Some of the things that Mike Ashley and Derek LLambias have done in their tenure at Newcastle have hardly gone down well with the fans.
Managing Director Derek Llambias and Owner Mike Ashley
But Alan Pardew has come out today and said that if Newcastle are going to be in good enough financial health down the road, then the club just have to generate more revenues.
Certainly the selling of Andy Carroll and the renaming of St. James’ Park to the Sports Direct Arena have hardly been well accepted by the fans.
Although the massive £35M received for Andy and his mediocre form for new club Liverpool, have tempered the fans anger that the local striker was sold in the first place, thirteen months ago.
Alan Pardew has talked to the Sunday Mirror today and tries to put things in perceptive from a financial viewpoint for Newcastle fans:
“The strategy Mike Ashley and Derek Llambias have followed has put the club in a position of relative financial strength.” “Compared to a lot of other football clubs we are in a good place.”
“You have to worry after what has happened last week that a couple of other clubs could be in trouble this summer – but we are not in that position.” “That is down to Mike and Derek.”
“That policy of buying younger players and being very tough with contracts and shifting the power a little bit from players back to the club has proved so far to be successful.”
“There are a couple of other models that have been similar. Spurs have gone down that line and bought young players, but are now in a position where they can actually buy experienced players.”
“I think, hopefully, that is now the next phase for us. Where we are right now-we are pretty healthy.” ”One of the big things that has helped me is that the agenda is out in public.”
“That is important that Mike and Derek come out and say: “this is the financial climate-this is how we work.” “So that makes it a little bit easier for me.”
“But we will still have problems down the line. Losing some of our best players to the best clubs is still going to happen because we are still not in a position to stop that.”
“But we won’t be able to protect our best players until we get more revenue and bigger sponsorship in.” “The higher up the table we finish the easier it will be to attract not only new sponsors but also top players.”
“We are now getting sound-bytes from agents that they would like to get their players here. It is a good sign.”
Newcastle are definitely getting back into good financial health, unlike clubs like Portsmouth and Glasgow Rangers we may add, and the Tyneside club’s revenues (turnover in English terms) over the last few years show the dip caused by relegation and the resulting improvements:
And as far as the profits go, we don’t have any – but these are the losses Newcastle have had over the last four financial years.
And they have at least decreased noticeably once Newcastle got back into the Premier League eighteen months ago, and had the wage bill under control from previous years, and the club could even make a profit in the next financial year, which closes on June 30th this year:
So from a financial viewpoint the club seems to be going in the right direction, and we just hope we can finish high up in the league table, and maybe even still qualify for European competition next season.
But our form will have to improve greatly from the last couple of league games.