New revelations about Leeds
Accounts filed at Companies House have led to new revelations about Leeds United. GFH Capital sold half its stake to an unnamed party between March and June last year before buying it back in December 2013, reaching 85 per cent ownership. This meant that there was no 'controlling party' of the club for at least six months.
The accounts reveal the scale of the task facing new owner Massimo Cellino. Leeds made a £11.5m pre-tax loss before player sales, up from £3.3m. After taking account of player trading, the club lost £9.5m against a £317,000 profit the year before.
Turnover dropped from £31.8m to £28.5m, with gate receipts down by £2m and attendances down by almost 8 per cent. The club has borrowed millions against season ticket and catering revenue.
The club was lent almost £11.3m by a Dubai-based company controlled by GFH. David Haigh, the Leeds chief executive, also lent about £1.6m. The total owed to creditors at the end of June 2013 was more than £22m. Mr Cellino's Eleonora Sports has agreed to pay off most of the debt over three years, having paid £11m for a 75 per cent stake.
The wage bill grew from £15.9m to £17.8m. At 62 per cent of turnover, that is above the recommended 50 per cent figure, but not to the extent that is the case at many Championship clubs hoping for promotion.
Directors' pay and bonuses doubled from £312,000 to £754,000, with the highest paid receiving a £440,000 bonus. It is unclear what achievement at the club this reflected.