SL clubs financial statements

[M j M]

Wigan's accounts for 2017 dropped yesterday which means the 'Big 4' clubs have all now filed their figures for last year.

Of the eleven UK-based SL clubs these are the only ones who are large enough to file anything other than small company accounts with very limited disclosures. I know Cas, and possibly other clubs, have given further info in press releases but not enough to really see what's going on.

I've pulled together the key figures in the table below (I've taken the consolidated entity for Saints and Warrington, the trading entity for Leeds and Wigan - this gives the most comparable figures). Wigan and Saints continue to underperform; Saints are interesting because as a regular business they simply couldn't afford to service the debt that building the stadium required. Fortunately they have a pair of very rich backers who seem happy to ignore the depreciation charge of the stadium, hence every statement McManus makes is about hopes that they will break even at EBITDA level.

Wigan just seem a mess financially although losses have been trimmed a bit this year - they got to a cup final in 2017 but turnover barely budged which implies recurring revenues dropped off. I'm speculating but, given they don't have a stadium or much of a non-gameday business to operate, the amounts spent on wages imply a relatively high amount spent on players compared to the other clubs (they evidently enjoy the marquee player rule).

Leeds have some interesting accounting going where the stadium redevelopment has been sent over to a joint venture company with Yorkshire CC (Headingley North-South Stand Limited). Caddick has repaid the £3m he borrowed from the company which has been duly ploughed into the development company. Other than that it's a pretty bog-standard year, certainly compared to 2016 which had all sorts of impairments, flood insurance claims plus a crappy year on the field. Turnover is up by £800k, largely I imagine due to the performance of the team and getting to a Grand Final.

Warrington seem a pretty steady operation which there or there-about break even and make a decent return at EBITDA level. They splashed £334.5k on transfer fees which is pretty extravagant by RL standards.

 

[BilboJeggings]

Castleford Tigers announced record profit for 2017 this week...

"Turnover increased by £1.4m to £6m and this growth was driven by increased gate receipts, sponsorship, record merchandise sales and record bar sales. The increase has generated a record profit of £691,000 for 2017.

This is now the fourth consecutive year that Castleford Tigers has not received any external funding and the fourth consecutive year the club has delivered operating profits."

https://www.castlefordtigers.com/article.php?id=6085

 

[DoubleD]

2 hours ago, M j M said:

Wigan's accounts for 2017 dropped yesterday which means the 'Big 4' clubs have all now filed their figures for last year.

Of the eleven UK-based SL clubs these are the only ones who are large enough to file anything other than small company accounts with very limited disclosures. I know Cas, and possibly other clubs, have given further info in press releases but not enough to really see what's going on.

I've pulled together the key figures in the table below (I've taken the consolidated entity for Saints and Warrington, the trading entity for Leeds and Wigan - this gives the most comparable figures). Wigan and Saints continue to underperform; Saints are interesting because as a regular business they simply couldn't afford to service the debt that building the stadium required. Fortunately they have a pair of very rich backers who seem happy to ignore the depreciation charge of the stadium, hence every statement McManus makes is about hopes that they will break even at EBITDA level.

Wigan just seem a mess financially although losses have been trimmed a bit this year - they got to a cup final in 2017 but turnover barely budged which implies recurring revenues dropped off. I'm speculating but, given they don't have a stadium or much of a non-gameday business to operate, the amounts spent on wages imply a relatively high amount spent on players compared to the other clubs (they evidently enjoy the marquee player rule).

Leeds have some interesting accounting going where the stadium redevelopment has been sent over to a joint venture company with Yorkshire CC (Headingley North-South Stand Limited). Caddick has repaid the £3m he borrowed from the company which has been duly ploughed into the development company. Other than that it's a pretty bog-standard year, certainly compared to 2016 which had all sorts of impairments, flood insurance claims plus a crappy year on the field. Turnover is up by £800k, largely I imagine due to the performance of the team and getting to a Grand Final.

Warrington seem a pretty steady operation which there or there-about break even and make a decent return at EBITDA level. They splashed £334.5k on transfer fees which is pretty extravagant by RL standards.

 

Interesting stuff, thanks.

 You have an interesting perception of the ‘big 4’ though when Catalans have the second highest turnover AFAIK

[Man of Kent]

Wigan seem to owe a lot of money. I suppose all those penalty counts don’t come cheap.

Seeing that makes you wonder how Leeds have got it so wrong on the pitch when they are doing so well off it.

[M j M]

20 minutes ago, DoubleD said:

Interesting stuff, thanks.

 You have an interesting perception of the ‘big 4’ though when Catalans have the second highest turnover AFAIK

Yes these are the English Big 4, or the current iteration of them. Hull FC must aspire to join them one day.

[Moove]

There's an element of 'investment' in the Saints figures with paying off Cunningham not long after signing a new deal IIRC plus Barba coming in as a marquee player. The disappointing thing there has been the limited improvement in attendances. It'll be interesting to see the commercial impact of that next year.

For Wigan I guess you've always got the good and bad side of a rented stadium. I'm not sure of the particulars but typically it'd be the trade off between low upkeep costs and fewer opportunities to build match day revenues. They're another club who've taken hits to attendance figure in part due to an unattractive style of play for a number of years.

Great to see Cas doing so well financially and it would be interesting to know more about how they've achieved that sustainability despite covering the costs of maintaining a dated stadium.

[Wellsy4HullFC]

8 hours ago, M j M said:

Yes these are the English Big 4, or the current iteration of them. Hull FC must aspire to join them one day.

What's the criteria? We've won 2 out of 3 CCFs, had 2 top 3 finishes recently and never been in the middle 8s (something 2 of the Big 4 can't say). We also have a top stadium and 5-figure crowds as well as a large number of home grown players in the squad. 

Short of winning the Super League (which Wire have never done), can't think of what else we can do! 

[DoubleD]

7 minutes ago, Wellsy4HullFC said:

What's the criteria? We've won 2 out of 3 CCFs, had 2 top 3 finishes recently and never been in the middle 8s (something 2 of the Big 4 can't say). We also have a top stadium and 5-figure crowds as well as a large number of home grown players in the squad. 

Short of winning the Super League (which Wire have never done), can't think of what else we can do! 

I’m not sure there’s any criteria, just a loose figment of imagination by the sounds of it

[Just Browny]

12 minutes ago, Wellsy4HullFC said:

What's the criteria? We've won 2 out of 3 CCFs, had 2 top 3 finishes recently and never been in the middle 8s (something 2 of the Big 4 can't say). We also have a top stadium and 5-figure crowds as well as a large number of home grown players in the squad. 

Short of winning the Super League (which Wire have never done), can't think of what else we can do! 

Didn't you get humped by Wakefield a few weeks ago?

Seriously though, in my head I would have Hull in that top group - would be interested in seeing the equivalent figures.

Thanks to the OP for posting this info: it is striking how similar the turnover is at Warrington, Wigan and Saints. I thought Wigan's would be much greater from all the foreign tourists travelling from all over the globe for a stadium tour.

[Dave T]

31 minutes ago, Just Browny said:

Didn't you get humped by Wakefield a few weeks ago?

Seriously though, in my head I would have Hull in that top group - would be interested in seeing the equivalent figures.

Thanks to the OP for posting this info: it is striking how similar the turnover is at Warrington, Wigan and Saints. I thought Wigan's would be much greater from all the foreign tourists travelling from all over the globe for a stadium tour.

I am interested in where Wire think they will make the next step up. I think we have been a bit stagnant in recent years and despite the talk about wanting to be one of the top RL clubs in the world, I want to see them being bold to try and push that £10m turnover mark.

[hunsletgreenandgold]

Just wait til next year when TWP are in SL and blow them all out of the water! "More jersey sales than the rest of SL put together....probably" Isn't that right, Kayakman?..........Kayak?.........Kay?.....you still there?

[Manx RL]

3 hours ago, Wellsy4HullFC said:

What's the criteria? We've won 2 out of 3 CCFs, had 2 top 3 finishes recently and never been in the middle 8s (something 2 of the Big 4 can't say). We also have a top stadium and 5-figure crowds as well as a large number of home grown players in the squad. 

Short of winning the Super League (which Wire have never done), can't think of what else we can do! 

Criteria was in MJMs original post second paragraph.

15 hours ago, M j M said:

Of the eleven UK-based SL clubs these are the only ones who are large enough to file anything other than small company accounts with very limited disclosures. I know Cas, and possibly other clubs, have given further info in press releases but not enough to really see what's going on.

So it’s not based on on field antics, just simply financials.

[Chronicler of Chiswick]

13 hours ago, DoubleD said:

Interesting stuff, thanks.

 You have an interesting perception of the ‘big 4’ though when Catalans have the second highest turnover AFAIK

Catalans will be working under French company law, which would be different to ours.

[henage]

Steady Monkey Lover , 

[Desert Skipper]

8 hours ago, Wellsy4HullFC said:

 can't think of what else we can do! 

Merge with KR.

It’s the future.