Sixth year of profits at Newcastle United
Newcastle United have recorded their sixth consecutive year of profits. However, they fell to £4.6m in the year to June 2016, compared with £32.5m in the year to 2015. Turnover was down by three per cent with a £4.5m fall in media income.
Whether they can make a profit in what looks like being a single year in the Championship remains to be seen. Media income for their screened matches this year has fallen from £12m to £720,000. Centrally distributed income has fallen by £30m. They will receive £7.1m in prize money if they win the Championship title.
The total net cash spend on players was £70.7m as the club sought to avoid relegation. The wages to turnover ratio went up from 50.1 per cent to 59.4 per cent, although many clubs have far worse ratios.
Net debt was £127.3m with considerable sums owed to companies controlled by Mike Ashley.