The 2009 Accounts - a review

[NewCrossHoop]

Cheers for the explanation,

SO where did the figure of 5mil that Pete has been bandying around come from?

[W12_Ranger]

Cheers for the explanation,

SO where did the figure of 5mil that Pete has been bandying around come from?

Its the Net Loss AFTER £15 million was pumped into the club through share issues + loans.

[vblockranger]

spinning for his m8........

[qprdad]

spinning for his m8........

To be fair, he asked his question because he didn't understand. It is a common mistake to get the net assets / Liabilities.....net profits / (losses) back to front.

[w3r]

A very very good thread QPRdad. Nice one.

[qprdad]

A very very good thread QPRdad. Nice one.

Why thank you very much kind Sir...... the 1st post of mine to ever get to 3 pages.... my moment of fame!

[Macca69]

There's an old saying that profit is a matter of opinion but cash is a matter of fact.

From what I can see in the year to 31/05/09 we lost £12m cash from operations, spend £2m on interest, £3m on players (intangible assets) and £3m on fixed assets (chanedliers , big screen, etc). Total outflow of £20m. The owners pumped in £15m in the year given a net cash outflow of £5m.

Add this to the £20m debt at the start of the year we are up to cumulative debt of £25m.

After the balance sheet date the owners pumped in another £5m through a share issue possibly to cover the above £5m outflow. They also put in £10m in new share capital in the previous year bring the total new share capital since they took over of £30m.

If you add to this the £10m Amulya loan (which I think replaced the ABC loan), the £8.6m from Sarita capital (FBs company?) and another £6m of debt financing after the balance sheet date you get a grand total investment of around £55m since the takeover so from where I am sitting we have a lot of reasons to thank them all, including FB.

One thing that I can't figure out is how come the subsidiary company has a turnover of £20m but the Group turnover is only £15m -QPRdad any idea?

[jonno]

Right then. Given that we've now finally got a consensus on what these figures actually show, does anyone still think that Paladini has been/is doing a good job, and should not be sacked immediately? No doubt his few remaining supporters are desperately trying to think up ways to "spin" this information to blame someone other than Paladini, but the man is bang to rights.
I have now written to the (proper) Chairman, expressing my concern at the ineptness that has caused these losses, and demanding that the man concerned in causing them, Paladini, be removed from his post and any involvement in the Club with immediate effect. I am a shareholder as well as a supporter and I know others have also written similar letters. Even though Paladini has now been moved from his "Sporting Director" position, the fact that he remains with an involvement with the Club will inevitably mean a clash with the incumbent manager sooner rather than later, resulting in another "Sousa" scenario and another manager will possibly walk away, and I have made these feelings clear in my letter. I have also stated that I am not prepared to invest in a season ticket next season unless Paladini is removed.
I suggest others of a similar opinion to mine do the same thing.

[vblockranger]

i agree..paladini should have no influence at all at our club. Made a complete balls up and now fades into the background hoping he is forgotten about only to reappear to fill his pockets when he feels time is right. Sack him and be done with it then let the new regime start afresh.

[qblockpete]

I seem to remember Paulo said he was more popular with fans after the Southampton game than Flavio, sure someone posted it up.

Reckon that was that was start of his demise. Shame too many living in the past and not moving on with the future

As for not getting a season ticket, if you cannot buy one when clearly Warnock is responsible for all players coming in and things are on the up, then I don't know when you can.

Shame the spinners, cannot just look at things at openly

[qprdad]

One thing that I can't figure out is how come the subsidiary company has a turnover of £20m but the Group turnover is only £15m -QPRdad any idea?

The subsidiary's sole income is £20,000 of management fees, paid by Holdings. so, included in cost of sales of Holdings, is an expense of £20m paid to fund the expenses in the subsidiary.

When you add the two together to consolidate the figures the plus on one side and the minus on the other side cancel out - hope this makes sense.

For this reason, I've only summarised Holdings, otherwise it can get a bit confusing. So, just to recap, all of the subsidiary income / expenses are included within the Holding company figures.

[Macca69]

The subsidiary's sole income is £20,000 of management fees, paid by Holdings. so, included in cost of sales of Holdings, is an expense of £20m paid to fund the expenses in the subsidiary.

When you add the two together to consolidate the figures the plus on one side and the minus on the other side cancel out - hope this makes sense.

For this reason, I've only summarised Holdings, otherwise it can get a bit confusing. So, just to recap, all of the subsidiary income / expenses are included within the Holding company figures.

Thanks QPRdad, so it's not real sales in the subsidiary more a case of left pocket, right pocket as I've heard people say.

[PeterG]

"Shame the spinners, cannot just look at things at openly"

Not sure who the spinners are in this comment but I would say that calling others spinners is a bit pot and kettle

I like the idea of moving forward, this certainly has the feel of a proper new era with Amit and Warnock but if there is blame to be apportioned for previous failures you cant expect people to just conveniently forget that and wipe the slate clean, life seldom works like that

[qblockpete]

Peteg, trouble is we have been running at a loss, for years and years, suddenly its all hyped up, we even went into administration over it.

We have The Mittals, Bernie and even Flavio, so I am not unduly concerned. You have to speculate to accumulate and I suspect we will have funds for players in the summer, so if the owners are not concerned, not sure we should be or blaming it on one person. Thats the problem I have and its clearly not true.

As for the next 12 months, lets hope we start winning football matches, that really is my number 1 concern.

[PeterG]

I am all too aware that we have consistently run at a loss, but those losses have accelerated despite the improved sponsorship 50% increase on ticket prices, lessons must be learned and changes implemented.