£14.6m - a Premier profit for the Swans
SWANSEA City football club's board of directors have again been praised for their prudence after revealing the club is set to post a £14.6 million profit — or nearly a whole Joe Allen.
Phil Sumbler, chairman of Swansea City Supporters' Trust, which owns around 20 per cent of the club, said the figure was ongoing evidence of the board's principled approach to bookkeeping.
The club earned tens of millions of pounds for reaching the Premier League last summer but said that operating costs, in particular wages, had doubled from the promotion-winning 2010/11 season.
Mr Sumbler said: "To post a profit like that is testament to the great work done by the board of directors over the past 10 or so years.
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"Ever since they took charge they always worked to a principle. They are more than happy to back the team, but it will always be done within the club's limits.
"That has not changed with the Premier League. I think that is to be welcomed by all supporters."
The club said its turnover for the year up to May 31 was set to be £65.2 million, adding that the £14.6 million net profit was boosted by the £5 million received from Liverpool Football Club for manager Brendan Rodgers, plus support staff.
The £15 million sale of midfielder Allen will feature on the club's 2012/13 ledger.
A club statement posted on Swansea City's website said club directors will reiterate their resolve to generate enough profit to fund future growth and investment plans.
Much depended on the club's ability to remain in the Premier League, it added. The statement said work was well under way on the £2.5 million Landore training ground development and that the club's partnership with Swansea University aimed to deliver top-class training facilities at Fairwood, Gower.
It added that plans to increase the capacity of the Liberty Stadium were being discussed with the idea of a phased development over a two-year period, when the timing was right.
Club chairman Huw Jenkins reached for his chequebook this summer, with the club signing among others Ki Sung-Yeung (£5.5 million) Pablo Hernandez (£5.55 million) and Michu (£2m). Scott Sinclair (£6.2 million) and Allen travelled in the other direction.
The club recorded a £8.3 million loss at the end of 2010/11 season in the wake of the successful push for promotion from the Championship. During this memorable season, wages and salaries totalled £15.4 million.
Norwich City FC, who were promoted to the Premier League along with Swansea, are expected to publish their 2011/12 accounts in the coming weeks. At the end of the 2010/11 season the club reported a loss of £3.9 million and had an overall debt of £16.8 million. QPR, the other team to secure promotion, reported a £25.7 million loss at the end of May 2011, with a £56.1 million debt.
Swans fan Dean Phillips, 54, of Gorseinon, said: "I have been a supporter since the dark, old days, and the financial difficulties have been well-documented.
"I think it's absolutely right what the board of directors are doing. Hopefully we will stay in the Premier League for a couple of seasons — but if we don't, we need to balance the books."