Premier League Financial Forecast 2022: Liverpool’s near-perfect season ensures hefty gains for club’s bottom line

After suffering more than £50 million in losses over the last two Covid-impacted years, Liverpool are set for a drastic turnaround. Their total revenue is forecasted to reach an all-time high of £602 million resulting in a projected profit of £76 million before tax. 

With Liverpool’s resurgence under Klopp over the last few seasons, achieving both domestic and international success has become habitual if not expected by fans. The Reds fulfilled this in 2021/22 by reaching three cup finals in which they secured the FA and EFL cups but were defeated by Real Madrid in the Champions League final. 

While the near-perfect season may have left the Scousers oddly unfulfilled, their mood should be lightened by an enhanced revenue figure derived from large prize pools from the numerous top-two finishes. 

Another substantial amplifier for projected revenue is the increased matchday income due to the fact Liverpool played a record 63 competitive games.

Finally, as the Reds return to post-Covid commercial turnover levels - and prosper further from the lucrative Nike kit deal in 2020 - their commercial turnover is projected to grow to £241 million, a 28 per cent increase from the last pre-Covid season in 2018/19. 

In terms of profits and expenses associated with players, Liverpool’s activity has been directed particularly towards extending contracts with big names.

Major players such as Vigil Van Dijk, Alisson, Jordan Henderson and Fabinho all signed lengthy contract extensions in 2021, and superstar Mohammed Salah put his pen to a long-term extension just after the conclusion of the financial year. These extensions are forecast to result in a rising payroll, but this is overshadowed by the projected major increase in revenue. 

While the season was characterised more by extensions than major transfers, the revolving doors have started to swing ahead of the upcoming season.

Sadio Mané has left for Bayern Munich, but the gap has already been filled out with the acquisition of Darwin Núñez for a reported £68 million fee. That, along with the expensive extension with Salah, could indicate that Liverpool are out to spend their projected profit to further solidify the squad.