using it to make a cheap joke at Ade and Soldado's expense

 

[Mullers]

Look where we were and look what we have now, he has doen a brilliant job IMO we are competing with teams with bigger reasources than ourselves at end of the day.

In his first full season we finished 9th, where we are now is 7th below Southampton a side with much less resources than us and that is after stealing their manager AND head of recruitment talent.

 

[Lilbaz]

On this, I'm fairly sure player valuation is based entirely on purchase price, which is then depreciated over the course of their contract. Performance, and subsequent increase in hypothetical market price is not considered.

e.g. Eriksen will probably be worth something like £3m from an accounting point of view at this point in time. Therefore even if we were to sell him this summer for what we bought him for, we'd still make a big financial profit in terms of next year's profit and loss.

In other words - player valuations are completely pointless to consider in these numbers.

Edit: Just seen that @Spursidol well and truly beat me to that one!

Yes. Say we buy player A for £10m on a 5 year contract. In 3 years time he will be worth £4m (as his value will drop £2m a year). If he then signs a 2 year extension his value would then be £4m, but the contract will have 4 years left, so his value would then drop by £1m a year. So in his final year he will be worth £1m. No matter how good he is.

 

[Archibald&Crooks]

AND head of recruitment talent.

I've already explained why this isn't a fair stick to use. If it isn't going to sink in then i'm afraid I must ask for your resignation from the anti-Levy lobby and you'll have to carry on the fight alongside the handful of rabid nutcases out there, without official support or affiliation.

I'm starting to think you're a BSoDL mole sent to destroy us from within.

 

[Mullers]

I've already explained why this isn't a fair stick to use. If it isn't going to sink in then i'm afraid I must ask for your resignation from the anti-Levy lobby and you'll have to carry on the fight alongside the handful of rabid nutcases out there, without official support or affiliation.

I'm starting to think you're a BSoDL mole sent to destroy us from within.

And I already explained he's had one transfer window already if Ali turns out to be another Kane or Bale the credit will all go to him.

Ah You're on the anti levy side today when the voltage goes up, you'll jump to the other side pretending to be the voice of reason.

 

[Lilbaz]

And I already explained he's had one transfer window already if Ali turns out to be another Kane or Bale the credit will all go to him.

Ah You're on the anti levy side today when the voltage goes up, you'll jump to the other side pretending to be the voice of reason.

Can't we all just be on Spurs side. Levy wants us to win too.

 

[Mullers]

Can't we all just be on Spurs side. Levy wants us to win too.

I'm sure he does, Alan Sugar wanted us to win and still does but he gets berated all the time even though he's won as much as Levy has.

 

[Lilbaz]

I'm sure he does, Alan Sugar wanted us to win and still does but he gets berated all the time even though he's won as much as Levy has.

I think you missed my point. I don't want us to berate anybody. It is negative and just causes arguments. Think positive.

 

[Archibald&Crooks]

And I already explained he's had one transfer window already if Ali turns out to be another Kane or Bale the credit will all go to him.

Ah You're on the anti levy side today when the voltage goes up, you'll jump to the other side pretending to be the voice of reason.

Oh stop talking bollocks for fucks sake. Its boring, no it's actually so fucking pathetic that its trolling.

 

[Mullers]

I think you missed my point. I don't want us to berate anybody. It is negative and just causes arguments. Think positive.

You do know this is Spurs chat right? Most of the threads here contain posts berating someone.

 

[Mullers]

Oh stop talking bollocks for fucks sake. Its boring, no it's actually so fucking pathetic that its trolling.

It was just a tongue in cheek remark, that's why I inserted a smiley.

 

[Archibald&Crooks]

It was just a tongue in cheek remark, that's why I inserted a smiley.

I'll give you tongue in cheek……..