Blackpool FC have made a “healthy profit” of £5.5m for the year ending May 2013 according to directors, despite a season of ups and downs on the pitch.
During the year, the club lost Ian Holloway as manager in the November. He was replaced by Michael Appleton who left in January 2013 to be followed by Paul Ince who left this January after a year at the helm.
A drop in parachute payments earned for their season in the premiership 2010/11 and early round losses in the FA and Carling cups hit the bottom line resulting in a drop of 60 per cent in the pre tax profits from £15.1m in the previous year.
That figure was boosted by the sale of star player Charlie Adam and them reaching the play-off finals in 2012.
The turnover was down to £23.3m from £29.1m due to and the early cup exits to Morecambe in the first round of the Carling Cup and to Fulham in the FA Cup third round plus reduced parachute money and lower gate receipts.
Football related wages “remained high” according to the report of the parent company Segesta Ltd, at £9.36m – £10.6m the previous year – with a further £490,000 spent on transfer fees compared to £1.7m the year before.
The directors said: “Remaining in the Championship is not considered a considerable risk to the company as turnover will still be assisted by guaranteed parachute payments from the Premier League.”
“The club finished 15th in the table with 59 points . The club will therefore face a sixth out of the last seven year in the Championship in the 2013/14 season.”
The report reveals that the directors, Karl Oyston and his father Owen, were paid £568,024 compared to £117,599 the previous year.
During the period the club had 74 footballers apprentices and coaches and a total staff of 161 compared to 63 players and 150 other staff the previous year.
The company still owes £7.26m to former director Valerie Belokon and his daughter Vlada.
Meanwhile today, Liverpool FC have reported an increase in losses to £49.8m, despite a nine per cent rise in turnover mainly due to players’ wages.
See tomorrow’s Gazette for the full story and reaction.