Arsenal Holdings Doubled Profits During 2012 Fiscal Year
Arsenal Holdings Plc doubled its profits during the '12 fiscal year after the EPL club sold captain Cesc Fabregas and winger Samir Nasri, according to Tariq Panja of BLOOMBERG. The team revealed that net income rose to £29.6M ($48M), or £475 ($770.3) a share, in the year ended May 31, from £12.6M, or £203 the previous fiscal year. Revenue dropped to £243M ($394M) as the team "finished the conversion of its former Highbury stadium into apartments." Arsenal generated £153.6M ($249.1M) in cash through the sale of players, including Fabregas to FC Barcelona and Nasri to Manchester City. The 13-time English champion is preparing for new European financial rules that will "require teams to keep spending in line with sales." CEO Ivan Gazidis said, "Clubs, fans and other stakeholders in the game are demanding a more rational financial approach and this reinforces our conviction that our club is strongly placed to succeed over the long term." The cash was boosted by renewals from season ticket holders, "who had until the end of May to pay for their seats." The club "can expect higher revenue" from sponsorship starting in '15 when its current contracts with jersey manufacturer Nike and top sponsor Emirates are up for renewal (BLOOMBERG, 9/27).