CELTIC have just released a sensational set of financial figures in the club’s interim report to 31 December 2017.
The financial performance of the club illustrates the wisdom in investing in a top class manager like Brendan Rodgers as the after glow of the Treble winning Invincible season swept through every of the club.
Yet while Celtic’s figures are spectacular in terms of Scottish football the club remains a ‘have not’ when it comes to the big bucks that television companies are pouring into the English Premier League. And at the top table in the Champions League, against the likes of foreign state funded PSG, Celtic are set to remain a poor relation.
But, in Scottish football, the numbers are brilliant.
Celtic’s revenue has increased by 16.8% to £71.5m (2016: £61.2m).
The club’s profit from trading was up too, to £23.7m (2016: £21.4m).
The profit before taxation came in at £19.5m (2016: £18.6m) while the profit after taxation was revealed to be £17.4m (2016: £18.6m)
At the period end Celtic had net cash at in the bank of £30.9m (2016: £18.6m).
In his Chairman’s Statement Ian Bankier spoke of his delight at the performances on and off the park.
“We are delighted with the sustained period of success on the pitch, as Brendan Rodgers, his backroom team and the players have built on their achievements of last season. They are to be congratulated on qualification for the group stages of the UEFA Champions League for a second successive season, for retaining the League Cup and for the record breaking 69 game domestic unbeaten run.
“At the time of writing, we sit 8 points clear at the top of the Scottish Premiership and, as we continue to progress in the Scottish Cup, we retain the prospect of winning an historic back to back domestic treble,” stated the Celtic chairman.
On the movement of players in and out during this period, Bankier gave an comprehensive overview.
“During the period we secured the permanent registrations of Olivier Ntcham and Kundai Benyu, and the temporary registration of Patrick Roberts. Our profit on disposal of intangible assets of £0.5m (2016: £2.0m) largely reflects the transfer of the registrations of Gary Mackay Steven and Saidy Janko. Subsequently, during the January 2018 transfer window, we have invested further by acquiring the permanent registrations of experienced German Bundesliga defender Marvin Compper, exciting young Scottish talents Lewis Morgan and Jack Hendry and the temporary registrations of sought after midfielder Charly Musonda and goalkeeper Scott Bain,” he stated.
And the Chairman noted that the Celtic Youth Academy has been well represented in the first team under Brendan Rodgers in his period as Celtic manager. However there is also a promise of further investment to come into the first team as Celtic look towards the challenges ahead, especially in Europe.
“The Board is committed to a course of investment in the playing squad so as to be as competitive as we can be within the structure of Scottish football and on the European stage. With our full support and encouragement, Brendan seeks to enhance the squad by the careful acquisition of quality players and the development of existing players and young talent coming up from our Youth Academy. Youth Academy graduates James Forrest, Kieran Tierney, Michael Johnston, Callum McGregor, Calvin Miller and Anthony Ralston have all contributed to the first team this year. Furthermore, we were delighted to agree an extended contract with Kieran Tierney, who has captained Celtic and his country during the season,” noted Bankier.
The much discussed hotel, retail and museum development at the bottom of the Celtic Way seems to have the green light as Celtic look towards the long term financial strategy.
“The Board is also pursuing initiatives to enhance the Club’s assets at Celtic Park, so as to aid our playing competitiveness, as in the case of the recent pitch improvements, and to develop and commercialise the space we occupy, as in the case of our recent planning application for a hotel, retail store and museum.
“The Board’s investment policy, nonetheless, recognises the uncertainty inherent in football, and our long held strategy of operating a self-sustaining financial model,” Bankier stated.
And the Chairman, while recognising the outstanding success that these figures represent, admits that the next six months will not be quite as spectacular with less football to be played at Parkhead and no Champions League until the autumn, provided the league is won and the qualifiers negotiated.
“Looking forward, and entirely in line with our trading seasonality, we do not expect the same level of financial performance in the second half of the year. In this period we will play fewer home fixtures and revenue from European competition will be lower. Our key objectives for the remainder of the year are to win the SPFL Premiership, secure the Scottish Cup and build towards the European qualifiers in the summer.
“The Club will also continue to look at ways in which to develop Celtic Park and the surrounding area to create a destination and match day experience that all Celtic fans can be proud of.”
And he concluded by recognising the achievements of the Celtic FC Foundation in the period.
“Celtic FC Foundation, which sits outwith the Group, continues to develop its reach and to assist more people in our communities, in line with the Club’s founding principles. Most recently, the 2017 Christmas Appeal raised in excess of £230,000, which was split between local families with children, local old age pensioners, children’s charities, women’s aid charities and homeless, refugee and other vulnerable groups. Following the success of the Foundation’s Lions Legacy campaign, these fantastic achievements are testament to the hard work and generosity of the Celtic family,” Bankier proudly stated.
