Accounting firm KPMG have compiled a detailed analysis of the impact of coronavirus on six of European football’s domestic champions from the 2019/20 campaign…
Liverpool could be set for an eight per cent drop in their operating revenue…
According to the report, the Reds saw a drop of eight percent, a sum of €47.6m (£42.1m) from a total of €557m (£502m). That figure was made up through €82.5m matchday revenue, €231.9 broadcasting revenue and €242.6m commercial and other revenue streams…
Andrea Sartori, KPMG’s Global Head of Sports said: "While recent pre-COVID-19 seasons demonstrated constant and stable growth for almost all the champions of Europe’s top leagues, the past season has been distressing for all, albeit to various extents.
"The coronavirus crisis has questioned the financial sustainability of the football ecosystem as a whole and further exposed its fragility.
Even prior to the pandemic, inflated players’ salary, coupled with growing transfer and agent fees, placed a significant strain on clubs’ finances. The crisis has magnified these flaws in the current business model. Football clubs suddenly had to deal with liquidity concerns with all of their income streams affected by the absence of gate receipts, in addition to the renegotiation, suspension or cancellation of payments from media and commercial agreements."
And, just to emphasise the importance of finishing in the top four:
The financial importance of the Champions League for all of Europe’s big hitters was underscored by Porto’s inability to make the group stages of the competition, something that saw them take a staggering 63 percent hit on broadcasting revenue compared to the previous year.
Liverpool’s continued participation in European football’s biggest knockout club competition could provide a huge boost for the finances when they are revealed and go some way to softening the blow that COVID has had on some revenue streams, with success in the competition worth as much as £113m.
I was pleased we spent a bit in the summer, that we got Thiago ahead of Gini leaving, and finally added cover up top and left back.
The centre back situation has undermined everything though, and it’s something that was foreseeable.
For two years it was senior centre back one alongside VVD until injured, then senior centre back two until injured, then senior centre back three until injured, then back to number one who’d be fit by then. Sell one of the three and you’re asking for trouble.
I hope FSG can sanction something this month, because we need the option to rotate between Matip, Fabinho and a third senior centre back, leaving Hendo totally free to play midfield, and the possibility of using Fab there.
Do we honestly think if Klopp picked up the phone to John Henry and said look mate, I really fucking need a centre back, John Henry says no to him? Really?
He also has said it’s not his decision which certainly strongly suggests it’s someone at our end that has decided “no”! Not that there isn’t an available deal IF we want to pull the trigger on it.
Slight suspicion we are seeing the end of FSG with us. Think they have made their money with us and aren’t looking to splash a awful lot in this climate. Could be wrong though.
Before everyone goes into meltdown how much has been spent this window by Premier League sides. All teams have glaring needs but none are filling them. Maybe just maybe Corona is having the huge impact on finances what some don’t want to agree with. On the 12th of March only 6 thousand fans will have been through gates in 12 months.
Also, @RER since you posted what you did, you’re talking specifically January, could you post summer PL spending? I ask because I’m curious how clubs were handling that overall.