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Aston Villa saw their interim pre-tax loss cut by almost half to £8.7m from £16.5m. Reduced player costs, rising attendances and new sponsorship deals all helped. Staff costs were down 7 per cent and average attendances rose 4.7 per cent to 35,332, but overall turnover was flat at £19m because of the release of exceptional commercial income in the same period last year of £1.3m. The club also secured a shirt sponsorship deal with DWS, the German fund management group, and a new kit deal with Hummel, both at higher values than previous deals. Chairman Doug Ellis said that while the financial performance was improving, and the club had a marginal cash balance of £2.6m, the environment remained difficult, particularly after erratic league performances and early exits from the two domestic cup competitions. Villa are awaiting a planning decision on whether they can pursue plans with a 'leading retailer' to build a supermarket on their Brookvale Road site. Planning permission would help release the considerable value of Villa's property assets. The company's shares trade at 355.5p, but last year's annual report put the net asset value per share as high as 443p. However, it may take new ownership to allow the club to exploit its position as the best supported club in the Midlands and move out of its customary mid-table position.
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