The "Albion 2012 financial results" thread

[Northstandite]

How come ticketing was only £7.9m

16k ordinary season tix @ say average £400 = £6.4m (many cost more but there are concessions)
2k 1901 members @ c. £1k = £2m (from memory its about £80 per month?)
100k sundry tickets (2k league games, £20k cup games) @ c. £20 = £2m

Total c. £10.4m

I know they're all guestimates but even so I can't see where £2.5m difference would come from?

Remember a straight 1/6 of takings go straight to HMRC in VAT.

 

[Chicken Runner61]

Ticketing £7.9m
Football League and central disctributions £5.7m
Commercial sponsorship/advertising £3.9m
Retail £2m
Media £500k
Catering commission £1.25m

We get half as much money from advertising and sponsorship as we get from attendance sales? Does 1901 get included in the attendance or the sponsorship?

If the catering commission is £1.25M it would imply we only get a percentage of the sale of food & drink - on a crowd ave of say 20k thats about £2.71 from each person each match?

 

[Northstandite]

Thanks. Those fees are pretty reasonable.

Not compared to skills and CV.

Brown has been on either £k 120 or 100, plus a very generous contribution to his pension scheme, and according to senior colleagues off the record, he was a nice bloke but way out of his depth. The Albion are a large organisation.

Hence, taking away the PR-handled ending to his position, TB acted to end Brown's money feast.

 

[Triggaaar]

Barber has said we are budgeting for a similar loss this season.

If we're expecting to bring in more money next season, I guess that could mean we're planning to increase our spending on wages Maybe the average ticket sales will only be a little higher, so perhaps not a lot of difference.

Are our other expenses (£13.8m) about in line with everything else? With no break down it's difficult to know what to make of them.

 

[El Presidente]

Our wage/turnover ratio is good, but other costs/turnover will be higher than other clubs in this division due to transport costs and the overspend by other departments when the move to the Amex occurred.

 

[Landgull]

There's little point in these figures as there is a five year plan and only on completion will the figures make any real sense.
So lets not all fret over what ever looks slighty off and be patient.

 

[portslade seagull]

Thankyou Mr Bloom .... I think the Nigels are rather jealous

 

[Triggaaar]

Our wage/turnover ratio is good

Good.

but other costs/turnover will be higher than other clubs in this division due to transport costs

Understandable, hopefully fans appreciate that the match day travel card is a fair expense we should pay (a pain for those who don't use it).

and the overspend by other departments when the move to the Amex occurred.

If that's a short term 'move related' overspend, then great. It would be nice to see some costs come down.

It goes without saying that I'm overjoyed about what Tony has done for us all, but I'm also delighted he managed to get Barber to join us.

So many fans have no idea how good we've got it.

 

[Northstandite]

Ticketing £7.9m
Football League and central disctributions £5.7m
Commercial sponsorship/advertising £3.9m
Retail £2m
Media £500k
Catering commission £1.25m

We get half as much money from advertising and sponsorship as we get from attendance sales? Does 1901 get included in the attendance or the sponsorship?

If the catering commission is £1.25M it would imply we only get a percentage of the sale of food & drink - on a crowd ave of say 20k thats about £2.71 from each person each match?

The club always made it plain that Azure were on a fixed fee deal, so they made all the super profit. Not ideal for us I think.

On a typical 20,000 gate, say:

5,000 are tight and never spend a bean. They either dehydrate or bring a flask.
7,500 spend £7.50
7,500 spend £20, going by the tales of beer and pie consumption
Add 1,000 out of 2,600 1901ers having a £35 meal

Total £241,250 x 28 league and cup games = £6.8m, less 20/120 vat = £5.6m net catering income to Azure.

Knowing that the mark ups on products are vast being a captive audience and we are knowingly paying over the odds to support the club;

The £1.25m commission to the club might be paltry.

Was that one of the reasons we got rid of Azure?

 

[Chicken Runner61]

The club always made it plain that Azure were on a fixed fee deal, so they made all the super profit. Not ideal for us I think.

On a typical 20,000 gate, say:

5,000 are tight and never spend a bean. They either dehydrate or bring a flask.
7,500 spend £7.50
7,500 spend £20, going by the tales of beer and pie consumption
Add 1,000 out of 2,600 1901ers having a £35 meal

Total £241,250 x 28 league and cup games = £6.8m, less 20/120 vat = £5.6m net catering income to Azure.

Knowing that the mark ups on products are vast being a captive audience and we are knowingly paying over the odds to support the club;

The £1.25m commission to the club might be paltry.

Was that one of the reasons we got rid of Azure?

Yes I suspect it was thought that we could get more than £1.25M

 

[Horton's halftime iceberg]

All I understand is Tony Blooms a jolly good fellow, and Gus has worked wonders on a lower end table budget. Keep it up fellas and I'll keep turning up and buying stuff.

 

[Northstandite]

Yes I suspect it was thought that we could get more than £1.25M

To legally break the contract with Azure overnight, did Barber get them on poor service and supply problems?

 

[Rich Suvner]

Blimey. So wages in our last season at withdean took up 95% of our turnover! That's what you call unsustainable!

Misleading stat though.

With new ground on horizon it would've been financial suicide to not have ensured Championship football to maximise returns on capital investment. The high wage costs in last Withdean season probably reflect the fact we were spending with the new era in mind. Without which our spending wouldn't have hit such levels.

 

[seagulls4ever]

I'd like to point out that just because our wage/turnover ratio may be lower than many clubs, it does not mean our budget is.

Edit:

Some additional context.

In the season 2010/11 the average wage bill at Championship level was close to the £17m mark.

That season West Ham United's Championship wage bill was a mammoth £42m. Elsewhere, Leicester City spent £28m, Reading £27m, Birmingham City £25m, Cardiff City £21m, Hull City £19m, Bristol City £19m, Leeds United £18m, Nottingham Forest £17m and Burnley £17m.

Thanks, this is what I was interested in. Glad to see our wage bill seems lower than many.

Of course, this does not include transfer fees paid/received. Any idea where we fit in overall?

 

[GingerBeerMan]

The club always made it plain that Azure were on a fixed fee deal, so they made all the super profit. Not ideal for us I think.

On a typical 20,000 gate, say:

5,000 are tight and never spend a bean. They either dehydrate or bring a flask.
7,500 spend £7.50
7,500 spend £20, going by the tales of beer and pie consumption
Add 1,000 out of 2,600 1901ers having a £35 meal

Total £241,250 x 28 league and cup games = £6.8m, less 20/120 vat = £5.6m net catering income to Azure.

Knowing that the mark ups on products are vast being a captive audience and we are knowingly paying over the odds to support the club;

The £1.25m commission to the club might be paltry.

Was that one of the reasons we got rid of Azure?

Getting 20% of their revenue isn't THAT poultry, remember Azure have to pay for the goods they sell too and workers, so their profit might be around £4m, therefore we are getting over 25% of their profit which sounds fair.

 

[Brovion]

Catering income 1.3 million compared to zero at Withdean. Keep eating the pies everyone!

 

[seagulls4ever]

Am I reading this right - we didn't pay any tax? Rather we received 0.2m in tax benefits?

 

[HenryC]

Ticketing revenue for 2012 season up to £7.9m?!!

Am I missing something here? If this was for league games only then with an av 20k home hate the average ticket price would work out at £17.00ish!!

I would have thought that ticket revenue should be up around £16m!

Or am I being thick!

 

[HenryC]

Am I reading this right - we didn't pay any tax? Rather we received 0.2m in tax benefits?

If you make a loss you don't pay tax.

 

[seagulls4ever]

If you make a loss you don't pay tax.

Yes, of course, my basic understanding still allows me to know this. I am just wondering where the tax benefits came from!