Financials 17/18

[spursfan77]

On a different note, hopefully (even though he’s a gooner) Swiss ramble will have his analysis out in the next day or so.

Edit: it’s here already

 

[RichieS]

Wages to turnover at 39%?! Christ on a bike! There is room for huge growth there!

 

[Lilbaz]

Wages to turnover at 39%?! Christ on a bike! There is room for huge growth there!

Yes that's why we gave kane, son, dele etc... new contracts and have been trying to get eriksen and toby to sign. Remember these financials are up to june 2018.

 

[RichieS]

Yes that's why we gave kane, son, dele etc... new contracts and have been trying to get eriksen and toby to sign. Remember these financials are up to june 2018.

Indeed. It's also why I keep saying to anyone that will listen (including Sky Sports at the first test event) that the manifestation of the wealth created by the new stadium, in the short term at least, will be an increase in our wage "cap".

 

[Lilbaz]

Indeed. It's also why I keep saying to anyone that will listen (including Sky Sports at the first test event) that the manifestation of the wealth created by the new stadium, in the short term at least, will be an increase in our wage "cap".

We wont see a return on that till next season. This season we would probably see a drop in matchday revenue. But i would expect us to try and be competitive with wages. Obviously nowhere near the likes of utd and city though.

 

[RichieS]

We wont see a return on that till next season. This season we would probably see a drop in matchday revenue. But i would expect us to try and be competitive with wages. Obviously nowhere near the likes of utd and city though.

The way I see it, it's no longer ridiculous to believe that we might be willing and able to pay someone like Bale in the region of £15m a year. Obviously Kane would need a bump in that scenario as well.

 

[Led's Zeppelin]

We wont see a return on that till next season. This season we would probably see a drop in matchday revenue. But i would expect us to try and be competitive with wages. Obviously nowhere near the likes of utd and city though.

Don’t forget Levy’s sophisticated enough not to need to work on a purely cash-received basis and will already have factored into all his calculations the net present value of all the anticipated cash flows. But he is conservative and I expect the curve of increased expenditure to be positive but not scarily steep. If there are constraints on spending it will be from covenants in the loan documents more than anything, and though they shouldn’t be unrealistically restrictive, removing restrictive covenants is another reason to try to reduce debt as early as possible.

But overall, it should mean there’s no reason not to selectively increase wages by a fair proportion right away if they wish to, but of course there are a lot of other factors involved in that sort of decision.

I believe we will see some significantly higher wages coming very soon, for both current players (some of them anyway!) and new players.

 

[Lilbaz]

The way I see it, it's no longer ridiculous to believe that we might be willing and able to pay someone like Bale in the region of £15m a year. Obviously Kane would need a bump in that scenario as well.

Kane is on £15m a year with bonuses.

 

[hellava_tough]

Don’t forget Levy’s sophisticated enough not to need to work on a purely cash-received basis and will already have factored into all his calculations the net present value of all the anticipated cash flows. But he is conservative and I expect the curve of increased expenditure to be positive but not scarily steep. If there are constraints on spending it will be from covenants in the loan documents more than anything, and though they shouldn’t be unrealistically restrictive, removing restrictive covenants is another reason to try to reduce debt as early as possible.

But overall, it should mean there’s no reason not to selectively increase wages by a fair proportion right away if they wish to, but of course there are a lot of other factors involved in that sort of decision.

I believe we will see some significantly higher wages coming very soon, for both current players (some of them anyway!) and new players.

Like others have said, thanks LZ and Skiba for your input

It seems to be slowly coming together for our club; I mean, we're currently above Juventus now in turns of revenue!

I think fans (certainly older fans) still see us as 'mid-table' Spurs, or at least a gate-crasher to the 'big clubs'' party, so there are a few things to do to confirm our status in the 'elite' bracket of European sides:

- Make 2 or 3 £60m+ player purchases in a transfer window

- Have a number of our players on £200k a week

- Win some silverware

Btw, I'm not saying that we should spend big for the sake of it; not at all. Why waste our money?

But if we go out this summer and bring in the likes of Bale, Milinković-Savić and Timo Werner (or whoever the players would be) for a combined spend of £180m+ , then fans across Europe will be saying "Yeah, Spurs are a massive European club now".

It'll be interesting to see how things develop. Personally I'm still wary re. our transfer infrastructure, but that doesn't mean we can't live in hope!

 

[spursfan77]

Wages to turnover at 39%?! Christ on a bike! There is room for huge growth there!

I’m not sure how stringent the PL rule is but I think you can only increase your wages % by something like 7% a season. So not that much but obviously some players will leave on high wages. Eg. Llorente.

 

[Guernman]

I’m not sure how stringent the PL rule is but I think you can only increase your wages % by something like 7% a season. So not that much but obviously some players will leave on high wages. Eg. Llorente.

I guess the question is how much our turnover will be increasing with the new stadium - the 7% figure I assume refers to turnover so we could potentially increase wages significantly without falling foul of the rules?

 

[Bobbins]

SwissRamble's summaries are brilliant - actually understandable English rather than accountancy-speak, and bite-sized for us small-brainers to be able to digest easily.

 

[thebenjamin]

SwissRamble's summaries are brilliant - actually understandable English rather than accountancy-speak, and bite-sized for us small-brainers to be able to digest easily.

It is great, although I'd still like to know how much money we're going to be making, versus how much we're going to be paying off. ie are we actually going to be any better off as a club immediately, or is it austerity for another 20 years.

 

[absolute bobbins]

Kane is on £15m a year with bonuses.

Kane isn't on 290-300k a week

 

[yankspurs]

It is great, although I'd still like to know how much money we're going to be making, versus how much we're going to be paying off. ie are we actually going to be any better off as a club immediately, or is it austerity for another 20 years.

It wont be austertity for that long like it was for Woolwich. Simple inflationary reasons for that. We’re taking in much more every season witn tv money, prize money, etc. However, anyone expecting us to spend a ton in the next few years are drinking the kool aid. It’ll be sell to buy with little to no net spend and maybe even net profit for at least 3 or 4 years before we start spending much more than we sell.

 

[Lilbaz]

Kane isn't on 290-300k a week

He's on £200k a week (£10m) but can earn a further £5m in bonuses i believe.

 

[Gareth88]

Heard a rumour that we are been bought by Robert Kraft in the summer 1.5billion? Any one else heard this?

 

[Lilbaz]

Heard a rumour that we are been bought by Robert Kraft in the summer 1.5billion? Any one else heard this?

Nope. Where's this from?

Anything serious shareholders will have to be notified ala cain hoy.

 

[yankspurs]

Heard a rumour that we are been bought by Robert Kraft in the summer 1.5billion? Any one else heard this?

He has 1 true love. It’s the Patriots. He has a team in MLS and he doesnt give a shit about it.

 

[Gareth88]

Nope. Where's this from?

Anything serious shareholders will have to be notified ala cain hoy.

Apparent inside source said to be going through in the summer? Might be typical bullshit but because I dont see any rumours anywhere it may be legit