[Finance] Everton finances v those of the Albion

[Weststander]

This will take a couple of years to filter down to audited accounts:

Everton squad cost (almost all of it under the Moshiri regime) - £410m.
B&HFC - c. £110m.

We’re pushing well above our weight, whilst they’re being ripped off by clubs and agents.

 

[Sussex Nomad]

Soz it’s not an interesting site.

Good to quote part of my post. Well done, the Sun are crying out for journalists like you.

 

[Triggaaar]

If you want to read ... an exclusive as to why Allardyce was sacked...if you know how to look for it) then the details are here

I'm too tired. Could you just tell us why please?

 

[perseus]

£50 million

Everton vs BHA:

EPL TV

130.0 - 110.3 = 19.7

EUFA TV

12.4 - 0 = 32.1

Commercial

30.5 - 10.6 = 19.9

Gates

16.3 - 18.5 = (2.2)

 

[pastafarian]

Figure for 2017/18

Income EFC £189 million BHAFC £139 million
Average weekly wage EFC £70,000 BHAFC £37,000
Player signings EFC £215 million BHAFC £57 million
Loss pre player sales EFC £64 million v BHAFC profit £9 million.

If you want to read the full story on the website that Bozza and I run (and an exclusive as to why Allardyce was sacked...if you know how to look for it) then the details are here

http://priceoffootball.com/everton-2017-18-the-long-and-winding-road/

Wish you had handed these figures out at half time at Hereford.
Would have probably stopped my mate going white as a sheet and parking his guts on my shoes

 

[LlcoolJ]

I'm too tired. Could you just tell us why please?

It's the usual code on EP's articles. Looking at CAPITAL letters helps......

 

[Triggaaar]

It's the usual code on EP's articles. Looking at CAPITAL letters helps......

Ok, it seems I've failed code-breaker school.

 

[LlcoolJ]

Ok, it seems I've failed code-breaker school.

Look at the start of each paragraph.

 

[Triggaaar]

Look at the start of each paragraph.

Thank you.

 

[Questions]

EBITDA is popular because
(a) It strips out one off items which won't necessarily arise in future years (in the case of Everton, £14 million in sacking two managers and consultancy costs for the stadium)
(b) It removes non-cash costs such as depreciation that are to an extent arbitrary (should a stadium be depreciated over 20 years, 30, 50 etc? There are no rules for these figures)
(c) It is funding model agnostic, as it shows the profit regardless of whether the club is funded by interest bearing debt, interest free debt or shares. This is useful if someone is looking to buy a club, and they might be planning a different funding model to that of the current owners.

EBITDA therefore gives a proxy of a cash profit figure, based on recurring, sustainable income flows, which can then be used to pay for transfers, finances costs and infrastructure spend, and as such it is more comparable between clubs.

It is imperfect as some clubs do have a business model of selling players to fund other costs, but this is a very risky approach, because if the production line of players stops for a season or two the club can find itself in the plop plops.


BTW I'm not an accountant!

You wanted to be a lion tamer didn’t you ?

 

[dazzer6666]

Worse than that. If you include player amortisation then Palace spend more than they generate just on those costs (like these Everton accounts).

That's based on old figures though obviously as Palace don't file recent accounts.

I for one am looking forward to the 2018 ones even though it's going to be a long wait. I predict a massive car crash, a big loss and no "ringfenced" money for their new stand.

All good fun.

Pretty much the definition of 'unsustainable'. Car crash is going to be a big one when it happens. Hope St Johns are getting paid cash by the game.

 

[LlcoolJ]

Pretty much the definition of 'unsustainable'. Car crash is going to be a big one when it happens. Hope St Johns are getting paid cash by the game.

Yep. Their last accounts showed a "profit" but that was only because of player sales. They were actually the only PL team whose 2017 accounts showed wages / player write downs being more than their turnover. Since then, they've increased the wage bill and haven't made a profit on player sales. The 2018 accounts are going to be a mess.