Manchester City recorded a net loss of £126million for last season as their finances were hit hard by the Covid-19 pandemic.
Clubs throughout Europe and the Premier League have been impacted by the pandemic and Manchester City have proven to be no different.
The club’s revenue dropped by 11 per cent to £478.4m for the 2019/20 season, which was stopped in March before resuming in June due to the spread of Covid-19.
City say their losses, which came in at a net amount of £126m, were caused by a decline in matchday and broadcasting revenues. The late finish to last season also meant revenue from almost a quarter of Premier League matches and the latter stages of the Champions League and FA Cup would be deferred to next year’s accounts.
Revenues from player sales, such as Leroy Sane to Bayern Munich for a reported £45m, were also delayed and do not appear in the 2019-20 accounts.
City expect to post profits for this season, given the deferred revenues and the subsiding impact of the pandemic.
“The 2019-20 accounts in isolation are not the best representation of the reality of the season,” chief executive Ferran Soriano said.
“A better financial picture of the COVID years will be provided at the end of the 2020-21 season, when the two seasons are combined and normalised.”
In contrast, Chelsea recorded a profit of 32.5 million pounds in the last financial year, while north London rivals Arsenal reported a loss of 47.8 million pounds.
Additional reporting by Reuters.
