Bristol City have announced a pre-tax loss of £22.2m for the 2022/23 season - down from £28.5m the year before. Despite this reduction in losses chief operating officer Tom Rawcliffe says there is still "work to do" to bring the significant sum down further, following the announcement of the club's financial results on Saturday afternoon (December 23).
The reduction in loss occurred despite lengthening the reporting period by one month, a decision which was taken to better align with the financial reporting dates adhered to by the English Football League and the wider Bristol Sport group. In a statement, Bristol City indicated that the transfer market showed "clear signs of returning to its pre-Covid levels" and the sale of Antoine Semenyo to Bournemouth was the primary factor in the profit on disposal of players' contracts rising to £9.5m.
Alex Scott was sold for a significant sum of money to the same club but as that transfer happened in August this year it does not fall into the figures for the 2022/23 season. Total revenue earned from ticketing amounted to £6.3m as the 2022/23 season saw an increase in average league attendances to 20,573.
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In addition to the rising league attendances, the total ticketing income was boosted by a sell-out tie in the FA Cup Fifth Round against Manchester City. Staffing costs increased due to a like-for-like rise in the playing budget, and the enhanced number of non-matchday events resulted in greater levels of permanent and casual staff being required.
City's finance director and chief operating officer Tom Rawcliffe said: "A loss of £22.2m is not insignificant but it does continue our recent trend of reducing losses each season. A recovering transfer market is a cause for optimism and the strong and growing levels of support we receive from our loyal fanbase is something we remain ever thankful for."
"Despite the upturn in financial performance, there is still a large amount of work to do to reduce the levels of losses we incur. On a positive note, we have worked closely with the EFL over the course of both the 21/22 and 22/23 seasons and we are no longer in a position where the threat of EFL sanctions for failing to comply with financial regulations is a realistic proposition."
During the year 22,500,000 ordinary shares were allotted for an aggregate consideration of £22,500,000 by way of a debt-to-equity swap, which is reflected in the Bristol City Football Club Limited accounts.
Rawcliffe added: "The financial support provided by the Lansdown family is substantial and vital to our ability to compete both on and off the pitch. We are extremely grateful for their ownership and continued backing."
