Burnley break financial records after best league standing in 40 years
29 March 2019
The Clarets recorded record net profit of £36.6 million beating the previous record of £30.1 million from 2015.
Accounts show massive increase in wages, which chairman believes is important to drive the club forward.
While Burnley are struggling to stay out of the relegation zone this season, they performed much better last season with their surprising seventh place and good performances on the pitch having certainly made an impact on their latest financial accounts.
The club recorded a record net profit of £36.6 million during the financial year ending June 2018. This compares to their profit of £22.2 million in the previous season, when the club secured back-to-back top-flight seasons for the first time since 1974. The previous record profit was £30.1 million recorded in June 2015.
“Following the successful retention of our Premier League status at the third time of asking in 2016/17, I felt it was absolutely essential that we should avoid the dreaded ‘second season‘ syndrome and, as a result, we continued to invest in new playing talent whilst trading players where we felt that they might be at, or close to, the peak of their value,” said chairman and owner Mike Garlick in a statement.
More competitive in the market
The Clarets’ turnover increased from £121 million to £138.9 million for the 2017/18 season, due to increased prize money for finishing seventh, with the increase in net profit largely due to the sales of Michael Keane and Andre Gray, according to their accounts.
Wages grew from £61 million to £81 million, which is a result of Burnley wanting to be more competitive in the market, coupled with increased bonuses for players and coaching staff, following their highest league standing in over 40 years.
We believe our wage structure gives a high level of flexibility
“The Premier League ‘wages league’ is one we are certainly not bottom of anymore, but we believe our wage structure gives a high level of flexibility for all scenarios and a competitive edge for our players and management to continue to drive our great club forward,” the chairman said.
Their accounts also show that catering sales increased from £2.41 million to £2.61 million, retail sales grew from £1.66 million to £1.88 million and other commercial activities increased from £6.28 million to £7.36 million, while match income fell from £5.84 million to £5.6 million despite their successful season.