Arsenal Ceo Backs Safe Financial Approach
Arsenal Football Club has announced it has doubled its profits for the financial year ending May 2012, thanks in large to the sale of star players such as Cesc Fabregas and Samir Nasri – and Arsenal chief executive Ivan Gazidis has insisted the club will continue to follow a financially responsible strategy.
Following the introduction of Financial Fair Play, the Premier League club’s policy has the team in a secure position, however the lack of a major trophy since 2005 has some fans restless.
Cesc Fabregas, Samir Nasri and Gael Clichy all left for Manchester City during the financial year, while Robin van Persie also headed for Manchester during the summer, joining United in the transfer window.
Fabregas joined boyhood club FC Barcelona for £30m while Nasri and Clichy joined City for £24m and £7m, respectively.
These sales helped Arsenal to register a group profit before tax of £36.6m for the 2011/12 season, more than double the 2011 figure of £14.8m.
However, group turnover has decreased in recent years from £379.9m in 2010 to £255.7m in 2011.
The latest figures show this mark has fallen further to £243m and Gazidis admitted to SportBusiness that Arsenal faced a crucial period on the commercial front with its partnerships with shirt sponsor Emirates and kit partner Nike both due to expire at the end of the 2013/14 season.
Gazidis said: ‘Clubs, fans and other stakeholders in the game are demanding a more rational financial approach and this reinforces our conviction that our club is strongly placed to succeed over the long term.’
‘We have qualified for the Champions League for the 15th season in a row whilst off the pitch we have a business strategy and infrastructure that is helping us to grow our revenues. This revenue growth will provide sustainable funds for future investment in the team whilst keeping within the UEFA Financial Fair Play requirements. We can and will forge our own path to success.’
‘We have faced criticism for sticking to our philosophy of living sustainably within our financial means rather than reaching out for a quick fix injection of money to solve all our supposed problems. But how much is enough to outspend others who have seemingly limitless means? We can and will forge our own path to success and avoid the many examples of clubs across Europe struggling for their very survival after chasing the dream and spending beyond their means. Football is moving powerfully in our direction.’
