Celtic’s financial results for the year to 20 June 2023 were released this evening and showed income grew to a new peak of £119.9m, up from £88.2m the previous season. That 35% leap is largely (though not exclusively) a consequence of the club returning to Champions League football in September 2022.
The bank balance was an incredible £72.3m, up £42m on a year earlier. For some perspective, three years ago the club’s annual income was £12m less than our bank balance was on 30 June. Profit after tax was £33.332m (up from £5.849m) – and yes, we pay our tax.
Chairman, Peter Lawwell, wrote, “Our successfully proven strategy has delivered stability and footballing success over many years and remains the same. We must balance the signing of players that can be developed and sold when conditions are optimal alongside the need to sign players who are able to make an immediate impact and deliver footballing success.
“The execution of this strategy is increasingly challenging owing to wage and transfer inflation, but this formula has underpinned both our footballing success and financial stability over a number of years now and it is vital that we adhere to it.”
Chief executive, Michael Nicholson, noted, “As we continue to develop our Club for the future, we are aware of the ongoing turbulence and uncertainty in the economy and the challenges presented for our business, our partners and our supporters.
“Our model seeks to balance our commitment to football success with the crucial importance of financial sustainability.”
And added, “Finally, our thanks go to our supporters for your commitment and invaluable contribution to the Club. Your continued support is vital in delivering the success that we all strive for each year.”
These are (frankly) incredible financial results, achieved during a year the club delivered the 8th treble in our history and fifth in seven seasons. A significant portion of our resources will pay for infrastructure projects at Barrowfield and Lennoxtown. I would like a roof on Celtic Park (they have them in Warsaw, why not Glasgow?), but we will have to wait for that. We’ll dig deeper into the accounts tomorrow.
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tickets ticket tickets
I think we’ll go with Kyogo as a lone striker up top tomorrow, with Daizen and Hatate supporting on the break. It’s going to be a counter attacking night watching from behind the sofa. Can’t see the wee man lasting 90 mins, so it will be interesting to see how Brendan changes things towards the end. Not sure this is a game that suits Oh’s style, but we’ll see. Great to be playing CL football with the big boys.
£72 mullion in the bank.
here you with the two kids under 13 can i interest you in a champions league 3 match package working out at £32 per ticket,
oh well, general sale it is then and we can charge full whack, £60 each.
Rampant profiteering on the least well off supporter.
Still as long as people can buy a ticket and sit at home watching on a feed, who cares really.
Celtic PLC
Announcement of Results for the year ended 30 June 2023
SUMMARY OF THE RESULTS
Key Operational Items
Winners of the Domestic Treble in season 2022/23 for a world record 8th time.
Qualification for the group stages of the UEFA Champions League for season 2023/24.
Participation in the group stages of the UEFA Champions League in season 2022/23.
26 home matches played at Celtic Park (2022: 31 games).
Key Financial Items
Group revenue increased by 35.8% to £119.9m (2022: £88.2m).
Operating expenses including labour increased by 4.0% to £95.4m (2022: £91.7m).
Gain on sale of player registrations of £14.4m (2022: £29.0m).
Acquisition of player registrations of £13.0m (2022: £38.4m).
Profit before taxation of £40.7m (2022: £6.1m).
Year-end cash net of bank borrowings of £72.3m (2022: £30.2m
https://cdn.celticfc.com/assets/downloads/SE_notifications/Celtic_plc_June_2023_Stock_Exchange_Announcement.pdf
Big Pete infers Jota sale is included in those year end results. HOw so ?
” A significant portion of our resources will pay for infrastructure projects at Barrowfield and Lennoxtown”
That’s not going to make much of a dent with the cash in bank🙃!!
The
£34.6m increase in profit before tax resulted from the significant revenue increase outlined above along with a £14.4m gain
on sale of player registrations, predominantly from the sales of Jota, Juranovic and Giakoumakis. In addition, we recorded
£13.5m of other income that came from a combination of compensation received following the departure of Ange
Postecoglou and a business interruption insurance recovery in relation to Covid-19, with the two items mentioned being
one off in nature and typically non-recurring
A roof on Celtic Park! Oh WOW! IN 1988 Who’d have thought we’d have a brand new stadium in 1998? What will the Celtic triangle look like in 2033?
T
Last year really was an outstanding one for Celtic on and off the pitch.
Our 5th treble in 7 seasons while making £40m profit. Future 100% assured with rock solid foundations
Cause for celebration for all no doubt.
Paul 67,
There is no doubt we are financially astute club.
£72m in the bank. ( I would be surprised if many other team in the UK have that liquidity)
A bonus of rising interest rates mean we are probably earning circa 6% interest on that.
Surely that could have helped to realistically price under 13 tickets for the CL.
A roof you say. The only reason for this or can see would be for concerts etc. Optimising non football income.
HH.
For a bit of perspective in 21/22 Man city, Liverpool and Man United had revenues around £600m each.
Relegated club Burnley £124 m
Good evening all from the Brazen Head. It’s a hard life.
The main stand needs gutting
Fantastic set of financial results. We are lucky to have people at the top who understand business and keep our club in good financial health. They’re never going to please everyone all of the time, but there’s no denying we have developed a successful business model. As I commented last week, we cannot compete in the CL because our player acquisition funds are dwarfed by those of the clubs competing in the top leagues. Just can’t see how we ever turn this around while playing in Scotland. We have a manager that can work wonders with the resources available to him, so strap in for the ride starting tomorrow.
Gene
For the first time ever Man Utd have debts of over £1 billion GDP.
HH.
On the high cash balance:
In terms of funding and liquidity, our year end cash, net of bank borrowings, was £72.3m (2022: £30.2m). The increase this year was principally due to the translation into cash of the strong trading environment and the typically non-recurring items mentioned previously. These reserves were used to fund the summer 2023 transfer window and will be used for settling outstanding sums due from transfers over the last two seasons, which are typically paid in instalments. This sum also contains the cash required to fund the significant investment that the Club is planning to make in developing our Barrowfield training facility. It is important to highlight that, given the increasing gap between the sums able to be earned between the Champions League and the Europa League, it is vital that we retain a cash buffer in reserve. History tells us that we will not always qualify for the Champions League and the benefit of holding cash reserves affords us the optionality of managing through seasons where we participate in the Europa League with the ability to retain our squad as opposed to selling key players to bridge the income shortfall between both competitions. The Financial sustainability rules are also a key feature of UEFA licencing and we need to be cognisant of running our club accordingly.
Greenpinata
And still they are valued around $6bn
GENE on 18TH SEPTEMBER 2023 6:25 PM
All because of their cashflow. Its why we seem obsessed with it, but its what football business is all about.
The Group’s revenue comprised: £,000
Football and Stadium Operations – 51,483
Merchandising – 29,072
Multimedia and Other Commercial Activities – 39,296
119,851
So we pay our tax, with respect that is foolish, we should be spending it on the footballing operations, we are a football club after all, be it infrastructure or personnel, no matter, but to pay tax is seriously BAD management.
CELTIC40ME
The cash is certainly flowing, mostly out the way
Personally, I would prefer better players on the park than a roof at Celt Park or money on the bank.
After all , we are a football club
Evening all.
ST TAMS on 18TH SEPTEMBER 2023 7:07 PM
Personally, I would prefer better players on the park than a roof at Celt Park or money on the bank.
After all , we are a football club
===========================================================
Totally agree.
What sort of roof could be constructed without upgrading the main stand ?
Upgrade the footballing staff first then when it is feasible, upgrade the stadium.
Some foreign opposition do not like Scottish weather. :)
HH
Looks at accounts.
Looks at team preparing for a crack at Europe.
Looks bloody pitiful.
All hail the bean counters. Keeping us ahead of the Govan basket case in our local domestic Punch and Judy show.
Wonder if we can play the balance sheet at left back tomorrow ?
HH
Tin hat moment.
Just seen tonight’s EPL line ups, Forest vs Burnley.
Would Scott McKenna be a better choice of what we have available tomorrow?
HH
Saint Stivs,
You were asking me earlier where I sit. I’m in the North Stand, near the 18 yard line at the old rangers end.
Brian.
Definitely.
But we signed a centre half who’s unfit instead
It’ll be better next year if we win the spfl
Maybe I have a sixth sense but I felt sure StTams would prefer the player we don`t have to the one we do.
Spooky
Lawwell tells us it’s fine ,to be shite in Europe
BELMONTBRIAN on 18TH SEPTEMBER 2023 7:45 PM
Tin hat moment.
ust seen tonight’s EPL line ups, Forest vs Burnley.
Would Scott McKenna be a better choice of what we have available tomorrow?
HH
———–
We bid £3.5 for him in 2018. Aberdeen would not sell.
I always thought that we could have moulded him into a really good Celtic regular.
Not a universal consensus on here by any means.
I have since watched his Forest career with interest.
HH.
HH.
Scott McKenna is one of us
https://www.youtube.com/watch?v=zoo9Vu1a9bU
I’m unsure if Celtic will dae well the morra.
https://www.youtube.com/watch?v=aqGw9X4shfs
I’m thinking we might get a rarely seen Away win, just to twinge on My Sons fractured Jaw (Aidan wullnae mind about that).
Figures speak for themselves.
This year’s CL qualification is more guaranteed ‘money in the bank’ – winning the title this season will open up ‘eye-watering’ revenues due to the new set-up in ‘24/‘25. Possibility of ten CL matches and hopefully the ability to attract new/better players on the back of it.
We will be able to strengthen this January, however injuries will play a part up until then.
We continue to be the most successful Scottish sporting institution ever- on the park and off it.
The next nine months is, League Title – League Title – League Title. Nothing is more important!!!
Nite all.
‘mon the Gingers.
https://youtu.be/nprWq8jXWAk?si=NaIGaqtqH-TC20MZ
HH
Genuinely shocked at the accounts.
Record revenue was expected but that cash balance is breath taking.
Off the top of my head, I can’t think of another business yet alone a football club that has the equivalent of over 50% of their annual revenue in cash reserves.
While the Board have outlined future spending areas for this money, the figure still looks extremely high.
Any would be investor in Celtic will look at these accounts and ask what the Club’s strategy is for investing and growth, huge cash reserves are sometimes looked upon as a signal that the executive don’t know what to do with it.
Anyway, it’s clear we’ll dominate the scottish game for many years. We are the sole super power in Scotland but I personally don’t believe we’re pushing ourselves far enough in europe.
We certainly had the fiscal space to get a left back and Keeper in the door this summer. We may yet regret that with the CL about to kick off.
24 hours before our first CL group match of the season and so-called supporters talking about us being “shite in Europe”.
That’s the spirit.