Newcastle cling on to spot in rich list elite!
Posted on March 2nd, 2010 | 95 Comments |
If anything the list confirms something that a lot of us already know, that Newcastle United have massive potential to be European contenders. The list publishes figures from the 2008/09 season which we all know was hit by many many troubles on and off the field, a combination of which ended in our relegation.
The report takes into account money that is generated on a day-to-day basis and it reveals that Newcastle United managed to generate £86 million pounds in a relegation season, not bad and can only be bettered by the likes of the Big 4, Tottenham Hotspur and Manchester City from the domestic game. Of course, however much of that £86 million was then spent on wages and other day-to-day running costs is an open question that can only be answered by the official accounts being published.
Although a slight success and an indication of how much money the club could generate if we ever actually managed to get it together on the pitch, we have in fact slipped 3 places from the previous season where we generated £99.4 million.
So how is the money worked out?
Well it is split into 3 categories: Matchday income (£29.0 million), TV & Broadcasting (£37.6 million) and Commercial revenue (£19.4 million), add them together and Bob’s your uncle.
Matchday revenue has always been one of our strong points although it did decrease 10% from the season before. Despite all the trouble last season, we still averaged crowds of 49,000 which is massive display of just how loyal our fanbase is, something we would be nothing without!
It could be argued that exchange rate between the £ and the euro has had an adverse effect on our position in the rich list. If the pound hadn’t recently taken a dive against the euro then we would be sitting 18th in the table rather than 20th although that would just be splitting hairs.
I wouldn’t expect us to make next seasons rich list. Despite our crowds staying strong and being far superior to anything else in The Championship, they are still down 20%. Add to that the drop in commercial and TV money that relegation brings and that should see our stay in top 20 rich list come to an end after 16 succesive years.
On the up….
With the club in pole position for a quick return to the Premier League then hopefully it will be a short abstinance form football’s rich list. If we do go back up then we will benefit from and increase in attendances, an increase in commercial revenue and the bumper TV rights payout. The TV rights alone should see us back into the rich list, even from where we are now.
So an increase in revenue and a reduced cost base awaits us should we claim promotion. The key thing is to not let the promotion become a one season wonder and get relegated again. That means careful investment on the pitch and no interfering off it, look where that got us last time Mr Ashley!
http://timesonline.typepad.com/thegame/2010/03/newcastle-going-steady-with-ashley-but-longterm-future-remains-in-doubt.html
another good article from Caulkin