Everton post 44.7 million pounds loss
Everton posted a loss of 44.7 million pounds ($55.12 million) for the 2021-22 season on Friday, in the midst of an investigation into alleged breaches of Premier League financial fair play rules.
Everton’s most recent figures showed a fifth straight year of losses, with their total loss over that period amounting to over 430 million pounds.
However, after three straight years of losses in excess of 100 million pounds, Everton have made significant reductions to their losses, down 76 million pounds from last year’s loss of 121 million pounds.
The club attributed a sizeable chunk of that reduction to profit on player trading transactions, with Brazilian forward Richarlison having joined Tottenham Hotspur last year for a reported fee of around 50 million pounds plus another 10 million pounds in add-ons.
Everton added that their commercial revenues had increased and that they had reduced operating expenses, but highlighted a “significant fall” in broadcast revenue, which was down 31.3 million pounds from the previous year.
Last week, the Premier League referred Everton to an independent commission for an alleged breach of financial fair play rules for a period ending in the 2021-22 season.
Under Premier League rules, teams can make a maximum loss of 105 million pounds ($128.28 million) over three years, although special allowances were made for the Covid-19 pandemic.
“The club is confident it remains compliant with all of the Premier League’s financial rules and regulations and has always provided information to them in an open and transparent manner,” chairman Bill Kenwright said in a statement.
“That the club has always acted in good faith simply intensifies the disappointment experienced at last week’s news – but, as already stressed, we will robustly defend our position.”
Financial fair play regulations are designed to stop clubs running up big losses through spending on players, as well as ensuring sponsorship deals are genuine commercial agreements.
Champions Manchester City were referred last month over more than 100 alleged breaches of finance rules since the club were acquired by the Abu Dhabi-based City Football Group. Read full story
Clubs found to have breached the rules risk points deductions, fines or reprimands.
Everton have played every season since 1954-55 in the top flight. They are 15th in the Premier League standings with 26 points from 28 games, and next face Tottenham on Monday.
