Celtic have reported a big boost to their turnover and profits in the six months to December 2012. The profit from trading was just under £15m compared with a near break even figure of £0.18m in the same period last year. Turnover increased by 71 per cent from £29.27m to £50.06m. Net bank debt fell from £7.05m to £130,000 making the club virtually debt free.
Celtic have reported a big boost to their turnover and profits in the six months to December 2012. The profit from trading was just under £15m compared with a near break even figure of £0.18m in the same period last year. Turnover increased by 71 per cent from £29.27m to £50.06m. Net bank debt fell from £7.05m to £130,000 making the club virtually debt free.
The results reflect the contribution qualification for the last 16 of the Champions League can make to a club’s income stream. Merchandise and ticketing income were up. However, operating expenses were also up 30 per cent to just under £37n.
The club invested £4.65m in strengthening the first team squad. However, there was a profit from transfer activity of £5,2m, largely as a consequence of the sale of Ki Sung Yeung to Swansea, in comparison to £3.15m last year.
Celtic have become expert in shopping in what they call ‘undervalued markets’ in Asia, Africa and Latin America, as well as England’s Nationwide League. No one at the club is under any illusion that they will keep their stars for more than a few years, but from a collective outlay of less than £10m they will expect to earn a profit of around five times that. The £6m sale of Ki Sung-yueng to Swansea City last summer three years after the South Korean midfielder had been purchased for £2m is a good example of their methods.