Burnden Leisure Plc announce its latest set of financial results
Burnden Leisure Plc has released its figures for the financial year ending June 2013.
The year saw a group financial loss of £50.7million. Excluding a number of one-off exceptional items relating to balance sheet impairments and other accounting adjustments this figure stands at £34.5million.
Chairman Phil Gartside said: "This year's results show the difficulties faced in the football business when a club has enjoyed a sustained and successful period in the Premier League, in our case 11 years, then suffers relegation back to the Football League Championship."
Turnover was recorded at £28.5million, in comparison to the previous season's figure of £58.5million, primarily due to the reduction in broadcasting revenue following relegation from the Premier League.
The Chairman added: "The ever widening gap between the two leagues makes the transition extremely difficult, even with the benefits of parachute payments from the Premier League."
Total staff costs for the year were £37.4million, down from £55.3million, as a result of a number of players leaving the club as well as the evoking of relegation clauses in a number of players' contracts and making significant changes in overheads.
Attendances at home matches decreased by 24%, while ticket prices for the 2012/13 season were again frozen and the club once again made use of the interest-free direct debit scheme.
Gate receipts were £3.8million, as compared to £5.7million last year.
In difficult economic conditions, sponsorship and advertising revenue reduced from £4.3million to £1.4million, a 68% fall, while revenues from corporate activity also dropped year on year to £1.1million.
General administration costs reduced by 10% to £14.1million from £15.7million.
Net debt is now recorded as £163.8million, of which £151.3million is owed to MIL.
As part of Eddie Davies' on-going support, effective from July 2013 interest owed to MIL was reduced to a 0% rate.
Both Burnden Leisure's education business and the Bolton Whites Hotel continue to make positive strides, whilst planning approval for the Middlebrook Masterplan development is expected early next year.
Gartside concluded: "It should go without saying that Eddie Davies continues to provide a humbling level of support to the club. However, the financial support given by owners is no longer possible in this league without severe penalty.
"We are responding to a changing environment by improvement and development of the wider Burnden Leisure business interests.
"This year we secured sole ownership of the hotel, expanded our education business and applied for planning permission to increase our non-football operations to improve revenues over the medium to long term.
"We will continue to invest, both in the long and short term, where the returns can be justified.
"However, Financial Fair Play rules require an alternative funding structure and Bolton Wanderers is very much moving towards a self-sustainable future.
"Looking forward we have to recognise we are no longer a Premier League club in the Championship, but a Championship club with ambitions to play in the Premier League; a stark reality of the financial rules now imposed."
To view the full report and accounts CLICK HERE and for the notification of the upcoming AGM CLICK HERE.
Read Time: 3 mins