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General Category => Altrincham FC First Team => Topic started by: TheGolfRoadView on November 30, 2022, 01:25:08 PM
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I'm guessing these will appear in alot more detail on the website, but the brief details from the just released Financial Results, ending 31/05/2022, were that the club made a loss of £192k last season, compared to a profit of £87k the previous season. Better news though for how much cash Alty have in the bank, this rose from £483k at the end of the 2020/2021 season, to £535k at the end of last season.
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I'm not smart enough to know whether that's good or not. It seems positive considering the disruptions caused by the covid hoo-ha.
I'll be interested to read other people's thoughts on this.
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Can't get my head around it. Guessing the ground improvements led to the loss..... then can't workout why we have more money, unless that includes the shares sold.... no idea to be honest.
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I also confess to be confused on how we can be better of after a loss. Would need to see the full PandL to understand it
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I also confess to be confused on how we can be better of after a loss. Would need to see the full PandL to understand it
Sale of shares? Investment? Grants from conference? Sky TV money?
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Essentially we did very well out of the Covid solidarity payments during the BCD 20/21 season which is the key factor explaining the 87k profit that season. Moving onto 21/22 I believe the overall wage bill for the club went up sharply & that combined with all the extra (and of course unplanned) work we had to do on the ground & the large increase in stewarding costs as part of that explains the loss. Our turnover last season was over a million which I doubt has happened without a major cup run before, so overall we are still clearly heading in the right direction off the pitch as the recent successful Seedrs investment round emphasised too.
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I also confess to be confused on how we can be better of after a loss. Would need to see the full PandL to understand it
Sale of shares? Investment? Grants from conference? Sky TV money?
I'll double check on this and happy to stand corrected but money coming in from share issues etc doesn't count towards turnover. Therefore it won't show on the profit or loss figures but the cash coming in from it will show as an asset on the balance sheet.
I'm not particularly concerned about the loss because the board had clearly budgeted for this to happen and the cash in the bank absorbed it. What I will say is that if we hadn't been more "commercial" (which some fans seem to bemoan) then the losses would have been far bigger. Changing kit suppliers, revamping the website etc. is done for a reason.
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I also confess to be confused on how we can be better of after a loss. Would need to see the full PandL to understand it
Sale of shares? Investment? Grants from conference? Sky TV money?
I'll double check on this and happy to stand corrected but money coming in from share issues etc doesn't count towards turnover. Therefore it won't show on the profit or loss figures but the cash coming in from it will show as an asset on the balance sheet.
I'm not particularly concerned about the loss because the board had clearly budgeted for this to happen and the cash in the bank absorbed it. What I will say is that if we hadn't been more "commercial" (which some fans seem to bemoan) then the losses would have been far bigger. Changing kit suppliers, revamping the website etc. is done for a reason.
Agreed, the club in its guise from 2-3 years ago - never mind 20-30 years ago - wouldn't have been equipped to do this.
From what I understand, you're correct - any additional investment (including the funding round) will simply be added to the capital on the balance sheet - not turnover.
I'm sure the club anticipated the loss and whilst people might not like it, the funding round might have served predominantly to absorb this - and if appropriate, keep a bit of change in our back pocket for a 'rainy day' such as ad hoc ground improvements.
The club has come a long way off the pitch - although I'm sure the club are keen for us to continue to feed back on things so they can take this on board and continue to grow.