With all the talk surrounding Newcastle United, one key question is maybe this one…
Which clubs should fans be expecting Newcastle to compete with, particularly when it comes to the transfer market?
Idiots and our enemies want to portray Newcastle fans as expecting to compete at the moment with the likes of Man City and Liverpool when signing players.
I don’t know any NUFC supporter who thinks like that.
Two other clubs though, are surely the perfect ones to compare and contrast Newcastle United with.
Huddersfield and Brighton were promoted alongside Rafa’s team 15 months ago, so it is interesting to look at what this trio have been up to and the relevant finances.
The first thing to look at is the performance in the transfer market since promotion (figures from Transfermarkt and Sporting Intelligence).
2017/18: Net spend +£20m (£39m spent and £17m from players sold)
2017/18: Net spend -£22.7m (£23m spent and £45.7m from players sold)
Newcastle estimated total net spend/profit since promotion is £0.7m net profit
2017/18: Net spend +£46m (£51m spent and £5m from players sold)
2017/18: Net spend +£29.3m (£42.9m spent and £13.6m from players sold)
Huddersfield estimated total net spend/profit since promotion is £75.3m net spend
2017/18: Net spend +£59m (£59m spent and £0m from players sold)
2017/18: Net spend +£59.9m (£67.4m spent and £7.5m from players sold)
Brighton estimated total net spend/profit since promotion is £118.9m net spend
Then I would ask you to look at the 2017/18 Premier League Prize Money table compiled by Sporting Intelligence in May 2018:
As you can see, the respective amounts earned by the three clubs last season, from the Premier League/TV only, are:
£123m Newcastle United
Kevin Maguire lectures in football finance at Liverpool University and also has his own Price Of Football website, did a comparison of all 24 clubs who were in the Championship in 2016/17 when it came to Matchday Revenue:
The relevant figures on this occasion:
£23.4m Newcastle United
Now these are the latest figures we have, as Newcastle United’s 2017/18 accounts won’t be available until April 2019, May 2019, or whenever Mike Ashley decides to wait until releasing them.
However, for 2017/18, whilst both Brighton and Huddersfield will have improved their matchday revenue in the Premier League, they still won’t be anywhere near Newcastle’s.
At a guesstimate, I think we could put last season’s figures for matchday revenue as around £25m Newcastle, £7m Huddersfield and £14m Brighton, this being maybe on the generous side for Brighton and Huddersfield.
You can also take for granted that Newcastle United’s commercial revenue will also be far higher than the other two as well, despite everything Mike Ashley does to keep it down.
So pulling it all together:
Newcastle United pulled in around £148m from TV (£123m) and matchday (£25m) alone, then in the transfer market they have made a net profit of £0.7m since promotion.
Huddersfield have made around £109m from TV (£102m) and matchday (£7m) alone, then in the transfer market they have a net spend of £75.3m since promotion.
Brighton have made around £121m from TV (£107m) and matchday (£14m) alone, then in the transfer market they have a net spend of £118.9m since promotion.
It is always a problem when accounts figures aren’t available for the season just ended, but it beggars belief that anybody can look at the respective figures above for the three clubs, and not feel that there is something very wrong at Newcastle United.