Club statement
DONS ANNOUNCE LATEST RESULTS
Aberdeen Football Club plc today announced the trading results for the year ended 30 June 2013.
Pittodrie Chief Executive Duncan Fraser stated. “Scottish football continues to go through a period of change following the financial difficulties experienced by a number of clubs although the new Scottish Professional Football League structure should enable Scottish football to move ahead and prosper.
“Towards the end of last season Craig Brown announced his intention to retire from football management and was invited to join the Board of Directors, and we are delighted he chose to accept. Following a robust selection process, Derek McInnes was appointed as manager with Tony Docherty as his assistant. The decision was taken to allow a number of senior players leave the Club and replacements have been recruited in the shape of Willo Flood, Barry Robson, Gregg Wylde, Nicky Weaver, Lawrence Shankland and Calvin Zola, while Michael Hector joined on loan from Reading. Equally important was the extension of the contracts of Niall McGinn and Ryan Jack, who will be integral to the success of the team and while nobody is getting carried away, there is a real feeling of optimism among everyone connected with Aberdeen Football Club, including our magnificent supporters, that this season may provide the success that everyone is desperate to achieve.
“The overall turnover fell from £8.337 million to £7.85 million, mainly due to the decline in SPL attendances although that income drop was partly offset by a strong performance on the commercial side of the business.
“Wages increased from £5.018 million to £5.256 million following a number of changes in the structure of the workforce, and combined with our drop in turnover our wages to turnover ratio is higher than we would like at 67 per cent, compared to 60 per cent in the previous year. Indications are that this will come back into line with our 60 per cent or below expectation levels in the year ended 30 June 2014 as a result of stronger trading performance to date.”
The loss for the year after tax was slightly up on the previous year at £1.439 million (2012 – £1.365 m).
Chairman Stewart Milne added. “Achieving continuing improvement in our first team results on a more consistent basis will be the most significant factor in turning around the fortunes of AFC in the longer term.
“The Club was impacted by the decision made by Aberdeen City Council in August 2012 to vote against the development of a training facility and community sports complex at Calder Park, adjacent to the site of the proposed AFC stadium at Loirston. This unexpected decision led to the Club having to embark on an extensive search of other options within the local area and although the loss of Calder Park has affected our original concept of training facilities at the new stadium, the Club remains committed to developing the Loirston site as its preferred option. We continue to work closely with Aberdeen City Council in pursuit of a mutually acceptable outcome while also putting in place alternative plans to secure suitable off-site training facilities to meet the current and future needs of our professional and Youth Academy players.
“The earlier work relating to the Loirston stadium design remains relevant to our intentions to relocate which is why the Board continues to hold as an asset the development costs associated with Loirston to date.
“At the Annual General Meeting last year, shareholders approved the creation of a new class of Preference Shares designed to facilitate the conversion of the major shareholders’ loans into permanent long-term capital and during the year, the first £2.25 million of loans were converted into Preference Shares.
“During the year the Board re-negotiated the terms of the Club’s bank loans to remove any uncertainty caused by their being of a short term nature and these negotiations were successfully concluded in December of last year with all of the bank loans now being medium term facilities.
“Although much work has been done to date, there is plenty still to be done in the months and years ahead to ensure the future success and sustainability of Aberdeen Football Club. On behalf of the Board I can assure supporters, sponsors and everyone with an interest in the well-being of AFC that we are 100% committed to delivering long overdue success to our Club.”
This year’s Annual General Meeting will take place at Pittodrie on the evening of Monday 25th November commencing at 7 p.m.
To read the Annual Report please click here.
