Cash flow analysis: Leicester City's operating loss decreases cash balance second year in a row
24 March 2020
Despite a reduction of 148 per cent in cash flows from operating activities, Leicester City splashed out with their highest player spending to date - a total of £119 million and cash outflows of £90 million within the fiscal year.
Although key player Riyad Mahrez left in favour of Manchester City, the club needed to raise capital following a substantial outflow of £61.5 million, mainly stemming from player additions, causing the owners to inject just short of £60 million
The club won't reap the rewards of 2019/20 until 2021, projecting yet another year of financing concerns.
The 2018/19 season was marked by significant ups and downs at Leicester City, both on and off the pitch, as the tragic death of the club's beloved owner, Khun Srivaddhanaprabha, and the sacking of Claude Puel forced the club to reposition themselves.
The so-far fruitful 2019/20 campaign may overshadow a financially disappointing 2019, in which the club posted their first loss since 2014.
The Foxes invested heavily in squad improvements and infrastructure, forcing the club to take out a loan of £60 million from their owners. For the second year
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