The Ospreys have shown losses of £243,546 in their latest accounts, for the year ending 2019, down from £2.706m for the previous year. Robert Rees brings you the latest from the club’s accounts.
Financial lowdown
Operating loss: £243,546 (YE18:£2.706m)
Lease fees: £6,027,088
Turnover: £10,957,585 (YE18:£8.586m)
The region has also disposed of its 100% shareholding of Bridgend Ravens in the past year.
There has also been a debt write-off.
“During the prior period, the company restructured its financial instruments. The company’s parent company agreed to write off £4,934,000 of inter-company indebtedness. The company also provided against £277,596 of related party loans…..During the current year the company wrote off a further £!43,711 of elated party balances,” read the accounts.
Amounts due to creditors still amount to over £3.2m.
Chairman’s report
Ospreys Chairman Rob Davies stated that it was a “reasonably stable year financially.” This follows the region being the only Welsh representative to make the Heineken Champions Cup.
With the current season in limbo due to the Covid-19 pandemic the players have taken wage cuts and find themselves on furlough. This season wasn’t a strong one to date with only three games won to date, and a devastating loss at home to the Southern Kings.
Head coach Allen Clarke left his post earlier in the season and Mike Ruddock has taken his place.
“The impact of the 2019 World Cup at the beginning of the season in combination with a long injury list to key players has made it difficult to regain momentum and be as competitive as we would all wish so far this season.
“We all understand that ultimately, future performance on the pitch is critical to the success of the club.
“There continues to be major challenges, both organisationally and financially, throughout the world of professional rugby and Covid-19 has certainly added to those challenges.
“But as society generally and rugby authorities in particular start to plan a way back towards “normality” over the months ahead, we believe that the Ospreys are well placed to be a strong and sustainable club with an exciting future.”
“Main photo credit”
