FA Record ‘Underlying’ Profit for 2014/15 Despite £10m ‘Restructuring’ Costs

The Football Association (FA) has announced a profit after tax of £3m in its latest set of financial results for the year ending 31 July 2015.

The FA also revealed it made a record investment of £117 million into the sport during the year, up from £115m in 2013-14.

The organisation record a turnover of £318m in the 2014-15 season, down from £332m in 2013-14. The FA put the decrease down to 2015 being a non-tournament year for the men’s senior team, with no associated tournament income being received, along with fewer international matches in the lead up to the summer period.

They also cited the absence of a title sponsor for the 2014/15 FA Cup as another factor. The FA quickly moved to rectify that for this season after announcing a new three-year contract with Emirates who have become the lead partner of The FA Cup until 2018.

The 2014/15 season was also the first year of BT Sport and BBC as broadcast partners for The FA Cup, contributing to an increase in the Group’s broadcasting revenues, to £124m, up from £111m in 2013-14.

The FA said broadcasting income remains it’s largest revenue stream and both domestic and international broadcasting rights have been sold through to July 2018 for England fixtures and The FA Cup.

The group’s results also included details of a one-off hit of £10m for restructuring and reorganisation costs. According to the FA, “the one-off reorganisation costs will realise ongoing savings for the Group, which will be reinvested in a combination of new facilities, coaching and further supporting England teams”.

After the financial year end, the Group completed the refinancing of its debts, which were mainly used to finance the construction of Wembley Stadium.

Chairman of the Finance Committee, Roger Devlin, said: “The FA’s financial position is extremely strong, allowing us to increase our investments in the game to record levels which will be evidenced in the years to come, particular in grassroots facilities and coach education.

“The future outlook is positive as a result of cost reductions achieved through the restructuring and the debt refinancing which has realised a total of £30m of future annual savings. This is reflected in our improved cash position, lower running costs and the prospect of enhanced future revenues.”

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