Aston Villa have confirmed figures from the club’s 2023 End of Year accounts, and made a reassuring claim despite recording a significant loss.
The all-important figures are noted in the club’s statement, as they have confirmed a loss of £119.6m after tax for the year, which coupled with the fact that we recorded a small £0.3m profit last year, makes for concerning reading.
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While it’s a detailed statement in which our financial position is explained, the most significant increase came through player wages, as it rose to £194.2m, up from £137m the previous year.
Revenue also increased from £178.4m to £217.7m, but naturally the loss recorded at the end of the statement will raise concern about our position and will likely fuel further talk of the potential need to sell in the summer to help balance our books.
It’s a club record post-tax operating loss and one of the largest in Europe, and so there will no doubt be plans and strategies in place moving forward to ensure we move towards a healthier financial position in the coming months and years.
That said, there is a crucial paragraph at the end of the club’s statement which allays those fears, and given that we’re seemingly a well-run organisation both from a sporting and financial position, there is faith that key individuals at the club are fully aware of what is necessary to ensure we stay within crucial parameters to avoid breaching any regulations.
“It is important to note that these figures are in line with the strategic business plan, and we continue to operate within the Premier League’s Profit and Sustainability rules. The owners of Aston Villa remain committed to the long-term and sustainable development of the Club, and we look forward to continued progress on the delivery of our strategic plan.”
Current PSR regulations permit clubs to lose a maximum of £105m over a three-year cycle, although there are various areas of spending that can be deducted from that figure, including investment in youth development and infrastructure.
Given our improvement and development on the pitch as we continue to chase a Champions League qualification spot as well as compete for silverware in Europe to continue building on the excellent work that Unai Emery has done since he arrived in October 2022, revenue is expected to continue to climb.
Whether that’s income from participation and progression in these competitions or through gate receipts, sponsorship and commercial increases, the hope is that we’ll continue to expand and evolve in those departments to help balance our numbers and avoid the need to sell.
It remains to be seen if that becomes a more prominent concern as we edge closer to the summer transfer window and what it could all mean in relation to Emery’s desire to improve the squad, but for now, the club have insisted that we’re on track with our strategy, and as long as we’re on the right side of PSR and aren’t at risk of breaching regulations, then we can hopefully continue to believe in sustained progress and success without major off-field setbacks.
Key figures and notes from Aston Villa’s End of Year 2023 accounts:
- £63.7m spent in the acquisition of new players
- Profit of over £22m from player sales
- Wage costs rose to £194.2m [up from £137m]
- Increases in central support functions to support the growth of the Club
- Capital investment almost doubling at £13.4m
- Revenue increased to £217.7m [up from £178.4m]
- Loss for the year of £119.6m after tax
