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Club News

CLUB: Audited Financial Statements 19/20

Results for the year ended 30 June 2020 confirmed

25 June 2021

Having already shared the key headlines in May, the club can now confirm its audited financial results for the year ended 30 June 2021.

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The key headline details are as follows:

+ We achieved a profit after tax of £782,000 (18/19: loss £667,000), even after the impact of Coronavirus and with the season being curtailed early.

+ Headline turnover of £4.59m was the best for 10 years despite suffering a reduction in our ‘normal’ recurring income of £345,000 due to Coronavirus in the final three months of the year.

+ £1.13m of income was earned from player transfers, the highest for over a decade (but not all of that was cash received in 19/20, some will come in 20/21).

+ Net assets were £4.9m at 30 June 2020.

+ Cash in hand was £506,000 at 30 June 2020.

+ We had a sum of £587,000 debtors receivable in 20/21 for player sales.

+ Total debt at 30 June was £3m. No new cash advances or debt repayments were received from or made to EWM in the year.

+ £2.25m of capital and interest was due at the 30 June 2020 and has now novated to Purepay Retail Limited.

+ A new £120,000 short-term, interest free loan was provided to us by the EFL to help mitigate the impact of Coronavirus.

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Chief Executive Nigel Clibbens said: “These 19/20 results are the best for many years. Clearly player transfer income was very important, but also the underlying trading of the club held up well in the circumstances.

“We fully absorbed all adverse financial effects of Coronavirus by cost savings, donations in lieu of refunds and claims under the Government Job Retention Scheme.

“At 30 June 2020, we had a healthy cash balance, further transfer cash due in and no creditor pressure or debt repayments in 20/21. We have an unqualified audit report and, looking forward, all necessary financial support is in place from both Purepay Retail and Pioneer Food Group for 21/22 – also in regard to our debt, again with no repayments due, except for small amounts to the EFL.

“As I said in my update from 5 May 2021 (click HERE to read that update) these audited accounts show that we entered the current year - ending 30 June 2021 - in a sound position. 

“Under normal circumstances we would have filed these Audited Financial Statements by 31 March 2021. The audit of the numbers was fully completed as normal by October last year, however, the Coronavirus crisis meant the usual timetable was unavoidably interrupted and delayed.

“The EWM administration process in November 2020, along with the subsequent novation of the debt owed to them, plus an uncertain outlook for the whole of football, all meant it was in the best interests of the club to take advantage of the general exemption from the Government which allowed companies to file later this year.

“In the interim I have given detailed ongoing financial updated to provide assurance to fans – there should be no surprises in these numbers.

“Now that the Audited Financial Statements have been signed [and will be lodged at Companies House shortly, to be available from there when processed by them] we have put them on the official website so that fans can see the information first and more easily.

Click HERE to download a pdf copy of the audited accounts for this period.

“A full and detailed explanation of 2019/20 results is contained in the Audited Accounts. Again this year they provide very comprehensive information, far more than is required by EFL rules and the law. Even though the timing is later than usual, and means they are historic, all relevant information is there. 

Current year 20/21 - year ending 30 June 2021

“In my May 2021 update I also explained how we had managed the finances in the current year ending 30 June 2021 (click HERE to read that statement). 

“We again expect to fully absorb the adverse financial effects of Coronavirus in this year, with new replacement income and cost savings. 

“I will give a further update in late July about 20/21, after this year end.

Next year 21/22 - year ending 30 June 2022

“The £782,000 profit in 19/20, and the financial management and cash conservation measures taken during an extraordinarily tough 20/21, mean that again we have maintained healthy cash reserves as we now enter 21/22.

“While the trading outlook for attendances, retailing and commercial is still uncertain (and could be difficult next season), our debt position continues to be stable and again confirmed. With cash in the bank going into 21/22, we continue to be in a sound financial position looking ahead to the coming year.

“Our planning and operational decisions prudently presume no benefit from shareholder or external funding to increase our spending power in 21/22. This is unchanged, it’s the same self-sufficient funding basis that has operated since May 2019.

“Season ticket sales in the coming weeks, and commercial income for next season, plus any football fortune, will be crucial in determining our short term future spending. 

“With the kit launched this week, season tickets on sale shortly, and with the pre-season fast approaching and upcoming transfer window signings, plus hopefully good news on future Coronavirus requirements, it promises to be a busy and exciting period ahead.

“As we saw in the promotions from League Two yet again in 20/21, our financial approach and the level of finances we have are not a barrier to achieving our top priority ambition to win promotion in 21/22. We are in a sound position, the envy of many clubs.

“Whilst we must remain cautious financially, the board will continue to give every pound we possibly can to our football activities, to give Chris and David our full support as they look to improve the squad as we aim to be successful on the pitch in 2021/22.

“Thank you once again for your fantastic support.”


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