NFFC Financial Talk

[Sausage Roll]

So that now puts us at a loss of just over £30m for the last three years, which explains why we didn't push the boat out too much in the summer or January. That big loss of £21m for 18/19 accounts will be in the system for three years, so I'd say that, if we don't get up, we can't expect massive spending on players next summer or January.

It probably does mean that at least one of the crown jewels will have to go too if we don't go up. No point dressing it up any other way. Expectations need to be set around it because that's where we are.

[Jean_claude_killy]

Fawaz will still be copping the blame for that wage bill :D

I appreciate you was trying to be clever but you have hit the nail on the head.

If you remember, Karanka had to offload a good few players which would come at a cost both in terms of amortisation and in paying up wages.

And it really is dim to keep saying that the only player remaining from the Fawaz days is Clough.

What about all of the well paid frauds we have had to pay off?

Hobbs, Vaughan, Mancienne, Traore, Perquis, Stojkovic, Lam and the incredibly talented Matt Mills....I could go on and on.

Remind me, under who's watch they were signed?

We can all see who ended up paying them off

[Jean_claude_killy]

The figures look worse than they are and the McGuire chap is correct we are not in danger of transgressing P & S, not for the time being anyway.

You have to remember that 2 seasons ago we recorded a profit of 32m after some clever financial engineering.

Income has risen by just over 2.5m; this increase has come from across the board - Advertising and Sponsorship, Catering, Attendance money, Commercial and Retail - all showing an increase in revenues.

That's the good news!

Although we displayed a profit of 10.5m on transfers we have recorded an 8m write down for releasing players.

Wages have jumped from 111% of income to 124% of income; some of this additional spend will have been for paying off the players released and some of it will have financed Karanka's signings.

There were rumours at the time of his resignation that he had been asked to off load some more players; looking at the figures I would guess that definitely happened.

The jiggery pokery with the declared profit makes a lot more sense now, especially given the timing as this would be the last chance to clear the decks.

[Reds73]

So as we stand at present, we are carrying 25m (FFP losses) Forward into the 3rd year of the cycle.

Therefore accounts ending May 20 will need to show FFP losses at no more than 14m.

I reckon we made a net 15m profit on sales last summer, however we are carrying about 4m of amortised costs ( Carv & Grabbs mainly) that will need to be included, so you would think that we went up to the max in Jan in terms of what we could do.

[Legs On Stilts]

See I dont understand these things, profit and sustainability wise we dont look too bad. Rolling 3 year loss is only around £10M, So playing side isnt a huge issue, more the bigger picture of how much the owners are willing to invest (and potentially lose) in the club. The fact they are building a new stand suggests we should have few concerns on that side


PriceOfFootball
@KieranMaguire
For anyone wondering about Forest's #FFP status, I estimate they have no problems in being within the 3 year rolling loss limit of £39 million mainly due to player sales profits covering the day to day losses. #NFFC


If we don't go up that'll be Cash, Worrall, Lolley and Brice gone. No worries about falling foul of ffp but it'll be a sad day if we cash in that lot. 

No it won't. No need to be all doom and gloom and start spreading fake news.


If you believe that won't happen then good for you but how else do you think we remain competitive and don't fall foul of ffp? 

[Sniffer Dog (Admin)]

See I dont understand these things, profit and sustainability wise we dont look too bad. Rolling 3 year loss is only around £10M, So playing side isnt a huge issue, more the bigger picture of how much the owners are willing to invest (and potentially lose) in the club. The fact they are building a new stand suggests we should have few concerns on that side


PriceOfFootball
@KieranMaguire
For anyone wondering about Forest's #FFP status, I estimate they have no problems in being within the 3 year rolling loss limit of £39 million mainly due to player sales profits covering the day to day losses. #NFFC


If we don't go up that'll be Cash, Worrall, Lolley and Brice gone. No worries about falling foul of ffp but it'll be a sad day if we cash in that lot. 

No it won't. No need to be all doom and gloom and start spreading fake news.


If you believe that won't happen then good for you but how else do you think we remain competitive and don't fall foul of ffp? 

We may sell one, but all four? No chance.

[ThePromisedLand]

I blame Karanka and his recruitment team for most of that wage bill. Think we have signed something like 45 players in the last 2 years. No surprise wages are high although I think the headline percentage has dropped slightly.

Let’s not blame Karanka - he didn’t sign the cheques.

[Paplane]

I blame Karanka and his recruitment team for most of that wage bill. Think we have signed something like 45 players in the last 2 years. No surprise wages are high although I think the headline percentage has dropped slightly.

Let’s not blame Karanka - he didn’t sign the cheques.

Nor did he go out and replace half the squad without the owner's permission. He clearly advised that the squad he inherited (Mance, Mills, McKay et al) was useless and the owners backed his judgement. Which is good because it was right.

[wassy04]

The figures look worse than they are and the McGuire chap is correct we are not in danger of transgressing P & S, not for the time being anyway.

You have to remember that 2 seasons ago we recorded a profit of 32m after some clever financial engineering.

Income has risen by just over 2.5m; this increase has come from across the board - Advertising and Sponsorship, Catering, Attendance money, Commercial and Retail - all showing an increase in revenues.

That's the good news!

Although we displayed a profit of 10.5m on transfers we have recorded an 8m write down for releasing players.

Wages have jumped from 111% of income to 124% of income; some of this additional spend will have been for paying off the players released and some of it will have financed Karanka's signings.

There were rumours at the time of his resignation that he had been asked to off load some more players; looking at the figures I would guess that definitely happened.

The jiggery pokery with the declared profit makes a lot more sense now, especially given the timing as this would be the last chance to clear the decks.

The 32m profit doesn't help with FFP at all, makes no real difference in that sense. I'm sure it was helpful for financing in other areas though.

We've actually made broadly the same operating loss for years, the amount its hurt us has depending on player sales/profits.

[Jean_claude_killy]

The figures look worse than they are and the McGuire chap is correct we are not in danger of transgressing P & S, not for the time being anyway.

You have to remember that 2 seasons ago we recorded a profit of 32m after some clever financial engineering.

Income has risen by just over 2.5m; this increase has come from across the board - Advertising and Sponsorship, Catering, Attendance money, Commercial and Retail - all showing an increase in revenues.

That's the good news!

Although we displayed a profit of 10.5m on transfers we have recorded an 8m write down for releasing players.

Wages have jumped from 111% of income to 124% of income; some of this additional spend will have been for paying off the players released and some of it will have financed Karanka's signings.

There were rumours at the time of his resignation that he had been asked to off load some more players; looking at the figures I would guess that definitely happened.

The jiggery pokery with the declared profit makes a lot more sense now, especially given the timing as this would be the last chance to clear the decks.

The 32m profit doesn't help with FFP at all, makes no real difference in that sense. I'm sure it was helpful for financing in other areas though.

We've actually made broadly the same operating loss for years, the amount its hurt us has depending on player sales/profits.

We will always be dependent on selling players while that wage bill is higher than what we earn; there is no other way of making the books balance

[Alf]

Fawaz will still be copping the blame for that wage bill :D

I appreciate you was trying to be clever but you have hit the nail on the head.

If you remember, Karanka had to offload a good few players which would come at a cost both in terms of amortisation and in paying up wages.

And it really is dim to keep saying that the only player remaining from the Fawaz days is Clough.

What about all of the well paid frauds we have had to pay off?

Hobbs, Vaughan, Mancienne, Traore, Perquis, Stojkovic, Lam and the incredibly talented Matt Mills....I could go on and on.

Remind me, under who's watch they were signed?

We can all see who ended up paying them off

That's a good point chap. Although it could be argued we've replaced them with just as bad.

Hobbs - Hef
Vaughan - Bridcutt
Manc - Benny
Traore - Bong
Perquis - Wague
Vlad - Steel
Lam - Geddy

[ozzyten10]

The big loss from previous year 20m+ will be a right fly in the ointment for next two years - bye cash and Worrall!