Arsenal has broken through the £400m (€434.4m/$517.7m) revenue barrier for the first time in its history, with the English Premier League football club also reporting a significant rise in its pre-tax profit.
The North London club’s financial results for the year ending May 31, 2017 outlined revenues of £422.8m, up from last year’s mark of £350.6m. The club said this was mainly due to a strong increase in broadcast revenue, allied to enhanced commercial activity.
Arsenal brought in an additional £58m from broadcasting as a consequence of the increased value of Premier League rights in the first season of the latest three-year cycle, along with Uefa Champions League distributions. Overall commercial revenue growth for the year of 10 per cent was led by an additional £5.9m from secondary partnerships.
This led to a noticeable growth in Arsenal’s pre-tax profit, which rose from £2.9m last year to £44.6m. Arsenal retains significant cash reserves, with the club stating it has “fully self-insured” against a season’s participation in the Europa League, and the resulting drop off in revenue.
Arsenal is currently competing in Uefa’s second-tier competition for the first time in two decades having finished fifth in the Premier League last season.
Arsenal chief executive Ivan Gazidis said: “Our ambition is clear - to win major trophies. In order to compete at the top, we need to strive to be better than our competitors in everything we do. That is why during the past season we have continued to make substantial investments to drive the club forward.
“At the top of the pyramid, we have scaled up our investment in our first-team squad significantly in recent years, spending a net £203m in transfer fees in the last three seasons. We have transformed our training ground and completed a total rebuild of our academy.
“We are focused on ensuring that the structures, in terms of people, expertise and facilities, in place around the manager and the players are the best that they can be. By getting that environment right, down to fine tuning the detail, we optimise our chances of achieving the results we want on the pitch.”
By Sportingindustry.co.za
Arsenal brought in an additional £58m from broadcasting as a consequence of the increased value of Premier League rights in the first season of the latest three-year cycle, along with Uefa Champions League distributions. Overall commercial revenue growth for the year of 10 per cent was led by an additional £5.9m from secondary partnerships.
This led to a noticeable growth in Arsenal’s pre-tax profit, which rose from £2.9m last year to £44.6m. Arsenal retains significant cash reserves, with the club stating it has “fully self-insured” against a season’s participation in the Europa League, and the resulting drop off in revenue.
Arsenal is currently competing in Uefa’s second-tier competition for the first time in two decades having finished fifth in the Premier League last season.
Arsenal chief executive Ivan Gazidis said: “Our ambition is clear - to win major trophies. In order to compete at the top, we need to strive to be better than our competitors in everything we do. That is why during the past season we have continued to make substantial investments to drive the club forward.
“At the top of the pyramid, we have scaled up our investment in our first-team squad significantly in recent years, spending a net £203m in transfer fees in the last three seasons. We have transformed our training ground and completed a total rebuild of our academy.
“We are focused on ensuring that the structures, in terms of people, expertise and facilities, in place around the manager and the players are the best that they can be. By getting that environment right, down to fine tuning the detail, we optimise our chances of achieving the results we want on the pitch.”
By Sportingindustry.co.za
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