Leeds United slash losses by 91 per cent with cost-cutting and Ross McCormack's sale

Massimo Cellino insists that Leeds United are on a stable financial footing 'for the first time in many years' after the club's latest accounts revealed overall losses have fallen from almost £23m to £2m.

In a statement outlining the headline results of accounts that are due to be published in full next month, Leeds revealed a huge reduction in losses of 91 per cent – a significant improvement on the previous year.

The statistics were recorded despite a slight fall in revenue, with the figures helped by cuts to operating costs at Elland Road and money earned from the sale of players, including Ross McCormack’s £11m transfer to Fulham in July 2014.

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United chairman Cellino said: “The accounts illustrate the commitment that has been made to resolve the financial issues which have surrounded Leeds United Football Club.

“The club is now on a stable financial footing for the first time in many years.

“I would like to thank the senior management team and all of our employees for their hard work and effort during this difficult period to help achieve these improvements in the business performance of the club.

“We are confident that we can continue to make further improvements in the years ahead.

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“We hope that we can now finally begin to focus and invest the club’s income, generated through our supporters and sponsors, into improving the quality of the playing squad and performances on the pitch.”

Figures revealed that club turnover was slightly down from £25.3m to £24.4m, with United’s wage bill for players and coaching staff in 2014-15 – when they employed three different head coaches in David Hockaday, Darko Milanic and Neil Redfearn – standing at £17.4m, almost three-quarters of their turnover.

The statement said “investment in the first-team playing squad” was £6.1m, up from £2.3m in the 12 months before the end of June 2014.

United’s statement also went on to reveal that Eleonora Immobiliare SPA – the Italian parent company of the UK firm Eleonora Sport Ltd, which Cellino used to purchase Leeds – had injected a total of £42.96m into the Championship outfit.

It further states that Eleonora Sport Limited (ESL) converted £6.5m of debt into shares during the 2014-15 period.

The statement does not refer to former owners GFH Capital or any debts owed to them.