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Cash flow analysis: Arsenal's cash reserves take a hit as squad investments haven't paid off

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PA Images | With debt commitments stemming from the summer's player acquisitions of £92 million, it's clear that the Arsenal management team hopes to delay future payments until they're (hopefully) playing Champions League again.

Huge cash reserves help Arsenal fund net cash outflows of £64 million with no new capital raised during the year.

With average yearly acquisitions of £126 million over the past three years, Arsenal have yet to seize the returns by regaining Champions League football.

This year's loss of £27 million and a 25 per cent decrease in cash balance raise doubts about the durability of owner Stan Kroenke's self-sustaining business model.

3 March 2020 - 12:42 PM

By Mads Christian Fogt Jensen, analyst

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