Arsenal claim £ 47million in losses as coronavirus pandemic threatens club finances even more

Arsenal reported a loss for the second consecutive year, suffering a loss of £ 47.8million ($ 66million) in 2019-20.

The latest figures show the club’s financial results through the end of May last year, before the end of the three-month suspension from the Premier League due to the Covid-19 pandemic.

The Gunners have declared a loss of £ 27.1million ($ 37million) for the 2018-19 fiscal year, the first time the club have suffered a loss since 2002.

How much have Arsenal lost?

The report says that £ 35million ($ 48million) of last year’s pre-tax loss attributable to Covid-19 is made up of £ 14million ($ 19million) of revenue lost on match day, the carry-over of £ 34million ($ 47million) in broadcasting revenue into the next fiscal year and £ 6million in other losses in commercial and broadcasting revenue.

These losses are offset by cost savings of £ 19m ($ 26m), including the pay cut program the first team agreed to last year.

However, the Gunners expect the impact of the Covid-19 pandemic to be more evident in next year’s financial report due to the lack of paying spectators and other reductions.

How much did they earn from sales and player signings?

Arsenal have raised £ 60.1million through player sales, having moved Alex Iwobi to Everton and Krystian Bielik to Derby, among others. But the club have spent 182.2million pounds ($ 252million) to sign new players, including Nicolas Pepe, Kieran Tierney, William Saliba, Gabriel Martinelli, Pablo Mari and David Luiz.

The Gunners spent £ 234.5million ($ 324million) on salaries, a reduction of £ 400,000 from 2019, and spent £ 10.4million ($ 14million) to change staff at coaches while Unai Emery was sacked in November 2019 and replaced by Mikel Arteta.

Commercial revenue for 2019-2020 is £ 142.3million ($ 197million), an increase from the previous year’s figure of £ 110.9million ($ 152million) thanks to the renewed partnership with Emirates and a new kit partnership with Adidas. The increase would have been bigger had they not been eliminated from the Europa League in the last 32 stages.

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