Burnley Football Club achieves record net profit of £36.6m.
Burnley Football Club recorded a record net profit of £36.6m. during the financial year ending June 2018.
The figure compares to a profit of £22.2m. in the previous season, when the club secured back-to-back top-flight seasons for the first time since 1974.
The new figure beats the previous club record profit of £30.1m., recorded in June 2015.
In a statement to shareholders, Chairman Mike Garlick said: “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.
“As we hopefully continue to maintain our Premier League status going forward, the above will form a key part of our strategy and, in the main, we will purchase players who improve the quality and competitiveness of our first team and are able to technically develop further and grow in value.
“Sean (Dyche) and his coaching team performed magnificently throughout the season, inspiring our team to a seventh place Premier League finish and resulting in our first appearance in a European competition for over 50 years.”
The latest accounts reveal that turnover increased from £121m. to £138.9m. for the season 2017/18, largely due to increased prize money for finishing seventh, with the increase in net profit largely due to the sales of Michael Keane to Everton and Andre Gray to Watford.
Wages grew from £61m. to £81m., an increase of £20m. on the previous season, as a result of a determination to be more competitive in the market, coupled with increased bonuses for players and coaching staff, following the highest league standing in over 40 years.
Mr Garlick added: “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.
“As always, we continue to keep a close eye on our cash flow position as, despite the above impressive figures, with poor cash management we could easily fall into a negative cash flow position.”
Elsewhere in the annual accounts, match income fell from £5.84m. to £5.6m., catering sales showed an increase from £2.41m. to £2.61m., retail sales again grew from £1.66m. to £1.88m. and other commercial activities increased from £6.28m. to £7.36m.