The combination of increased commercial revenue and gate receipts meant that the club has posted a 10% increase in turnover on last year but the overall operating loss was around £22m.
Commercial revenue from sponsorship, advertising and merchandising grew by 34 per cent from the previous year to a record £20.7m thanks to the SportPesa partnership, the sleeve sponsor partnership with Rovio for Angry Birds and a growing portfolio of other commercial arrangements.
Driven by a record 31,282 season tickets, the average attendance at Goodison Park of 38,797 continues to be close to capacity with every home seat sold for every Premier League match in the 2017-18 season.
Over £14m in exceptional costs for the year were attributed to severance payments to former employees of the Ronald Koeman and Sam Allardyce regimes and "other costs in relation to the change in coaching staff."
Wages have also increased from £105m to £145m but the club showed an overall profit on transfer dealings, thanks largely to the sale of Romelu Lukaku to Manchester United for an initial fee of £75m.
The accounts also show that majority shareholder Farhad Moshiri has injected another £100m in interest-free loans into the club, taking his additional investment to £250m.
Everton Chief Executive Officer, Denise Barrett-Baxendale, said: “For the second consecutive year the club has generated record revenue.
"Gate receipts, sponsorship and other commercial income increased significantly by 45 per cent and the continued and quite magnificent support of our fans meant that season tickets reached the cap with more than 10,000 on a waiting list.
"This commercial growth demonstrates our progress and we have a vision for the club that is shared on and off the pitch by our Majority Shareholder, Chairman, our Board of Directors, the Everton Leadership Team, our Director of Football and Manager.”
The Annual General Meeting for shareholders of Everton FC is set for 6pm on 8 January 2019 at the Liverpool Philharmonic Hall.
Reader Comments (34)
Note: the following content is not moderated or vetted by the site owners at the time of submission. Comments are the responsibility of the poster. Disclaimer
1 Posted 18/12/2018 at 12:46:16
2 Posted 18/12/2018 at 13:52:46
Everton reporting record revenues for the second year running and the Echo reporting on top of the £150 million Moshiri pumped into the club (as equity), he has added another 100 million squids.
The club website possibly has a more thorough breakdown of the revenue numbers.
This extract makes particularly interesting reading:
'The Club incurred £34m exceptional costs in 2018, not present in 2017, £14.4m of which related to settlement costs for the termination of former employees and other costs in relation to the change in coaching staff in the year. '
The price of sacking Koeman, Allardyce and their staff.
Also noteworthy: ' the Clubs total wage to turnover ratio has risen from 61 per cent in 2017 to 77 per cent in 2018 (this figure would be 73 per cent with outsourced operations in retail and catering taken into account).'
3 Posted 18/12/2018 at 14:08:00
Surely and hopefully the wage to turnover percentage decreases when we remove all the deadweight still on the books who are all out on loan. Surely we are picking up a large, large portion of the salaries from the host of players still on the books?
4 Posted 18/12/2018 at 14:38:32
I'd love to know how much over 10,000 though I'm guessing not much otherwise the quote would have been "over 15.000" or whatever. Needless to say that's a very healthy number of Evertonians wanting to watch each and every home game.
So, without the allure of Bramley-Moore Dock and all that goes with it, we "could" at the moment be getting attendances of circa 42,000 which is nothing to be sniffed at! I'd expect 50,000 in a new stadium at the very least.
5 Posted 18/12/2018 at 15:11:05
6 Posted 18/12/2018 at 15:23:25
Fair-weather supporters get a bad rep but I think they serve a purpose. They return when it's worth paying to watch a game again.
Now I have maximum respect for everyone that pays to go to every game but personally until I get value for money, I ain't going back. It's starting under Marco and Marcel but we've still got some way to go, plus we've got to build the place to house them all.
Onwards and upwards.
7 Posted 18/12/2018 at 15:24:03
8 Posted 18/12/2018 at 17:14:11
Dean @5 you make a very valid point in my opinion regarding unconditional loyal support (from so many, home and away) against the entertainment value. At the end of the day, entertainment must play a major part, in giving fans value for money. Nobody expects us to win every game, (but hopes that we do) but if they have gone down fighting, created chances, and been thwarted by bad luck, bad refereeing or just that they had been outplayed a better side, it is acceptable.
Christy @6, yes it is encouraging that Moshiri is making money available in whatever form that takes, we as fans just hope it is spent wisely, although there are no guarantees that a new player will prove his compatibility or worth.
9 Posted 18/12/2018 at 17:28:09
10 Posted 18/12/2018 at 17:30:27
Football is awash with cash but it's also full of overpaid, underperforming chancers who, in some cases, should be prosecuted for fraud. If they knew they weren't going to get a golden handshake they might try a bit harder or get out of the game all together.
£14m for Koeman and Sam is a disgrace (didn't Martinez get about £11m?) and no worker would get a huge payment for being shite, would they?
ps: While I'm here, I no longer go on TW like I used to as every time I go onto another site I have to sign back in (log on) when I return. Any suggestions to fix this? It's a pain in the arse.
11 Posted 18/12/2018 at 17:40:54
It has something to do with your browser settings, I choose to log in and out of various sites but if the browser has been set to remember history or similar then the log-in processs isn't required. Hope that helps! :)
12 Posted 18/12/2018 at 18:00:53
14 Posted 18/12/2018 at 18:03:34
Wondered why you hadn't been on as often as you used to be, but on my System, Windows 10, there is a box you can tick, "stay logged in" (which I do) and I only have to resign in once a month, you should also be able to save your sign in information, so you just click and you have re-signed in. Hope that helped.
15 Posted 18/12/2018 at 18:05:25
16 Posted 18/12/2018 at 18:46:40
I bet there's £20 - £25 million of wages there that have either gone, or need to be gone.
Frightening how much of an effect poor recruitment can have on the accounts.
17 Posted 18/12/2018 at 18:55:26
18 Posted 18/12/2018 at 19:01:57
19 Posted 18/12/2018 at 19:06:12
20 Posted 18/12/2018 at 19:11:46
However, accounts are a bit academic when you have a 'sugar daddy' willing to pump £250m odd into the club. How times have changed from Kenwright looking down the back of the sofa.
Looking forward to a new striker, right back and stadium. Hoping we can get all three in before the Sky goose stops laying the golden eggs.
21 Posted 18/12/2018 at 19:17:19
22 Posted 18/12/2018 at 19:19:34
23 Posted 18/12/2018 at 19:25:53
24 Posted 18/12/2018 at 19:40:00
25 Posted 18/12/2018 at 19:45:12
26 Posted 18/12/2018 at 20:07:38
27 Posted 18/12/2018 at 20:17:56
"Politics is the last refuge of a scoundrel"* so we have 650 elected ones in this country at least! Many more in the wings ready to usurp and occupy.
* Adapted by George Bernard Shaw as a parody on Samuel Johnson's "Patriotism is the last refuge of a Scoundrel".
28 Posted 18/12/2018 at 20:28:03
29 Posted 18/12/2018 at 21:06:47
From the viewpoint of a 'seasoned' season ticket holder, I attend games with an open mind knowing that anything can happen in a game of football, and a match can only be assessed after the final whistle.
I may be misreading your post but you seem to be pre-judging performances – a rare gift indeed, and my definition of a loyal supporter is one who supports through thick and thin, expecting, but not demanding value for money.
I am perfectly content to be in a minority of one. I suppose that as someone who would rather see Everton lose, than not see them at all, it may be seen by others as slightly eccentric. On reflection, if I was only interested in results, I could relinquish my season ticket and buy the 'Echo' – it's full of results, thus saving a considerable amount of money.
30 Posted 18/12/2018 at 21:19:16
I could do two pressers. One saying how proud I am to take over and then immediately do the other saying l wish the club well blah blah.. then wait for the cheque.
And I got £27:50 a week. Jesus. Erm oh well. I'd never hit the front man off a corner twice in a row. That's never
31 Posted 18/12/2018 at 21:47:49
32 Posted 18/12/2018 at 23:53:00
The most embarrassing penalties were missed by the FA against Man City for FFP.
I think hiring Ricky Gervais to read them out would be fucking hilarious.
33 Posted 19/12/2018 at 00:40:03
Maybe not all of those 10,000 would or could buy a season ticket if offered the chance but it gives a possible ballpark figure, as it now stands, of around 40,000 season ticket holders when we move to Bramley-Moore Dock.
I think a club must leave around 20% of capacity free for away supporters and casual sales. So, a capacity of 55,000 would limit season ticket sales to around 44,000 which, given a half decent side, would probably be insufficient.
If we could sell around 40,000 season tickets now, with an outdated stadium with poor transport links and for the last couple of seasons, dire management, then a world-class stadium with no restricted views, excellent facilities and much better transport links would surely increase this figure to nearer the 48,000, or so, allowed with a 60,000 capacity.
34 Posted 19/12/2018 at 01:00:11
I know it obviously impacts on the budget, but I believe in getting the biggest that is possible, in the area designated. Let's face it if it was built with a limited capacity, then demand and hopefully success dictated that it should have been bigger; it's a bit late in the day to do much about it.
Also, when the Stadium is not in use by ourselves it could generate a profit with other activities, pop concerts, etc; a no-brainer, in my eyes, to go max from the off.
35 Posted 19/12/2018 at 05:24:33
Only in football does this madness happen...
I hear Marco is on the shortlist for the Man Utd gig.
Add Your Comments
In order to post a comment, you need to be logged in as a registered user of the site.
Or Sign up as a ToffeeWeb Member — it's free, takes just a few minutes and will allow you to post your comments on articles and Talking Points submissions across the site.