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Arsenal rely on transfer dealings

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Arsenal's latest accounts which will be made public tomorrow are expected to confirm how much the club is reliant on the transfer market to make a profit.   A profit of around £45m is expected, largely generated from the sales of Cesc Fabregas and Samir Nasri.

The players' sales raised about £54m in the summer of last year which offset an operating football loss before transfers for the year to May 2012.   This loss reflects the impact of a high wage bill and relatively modest commercial income.

Arsenal have about £160m of cash reserves, boosted by season ticket income, to cover costs in the season, some £60m of which is available for Arsene Wenger to spend on players.   He could have an extra £70m per season to spend in two years as a result of an improved Premier League television deal and the club's new commercial deals.

Arsenal's kit and sponsorship deals are worth about £12m combined but are dwarfed by the more than £45m per season Manchester United and Liverpool earn on corresponding deals.   Arsenal will hope to secure much improved deals when the current ones expire in 2014.

Clearly money can be made by developing and selling on players.   In the longer run, Arsenal hopes that the application of Uefa's financial fair play rules will reward their prudent approach.