Liverpool have announced £19.8m loss despite posting a record revenue for the year ending 31st May 2016. The Reds have broken the £300m barrier for the first time.
The English side have spent heavily on the transfers to bring in some exciting talents during this financial year with the likes of Roberto Firmino for £29m and Christian Benteke for £32m. They, however, sold Benteke to Crystal Palace with a loss of £5m.
The loss occurred mainly due to the construction of the main stand and investment on players. They also had to pay a large sum to the tune of £7m to get rid of their former manager Brendan Rodgers.
Their overall revenue rose to £301.8m consisting of match day revenues, commercial revenues and media revenues.
Andy Hughes The Reds’ chief operating officer said,
“These results demonstrate the solid financial progress that’s been made over the past six years under the leadership of FSG [Fenway Sports Group] with continued investment in the playing squad and the completion of the main stand.
“The increase in the underlying revenue adds further strength to the club’s financial position despite the cost of football rising with player transfer fees, wages and agents’ costs. During this reporting period, we also agreed a new five-year credit facility which further secures the club’s long-term financial stability. All three main revenue streams continue to show strength and commercial revenues held firm irrespective of the impact of the main stand at Anfield.”
