Newcastle United Finances 2022/23

(You Gotta) Fight For Your Right (To Party!)

Newcastle United’s 2022/23 accounts cover an “outstanding” season, when the club reached its first major cup final in 24 years, losing to Manchester United in the EFL Cup, and achieved an impressive 4th place finish in the Premier League to secure qualification for the Champions League.

Ownership

This was Newcastle’s first full set of accounts under the ownership of the consortium led by Saudi Arabia’s Public Investment Fund after Mike Ashley’s long reign came to an end.

In the period since that acquisition in October 2021, there has been much progress both on and off the pitch, as the club has benefited from significant investment from the new owners.

Profit/(Loss) 2022/23

Newcastle’s pre-tax loss was much the same as the previous year at £73m, as the “continued investment” in the squad was offset by strong revenue growth.

Revenue shot up £70m (39%) from £180m to a new club record £250m, but this was nearly matched by £62m (24%) growth in operating expenses to £320m. In addition, profit from player sales halved from £6m to £3m, while net interest payable rose £6m from £1m to £7m.

The loss after tax increased by £3m to £73m, as the previous year benefited from a tax credit.

All three revenue streams saw significant growth, so much so that new club records were established in each of them. Commercial was up by nearly two-thirds (£19m) from £28m to £47m, while match day rose £10m (38%) from £28m to £38m.

The smallest percentage growth was in broadcasting, but even that was 33% higher, increasing £41m from £124m to £165m.

However, the cost base continued to grow, as the new owners invested in the squad to compensate for the many years of austerity under Big Mike.

Wages increased £17m (10%) from £170m to £187m, while player amortisation surged £37m (75%) from £50m to £87m. In addition, other expenses rose £6m (19%) from £34m to £40m.

Despite the impressive revenue growth, the fact remains that Newcastle still lost £73m, which is the worst financial result in the Premier League in 2022/23 so far. In fairness, only four clubs have so far published accounts for last season, but only two clubs reported higher losses in 2021/22.