Sheff Weds Latest Accounts. Wow!!!!

These figures are eye watering.

I fear the worst for them.

https://www.swfc.co.uk/news/2021/march/annual-accounts-published/

 

For the people (like me) who don't really understand accounts like these can somebody put it in laymans terms please.

 

If I'm right it says they owe £63m

 

Wages 160% of turnover ... kin ell.

The passage "A material uncertainty exists which may cast doubt over the company's ability to continue" reads to me that relegation = liquidation.

Seeing it in black and white like that gives me some sympathy, but they are absolutely the authors of their own misfortune.

 

They are in the s---!

 

I bow to your "Wow" but I haven't got a clue what it all means.
You fear the worst but what tells you that?
I know they are in the poo but where in that lot does it say by how much?

 

Are they still cooking the books as well

 

In the 2018 accounts they put the dodgy stadium sale through, which turned a £36m loss into a £2m profit. They've been made to move that into the 2019 accounts, in which a £19m loss has been turned into a £19m profit.

Quick summary as I haven't gone through them in any detail but: they lost £20m in 2017, lost £35m in 2018 (restated), and made profit of £19m in 2019 (including the sale of the stadium)

I bet 2020's won't be pretty either...

Edit: they lost almost £10m in 2016 too

 

A very comprehensive and detailed reply to my request

 

They owe £63m according to that to Debtors, whom I can only imagine being Chansiri. They are getting further and further in to debt. Crowds were down on previous years as well.

This is for last season not the one we are in.

 

They lost £35m in the year ending 2018, then made a £19m profit after the sale of the stadium in 2019. Currently spending £32m a year on wages and income is only £22.7m. Chansiri has a £64m loan to the club.

 

They've restated their 2018 accounts to effectively remove the stadium sale, which they'd attempted to previously include, despite the sale not taking place until after their financial year end. That resulted in a loss for that year of £35 million.

The 2019 financial year has a profit of £19 million, although take away the dubious sale of the stadium and it's more like a £19 million loss.

 

It's reported elsewhere the £6.5m was settlement from Newcastle for Bruce. I.e. its a payment in, not out.

 

I can't put it any clearer lol.

 

First loan payment on the leasehold of the stadium due in September (£6million)


30 year leasehold agreement on an agreed annual rent of £3million.

 

You're right. I'd only half glanced at it and assumed it was an expense. Fair play to them for managing to get £6.5 million for him.

 

Interesting BHP have stated in the auditors report of material uncertainty as a going concern.

"Material uncertainty related to going concern We draw attention to note 1.3 in the financial statements, which indicates that additional funding will be required to enable the company to continue in operational existence. The owner has confirmed that sufficient financial support will be made available to enable the company to meet its obligations as they fall due for a period of not less than 12 months from the date of approval of the financial statements. As stated in note 1.3, the director acknowledges that this support is not legally binding, and these conditions, along with other matters as set forth in note 1.3, indicate that a material uncertainty exists that may cast significant doubt on the company's ability to continue as a going concern. In addition we draw attention to the matters set out in note 26 in relation to the Covid-19 pandemic including the fact that football matches, after resumption, continue to be played behind closed doors and the uncertainties in timescale arising from the pandemic. Our opinion is not modified in respect of these matters."

 

Is it not the Season before mate. ?

Sheffield Wednesday have published the club's annual accounts for the year ending 31 July 2019.

 

Given relegation is a near certainty they either need a massive injection of capital, or they are gone. Sale of players, even if achievable will be chicken feed to their rising debts & continued fall in income. Chansiri needs to capitalise his loans basically. Will he do that? He seemed happier to asset strip & buy the ground from them, which is not a great sign in my book.

They are one of half a dozen clubs I have a massive dislike for, but I still would hope they can survive for all the back room people, suppliers, etc, to whom a bear no malice. I do want them to go down, as well run clubs, like Rotherham I'd prefer to stay in the division. Brum or Derby would be the teams I'd rather drop with them & Wycombe, who surely are already down.

 

Sorry yes it is mate