Newcastle United CEO makes Financial Fair Play admission – and makes Tottenham & Man City comparison
Newcastle United Chief Executive Officer Darren Eales says the club is compliant with Financial Fair Play rules after releasing its account for the 2022/23 financial year.
The Magpies announced a 39% rise in revenue but an after-tax loss of £73.4 million. The majority of this loss was caused by the £153 million spent on acquisitions of players such as Anthony Gordon, Sven Botman, and Alexander Isak, as well as the £23.4 million invested in fixed assets like St. James’ Park and the training facility.
The team signed a lucrative £25 million-per-season contract with Sela to be the front-of-shirt sponsor in the summer, although those sums aren’t included in the 22–23 accounts. The club qualified for the Champions League the previous season.
Eales informed reporters, “We’re compliant [with FFP rules] in the year.” “Our plans are always to be compliant – that’s part of our business plan and model.”
Eales added: “Newcastle United has had a very successful year both on and off the pitch. We grew revenues by 39%, with an increase in TV money, improved sponsorship deals and a sharper focus on everything we are doing across the club.
“We are building the long-term project that we are developing here at the club, and we are making progress every day.”
Newcastle’s match-day, marketing, and media rights income saw the team’s revenue jump from £180 million to £250.3 million in the previous year.
As the Magpies played four home games en route to the Carabao Cup final, match day income grew by 38 percent from £27.5 million to £37.9 million, while media income increased by 33 percent from £124.1 million to £165.5 million as there were 26 live TV appearances.
Meanwhile, commercial income increased by 66% from £26.5m to £43.9m with growth in commercial partnerships income together with several events in the year, most notably the Diriyah Cup in Saudi Arabia in
December 2022 and the two concerts in June 2023 at St. James’ Park with Sam Fender.
Eales named-checked Manchester City and Tottenham Hotspur while cautioning about the considerable distance that still exists between Newcastle, whose turnover in 22–23 was £250.3m, and the “top six.”
“Since the takeover, there has been a forty percent yearly growth, which is significant growth,” stated Eales. “We will make significant progress since we will have control over our own retail and merchandising, which we haven’t had before, thanks to the strong tailwinds of Adidas arriving in June, Champions League money, and Sela front of jersey.
“The reality is that with the performances we have had on the pitch and the buzz around the club we are seeing
“The reality is that with the performances we have had on the pitch and the buzz around the club we are seeing
An increasing number of business associates are eager to join us on this adventure. A snowball is sliding down a slope. Our improved performance on the field is benefiting our business relationships.
“We are happy with the trajectory, but we still need to gain ground. We are aware that we have a lot of work ahead of us—£710m at Man City and £444m at Spurs in their most recent finances.
The exciting thing about this, though, is that we have a dedicated and helpful ownership group, and we truly are a one city, one club. The components that will enable our future growth are in place. All we have to do to reach our destination is work as quickly and effectively as possible.
