By Ian Grant
One immediate factor from Arsenal’s financial results and so far unreported is that it spends around £30m less on wages a year than Chelsea, and £180m less on player transfers.
Arsenal’s financial results were significant and here’s what ANR has picked out as the highlights:
*group turnover up 33% to £156.9m, but this was boosted by the one-off realisation of property assets (£42m).
*Mr Hill-Wood said while property development was not expected to form a part of the club’s business in the long term, it would make a significant contribution for a number of years.
*pre-tax profits in the year up to May 31 were £10.6m.
*Operating profits rose from £25.3m to £36.2m before taking into account player trading costs of £19.6m and exceptional costs of £6.3m.
*Once the stadium opens, Arsenal will need gates of only 40,000 to break even, covering the debt. Arsenal will sell 44,000 season tickets and already have 23,000 season-ticket holders with 40,000 on the waiting list – the average wait is 40 years.
*Gate receipts rose from £27.9m to £33.8m while broadcasting income rose from £51.8m to £59.8m. Arsenal’s progress to the quarter-finals of the Champions League saw pay-outs from the European competition rise from £16.1m to £19.3m.
*Stadium revenue will outstrip Manchester United even when Old Trafford is increased to a 75,000 capacity. Arsenal will earn £1.5m more per match at Ashburton Grove than they do at Highbury.
*The club will receive £30m from a previous deal with Granada early next year, and profits from property development and Highbury, which is valued at between £70m and £85m.
*the proportion of wages to turnover fell from 51.4% to 44.5%. The wage rise was partly due to bonuses after the team’s league success and run to the Champions League quarter-finals. (This is well within the 60% threshold)
*Arsenal have been approached about Ashburton Grove being used as part of Britain”s Olympic bid
*The name for the new stadium is set to be agreed by Christmas. It will not have Highbury in its title and will be named solely after a sponsor. Lead contenders include O2, Samsung, Renault and Budweiser.
*The Clock End clock, the Herbert Chapman bust and the “marble halls”, although not the same as at present, will all transfer to the new bowl shaped stadium.