St Helens reveal small profit in latest financial figures

Got something to discuss about RL in general? Then this is the place to post it.
Post Reply
josie andrews
Posts: 35576
Joined: Sun Jun 10, 2007 10:17 pm
Location: Wigan
Contact:

St Helens reveal small profit in latest financial figures

Post by josie andrews »

Saints today revealed earnings before interest and depreciation of £19,000 for the financial year ending October 2018.

Club chairman Eamonn McManus said: “This was a satisfactory financial performance considering we did not reach any finals last year.

“We would anticipate a materially improved underlying financial performance in 2019 and further improvements in 2020 and beyond, reflecting on the restructuring of the balance sheet in 2019 and the capitalisation of directors loans.

“The club is very soundly positioned going forward in terms of both assets and profitability.”

This positive financial news comes after the club recently announced major capitalisation of shareholders’ loans into permanent equity capital.

https://www.sthelensreporter.co.uk/spor ... -1-9896834
Anyone can support a team when it is winning, that takes no courage.
But to stand behind a team, to defend a team when it is down and really needs you,
that takes a lot of courage. #18thMan
medlocke
Posts: 10628
Joined: Wed Apr 12, 2006 11:57 am
Location: Millom
Contact:

Re: St Helens reveal small profit in latest financial figures

Post by medlocke »

How much after interest and depreciation?
Caboosegg
Posts: 3837
Joined: Tue Oct 14, 2014 4:51 pm

Re: St Helens reveal small profit in latest financial figures

Post by Caboosegg »

They probably saw a increase of fickle fans
These are two reasons not to trust people.
1. We don't know them.
2. We do know them.
DaveO
Posts: 15880
Joined: Mon Sep 30, 2002 5:32 pm

Re: St Helens reveal small profit in latest financial figures

Post by DaveO »

I am no accountant but doesn’t this mean they have added the interest due on directors loans to the loan capital? So the club has not had to pay the interest that was due so has not had that expense?
The booze hound
Posts: 817
Joined: Tue Feb 25, 2014 8:05 am

Re: St Helens reveal small profit in latest financial figures

Post by The booze hound »

DaveO wrote: Wed Jul 24, 2019 9:54 pm I am no accountant but doesn’t this mean they have added the interest due on directors loans to the loan capital? So the club has not had to pay the interest that was due so has not had that expense?
That is correct. Any unpaid interest is added onto the outstanding/original loan.
DaveO
Posts: 15880
Joined: Mon Sep 30, 2002 5:32 pm

Re: St Helens reveal small profit in latest financial figures

Post by DaveO »

The booze hound wrote: Thu Jul 25, 2019 1:33 pm
DaveO wrote: Wed Jul 24, 2019 9:54 pm I am no accountant but doesn’t this mean they have added the interest due on directors loans to the loan capital? So the club has not had to pay the interest that was due so has not had that expense?
That is correct. Any unpaid interest is added onto the outstanding/original loan.
So had they paid the interest due, they would have made a loss?

Some very generous directors with their loans at Saints. They had better hope they never fall out of love with the club and call in the loans.
shaunedwardsfanclub
Posts: 6338
Joined: Thu Jul 03, 2008 2:08 pm

Re: St Helens reveal small profit in latest financial figures

Post by shaunedwardsfanclub »

DaveO wrote: Fri Jul 26, 2019 2:56 pm
The booze hound wrote: Thu Jul 25, 2019 1:33 pm
DaveO wrote: Wed Jul 24, 2019 9:54 pm I am no accountant but doesn’t this mean they have added the interest due on directors loans to the loan capital? So the club has not had to pay the interest that was due so has not had that expense?
That is correct. Any unpaid interest is added onto the outstanding/original loan.
So had they paid the interest due, they would have made a loss?

Some very generous directors with their loans at Saints. They had better hope they never fall out of love with the club and call in the loans.
Correct. I raise the issue of Eddie Davies’s family at Bolton Wanderers. Saints have simply used an accounting technique to show a profit. We also need to remember that as the ground requires more investment the older it gets then losses are likely to increase.
Winning is down to 99% perspiration and 1% inspiration - Shaun Edwards
Post Reply