Financial Fundamentals, the Newco loss reported as profit


While who puts the ball in the net determines the outcome of any given game, the financial fundamentals will determine who can win the league title. Today we got an insight into how the medium term future of Scottish football is likely to play-out in this respect, as Newco, Rangers International Football Club, released their interim accounts for the six months to 31 December 2016.

Turnover reached £16.3m, up £5m from their previous season in the Championship. The rise in costs was limited to £4m, allowing them an operating profit of £294k, although their loss for the period was £238k, almost identical to the previous term’s loss of £288k.

No notes are provided with the accounts, so there is no breakdown of £451k of non-operational “other charges”, which tipped the club into a loss.

It is with some astonishment that I note the early reviews proclaim, “financial results show club is in profit under King”, and the like, when “financial results show club is in loss under King” would be considerably more accurate.

RIFC loss as reported in accounts

RIFC loss as reported in accounts

How this is reported is of little consequence, as in reality no one who is taken in by this will have any influence over events, but you have to wonder, what’s the point? Why go shout about a small profit when you should write about an equally small loss?

Neither scenario is particularly noteworthy. Whether Newco made or lost a couple of hundred grand isn’t going to impact their ability to be competitive.  The need to control inconsequential elements of the public narrative is highly dysfunctional.

It suggests some key influencers in this scenario are working-through deep insecurities.

By contrast, Celtic’s income for the six months to 31 December 2016 was £61.2m. Income disparity between the clubs for the second half of the season will be less significant, but Celtic are still likely to turnover circa £50m more than any other club in Scotland.  The league title will remain a no-contest for this reason.

Celtic are also in profit, actual profit, not the imaginary kind you need to compulsively ask journalists to write about.


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  1. BOBBY MURDOCH’S CURLED-UP WINKLEPICKERS on 23rd March 2017 4:59 pm






    Your contract is with the person who sold you the vehicle,not the manufacturer.



    What was the £49 charge for,and why haven’t they made good the fault?






    The final cost is £250 + the £49 I paid for.



    I wouldn’t have watched Trainspotting 2 unless this happened – to me that was quite an emotional Film.



    I wouldn’t have seen such a cheery and thoughtful person that works in the Asda Linwood Breakfast Division.



    I’m so Lucky.

  2. bournesouprecipe on 23rd March 2017 5:39 pm



    Congratulations to Sevco for doing the 55 (months)





    The Truth is awesome. ;))

  3. I asked earlier,does anyone know if the Sports Direct v Sevco is ongoing or has it been put back





    Up to you,but I’d have kicked up about having to pay for a design flaw in a recently-purchased vehicle.





    I think both sides are making written representations as to what is in play during the upcoming proceedings.



    Naw,me neither.



    There’s an article on it in the record.

  6. BSR


    The ” accounts ” were on their web site for nearly two hours afore the media reported on them, obviously awaiting the fat slugs instructions



  7. BMCUW,


    cheers mucker,i read on here it was put back but according to JJ its still ongoing,


    guess they are both kinda right

  8. BOBBY 5.50



    I think ye know I’m quite lazy.



    Cars are great when they are working fine and Dandy.



    I’ve been lucky really all things considered when it comes to cars. The last wee Punto was as Reliable as anyone could ever want.



    A few years ago…. the bad snow time (when the Copenhagen Global warming/Climate change thing was going on) …. After the fact the word on the street was to claim Money from the Council because of potholes. I’d damaged a wheel. I decided not to do so…… Not long after I won a lot of Money (well for me) a couple of grand in a bet.



    I’m not relating anything but there is only one thing that is Certain. I’m so very Lucky.

  9. For those who have pre-ordered the new CQN book, Bobby Evans – Celtic’s Forgotten Hero by Tom Campbell, can I advise you that it arrives tomorrow and all ordered copies will be posted out first class.



    Likewise anyone ordering tonight or in the morning will also have their book sent tomorrow so hopefully will arrive for the UK addresses for Saturday morning.



    Order at http://www.cqnbookstore.com



    We’re also bringing out another book in the next few weeks. It’s called In the Heat of Lisbon and is actually two books in one. After losing Tommy I mentioned that we are looking at doing something and this is it. The book is not only ABOUT the Lions, it is FOR them i.e. all profits from this book would go to the Lions or for the one’s we have lost, their families.



    The event at the Hydro sold out in 30 minutes. We’d like this book – we will have 1000 copies – to do the same.



    If it does we will be able to put recreate the bonuses the players who got us to Lisbon and who played in Lisbon and say THANK YOU.



    Book is a good un too…

  10. Shuggiebhoy67 on

    O** F*** /Celtic fans must have been happy to keep Sevco afloat with their £350,000 donation.

  11. Like Arnold, I am delighted with the best set of accounts to be published in the history of accounting. It was great to have the reputable accounting company, Unaudited Accounting, sign of the strength of The Champions of Europe Elect.



    As stated earlier the profit as detailed on page one of the best ever published accounts will be available to me, the greatest ever manager in the history of managing. I will invest it wisely via Hong Kong, in the very best squad to have ever played football ever, knowing investment is not required as we are the best team ever.



    Never before has there been a squad assembled who won the Champions of Europe Elect club were each player was born within a 25,000 mile radius of Accrington. This squad is so good that when you write it down on blue paper with blue crayon it is almost invisible to the normal human eye just how good we are. Thankfully King David like all Associate Proffessional Butchers have super blue vision.



    We as a club would like to thank the SFA and the BBC for their support throughout the season which without we’d still be the best team in the world and the most profitable institution in the history of institutions.



    Hail! Hail! King David the king of all Kings.

  12. I reckon Celtic have a World Class player in Tom Rogic.



    The way his mind thinks so quickly.



    I bet Brendan thinks Tom is the Main Celtic player.



    Get Tom secured Brendan please.

  13. THE EXILED TIM on 23rd March 2017 4:49 pm









    Regan said this time last year that the huns would get a licence for europe if they won the scottish cup, I doubt anything will have changed in the past year to change that view, they qualify the get a licence, it’s as simple as that.





    Who is going to say anything, I saw Auldheid saying that Anne Budge and Geof Brown should be asking the sfa wtf if they do get a licence, not a hope in hell they will cause any problems, they are wanna be huns, they will never upset their masters.





    The smsm will champion them all the way, they will get their licence, of that I have no doubts whatsoever







    The criteria for granting a place to a club without a licence not normally subject to the UEFA standard (as in a team from a lower division winning the Scottish Cup) are not published but they are less stringent than for a club subject to full UEFA FFP as SPFL Premier Clubs are, so last year is irrelevant.



    That does not mean to say some Brysonesque interpretation will not be applied this time but that is what Budge etc WILL be looking out because their supporters are a lot more clued up on the rules and will not be happy at losing out on a UEFA place if those rules are not been applied even handed noy to mention depriving their clubs of UEFA income.



    Starry. I’m just not sure because of the Brysonesque factor but my post did not touch on the Break Even rules where Loans to keep the lights on or pay players are not income and others who have looked think their true level of debt will preclude them.

  14. BABASONICOS71 on

    International football is like opening a tin of baked beans and discovering the sauce hasn’t been added.



    FFS hurry back Celtic.

  15. STARRY PLOUGH on 23RD MARCH 2017 2:23 PM


    I sent you a FB request, my second name similar to the famous hostelry frequented by OldTim…


    Keep the Faith!


    Hail Hail!





    ‘Would you buy a car from Douglas Park?’






    Would you hire a bus from Douglas Park?




    I just saw it.))



    Couldn’t put the CQN name to the real name now I can..



    Are there many Tims up where you’re from:))




  18. VFR800 is now a Monster 821 on

    Evening Shark is not toeing the Party Line:



    Rangers post £278,000 pre-tax loss but need no extra funds before end of season



    RANGERS have posted an pre-tax loss of £278,000 for the six months to December 31, 2016.


    The unaudited accounts for Rangers International Football Club plc show an improvement on the £333,000 deficit of the previous year.



    The club said it did not need extra investment to see them through to the end of the season due to their on-field performance.



    Rangers said the ongoing dispute with Sports Direct is the “only significant issue that still adversely affects the trading performance”.



    Revenue has been boosted by £5.3million last year to £16.3million thanks to increased crowds at Ibrox and the Light Blues’ promotion back to the Premiership.



    That has led to a trading profit of £294,000 against a £532,000 loss last year.



    But it turned into a pre-tax loss due to other costs including £451,000 classed only as “other charges”, and losses on player registrations and assets.



    In a statement, the board said: “The results for the six month period have mainly been driven by the club’s return to the SPFL Premiership.



    “Overall it is an encouraging financial performance that reflects the move to a more normalized trading environment as the numerous event risks that have bedeviled the club’s operations over the last few years have been brought under control.”



    The club added it is “well on its way to achieving a sustainable business model while continuing to invest in infrastructure and the player squad.”



    It added: “Reliance is still placed on shareholders to fund the shortfall that is required during the current rebuilding phase.



    “Whilst additional funds are available if required by the club, no further funding from investors is anticipated in the balance of this financial year to June 2017 due to the team’s football performance and progression to the William Hill Scottish Cup semi-finals.”



    The club added: “Executive management is increasingly able to focus its attention on the club’s core footballing activities.”





  19. Auldheid


    ” Brysonesque interpretation ” is why they will get their licence, and you know it, you also know that they will get away with it again.



  20. Watching Scotland match report.



    Mark McGhee comes across as a delusional Muppet.

  21. thomthethim for Oscar OK on



    Would you buy a car from Douglas Park?





    No, but would he loan me one?

  22. I see that those accounts show a payment for tax, that must have broke someones heart.

  23. Obviously UEFA is corrupt.



    The Juventus game had me giving up.



    Celtic done so well to get so far.



    The Referee decided Celtic were going no further.



    Play fitba with Pure Inventfulness Celtic PLEASE.



    Neil learned so much from Gordon. The Celtic set pieces mean’t goals in the tight CL games.



    The Referee can call foul, or not.



    You watch Every Celtic goal against the Hun, old or new.



    All are Beautiful goals, even Terry Butchers.



    There is a certain Artistry with Celtic that is unrivalled.

  24. The Huns have still to consider the Breadman’s compensation and the wages of a new director of football.



    Tee Hee.