Town have announced a loss of £7.156 million in the year to June 2014, down from the previous year’s figure of £9.776 million. The club’s overall debt rose from £82.437 million to £86.008 million.
The figures were revealed to shareholders at this evening’s PLC AGM in a sheet outlining the financial highlights for the year 2013/14. The PLC is made up of the pre-takeover shareholders and owns 12.5 per cent of the club with Marcus Evans owning the rest.
Wage costs were down from £15 million in 2012/13 to £13.9 million, while the club lost £500,000 on net player trading. Aaron Cresswell’s sale to West Ham will feature the following year’s accounts.
Gate receipts were down to £4.981 million from £5.084 million in the previous year, while commercial income also dropped slightly from £4.153 million to £3.892 million. Overall, turnover dropped slightly to £13.550 million from £13.843 million.
The increase in debt relates to £3.840 million in loans from other areas of the Marcus Evans Group, while the club has received £168,000 in payments from the loan notes taken out after administration in 2003.
Town’s debt is almost wholly owed to companies also owned by Evans with the club not in debt to any financial institution.
Regarding Town's cost base, the statement adds: "Direct costs reduced from £17.8 million in 2012/13 to £16.7 million due mainly to lower player wages and associated agent fees.
"Administrative expenses have also reduced from £2.6 million to £2.1 million in the season 2013/14 as the club continues to make cost savings and efficiencies wherever possible in off-field operations in an effort to reduce ongoing losses and maintain compliance with the League’s Financial Fair Play rules.â€
MD Milne has previously confirmed that Town’s results are within the required FFP parameters: "We’ll be within FFP. We won’t face any embargoes."
Milne and manager Mick McCarthy were quizzed by around 200 shareholders in the Sir Bobby Robson Suite.
McCarthy was warmly welcomed by shareholders, delighted with the team’s current position second in the Championship.
PLC chairman Roger Finbow praised the Blues manager, his assistant Terry Connor, owner Evans and Milne for improving not just the side’s performance but also the overall mood around the club which he says is a much happier place these days, both on the field and off it.
McCarthy took most of the questions, while Milne was mainly asked about ticketing issues. One questioner asked if telephone sales could be reintroduced, while another felt matchday prices were too high.
Milne said the current online and in-shop arrangement was working well and that the club is happy with its pricing structure, pointing to Saturday’s crowd of close to 22,000.
Having answered his questions, McCarthy thanked those present for the impressive support on matchdays and left to watch the Blues’ FA Cup opponents Southampton lose 2-1 to Manchester United on TV.
The formal business of the evening followed with Finbow and Liz Edwards both re-elected to the PLC board unanimously.