General Wolves News

[The Bear]

The pdf link for the full accounts is here:

Headline financial information for 2022/23

Wolves have released headline financial information for the year ending 31st May 2023, confirming a net loss of £67.2m.

www.wolves.co.uk

 

[The Bear]

As we know net transfer spend isn't p&l, but when you make a paper surplus of something like £110m, plus £10m savings just from your 2 biggest wage earners then clearly that's impossible without a curve ball we don't know about. As you said in your earlier post any loss this year would need us reaching into the PSR exemptions to clear it.

Perhaps the recall of the loan was the change from Plan B to Plan C? Plan A being impossible in the first place. Although ai think loans either way sit outside of PSR don't they?

"Wolves owners Fosun loaned the club a further £64million in 2022-23 with that loan due to be conveyed to equity in the next few weeks.

That money is not factored into PSR calculations as PSR is designed to prevent owners from bankrolling clubs.

Fosun has provided another loan worth £18million in the current financial year."


"Wolves’ current forecasts for the 2023-24 season predict a loss of £39.7million, but when allowable expenses are removed from the equation, it would leave Wolves with a predicted loss of £22m for PSR purposes.

When allowable expenses are taken into account, current predictions would leave Wolves staying within the £105million limit by £2.7m for the three years ending in May 2024.

Their ‘headroom’ had been predicted to be around £5million but was reduced when they settled on Jonny Otto’s contract in January following the training ground incident that saw him removed from the first-team squad."


Plus we have the extra prize money of £1.8m per place, as the club's calculations are based on the prediction of a 17th place finish.

 

[The Bear]

Also, they still owe Fosun £64m.

https://twitter.com/x/status/1763815834651173100

 

[The Saturday Boy]

This place has had numerous posters telling us that it has never been an issue and Jeff has been lying to us.

 

[Tom Hark]

What am I missing here? Why would Fosun (or anyone else) want to own a business (Wolves or any other club) that makes those kinds of losses? Do these figures exclude sponsorship deals and the like?

 

[Elephant Pyjamas]

These are not the figures used for PSR. That explicitly includes some money, which isn’t included for PSR, to paint bollards.

Matchday revenue is not great too, it was pretty stark how many tickets went unsold midweek despite it being impossible to get tickets.

Getting a bit bored of this narrative now, I don't think anyone has been saying it's hard to get tickets since Nuno was here? (When it genuinely was)

 

[Tony Towner]

This place has had numerous posters telling us that it has never been an issue and Jeff has been lying to us.

Nothing's changed those accounts are exactly as expected.

 

[Elephant Pyjamas]

I thought Maguire was well respected and what he says is considered accurate?

 

[Jolemai]

Wolves Molineux Stadium

Based in Wolverhampton, Molineux Stadium is one of the iconic stadiums in England. It has been the home of Wolverhampton Wanderers since 1889 and has evolved over the years to become the stadium it is today, with seats for more than 32,000 supporters. With all key features of the stadium...

microdesigns.co

Has anyone purchased this yet? It's a 1319 piece building block set of Molineux.

 

[Paul]

Wolves Molineux Stadium

Based in Wolverhampton, Molineux Stadium is one of the iconic stadiums in England. It has been the home of Wolverhampton Wanderers since 1889 and has evolved over the years to become the stadium it is today, with seats for more than 32,000 supporters. With all key features of the stadium...

microdesigns.co

Has anyone purchased this yet? It's a 1319 piece building block set of Molineux.

Do you have to paint the bollards yourself?

 

[Mel Evo]

Wolves Molineux Stadium

Based in Wolverhampton, Molineux Stadium is one of the iconic stadiums in England. It has been the home of Wolverhampton Wanderers since 1889 and has evolved over the years to become the stadium it is today, with seats for more than 32,000 supporters. With all key features of the stadium...

microdesigns.co

Has anyone purchased this yet? It's a 1319 piece building block set of Molineux.

Yep. Gift for my son and he loves it, but making it is a bit fiddly for just a kid so I had to do a fair bit - what a shame!!!

 

[Deutsch Wolf]

What is alarming is the on pitch value we got from the Summer one £115m or thereabouts on Nunes, Guedes, Sasa, Collins and Hwang.

This is the bottom line. A club of our size can't afford to make multiple wild errors in the market and we have (go further back and add Fabio, Hoever and Cutrone to that, another £60m FFS).

 

[sycophantia]

This is the bottom line. A club of our size can't afford to make multiple wild errors in the market and we have (go further back and add Fabio, Hoever and Cutrone to that, another £60m FFS).

Errors are to be expected with transfers but it's the scale with us, pretty much all the errors have been with our high profile, high cost players. I'm hoping we've changed that now.

 

[PuntsWolf]

I thought Maguire was well respected and what he says is considered accurate?

The accounts he’s analysing are stating we were £20m under PSR limit. That was never really in doubt.

This year I think everyone fully accepts we’ve got to/had to “balance the books”.

But fag packet maths say our purchases increased amortisation by at most £10m. Nunes and Collins sales reduced the amortisation by £13m.

Let’s say Raul was break even on fee/amortistaion, so ignore him. Adama reduces by about £3m

So amortisation has come down by minimim £6m.

Neves/Coady/Giles sales pure profit of £60m.
We will ignore loan fees. Let’s say Collins was no profit, but one years amortisation so £4m. Nunes 1 year amortisation plus £10m = £18m. Add all that togerher and it’s a conservative £82m on player trading.

Wages have clearly come down. Income has come up, but we will ignore both as we don’t know. So if we assume all things are the same bar amortisation and player trading.

Amortisation down £6m minimum.
Profit on player sales £82m. Which im going to estimate as £42m more than the previous season.

So the accounts should be at worst £48m better in player trading. Add a decrease in wages and increases in income then I think we should have more than comfortably balanced them to have allowed some form of spending in January.

 

[Tredman]

Pfft away with sense, we’re broke and Fosun are our saviours.

 

[Tom Hark]

What am I missing here? Why would Fosun (or anyone else) want to own a business (Wolves or any other club) that makes those kinds of losses? Do these figures exclude sponsorship deals and the like?

This was a serious question, if anyone can enlighten me.

 

[thisisgil]

This was a serious question, if anyone can enlighten me.

Fosun can probably write off the losses against tax obligations elsewhere in the group, whilst in theory growing a brand and increasing the value of an asset.

 

[Sniffer]

This was a serious question, if anyone can enlighten me.

It depends on the purchase price when buying the club, its marketing value for the Fosun group and its value now should they wish to sell. Once losses accumulated are above the difference between the purchase price and current value then you do have to wonder. The club has to stay in Premier League to keep the value high.

 

[Tony Towner]

This was a serious question, if anyone can enlighten me.

We are still worth more as a PL club than they have invested, although we must be coming close to break even. We shouldn't be making losses and should be self sustainable. It's their poor decision making and being taken to the cleaners by the agent they are invested in that's made us loss making. If they were to run us properly we wouldn't be.

The whole pack of cards folds if we go down hence last January's spend which wouldn't have been planned or budgeted for and was only needed because the Summer was so expensive and yet so poor.

 

[Deutsch Wolf]

Hwang out for 6 weeks