Aberdeen have posted another operating loss in excess of £5million. Chairman Dave Cormack insists it has to be done to be able to compete with the likes of Hearts and Hibs.
The Dons’ financial figures for the year ended June 30 saw them record an operating loss of £5.29m, which Cormack and his fellow directors are covering. Turnover is up £2.79m to £13.86m but wages are also up to £10.23m, which is about 74 per cent of the turnover. Aberdeen ’s accounts next year should be boosted by the sales of stars like Calvin Ramsay to Liverpool and Lewis Ferguson to Bologna.
Chairman Cormack said: “The club’s wages to turnover ratio is still high at 74 per cent because we have continued to invest in the first team. We are now spending around 80 per cent more on our guaranteed player wage bill compared to five years ago. But this ensures we remain competitive with other clubs, such as Hibs and Hearts, who are also making significant investments.
To balance the books, we are developing and acquiring talent which, at the right time, we can monetise through player sales, as we did this summer with the sale of Lewis Ferguson to Bologna in August and Calvin Ramsay to Liverpool in July.”
Hearts had the added bonus of playing group stage European football, which brought millions into their coffers. It came at a time when Aberdeen missed out on Europe for the first time after eight seasons.
Cormack decided to end Stephen Glass’ reign but failed to get an immediate bounce from Jim Goodwin and the Dons disappointingly finished in the bottom six. It saw Cormack sanction a summer rebuild that saw the club spend big on the likes of Bojan Miovski and Ylber Ramadani.
Goodwin revamped his squad and it has had an obvious effect as his side have gone into the World Cup break sitting third. Cormack said: “Ending the season in a very disappointing 10th place in the league, it was clear that a significant overhaul of the playing squad was needed.
“As a result, in this summer’s transfer window 10 first-team players left the club with 11 coming in. This rebuild was largely made possible by experienced EPL scout, Darren Mowbray, who was appointed head of recruitment in August 2021.
“As a result of the significant recruitment work done in advance of the summer transfer window opening, right across Europe, by Darren and his team, working hand in hand with our director of football, Steven Gunn, and Jim Goodwin, the club got most of its summer transfer business done early.”
The Aberdeen first team is currently Stateside at a training camp in partnership with partner club Atlanta United. The Dons beat an Atlanta XI earlier this week and then had a fan event after it as the Red Army mobilised in Georgia.
Goodwin, speaking on RedTV, said: “We knew the fans were a little bit mental at times but we weren’t expecting this turnout in Atlanta.
“It has been a great week so far. We have had great use of Atlanta United’s facilities and that partnership is something the club is really working hard on to develop.
“Covid put a bit of a stop to that. But it has been a hugely influential trip up to now and the fact we are able to give the Aberdeen supporters based in America not only only to see the team but also to spend time at the fan event, mingle, with the fans. It is also good for the players and staff and everybody.”
READ NEXT:
