February 20, 2024

Everton now stand 30th in the Deloitte Money League following a challenging 12 months

Everton have dropped 11 places in the annual Deloitte Money League after seeing revenue decline for the 2022/23 financial year.

The Toffees have not yet published their accounts for the year ending June 2023, but an early hint as to what to expect in terms of revenue has been given through the publishing of the Deloitte report.

Having ranked 19th on the list with £181 million in revenue the previous year, Brighton & Hove Albion, Newcastle United, Aston Villa, and Wolverhampton Wanderers were among the teams that effected this drop. The 2024 Money League report, which covers the financial year up to the end of 2023, indicates that Everton has experienced a decline of slightly over 6%, with the club expected to generate revenues of £169.4 million.

That drop has Everton down in 30th on the list, behind the likes of Fulham, Leeds United and Crystal Palace, with the club posting the 14th highest revenue among Premier League clubs.

Club sources said that the official financial data are probably in the right range, even though they haven’t been released to the public yet and the study just looks at revenue without accounting for running costs.

The club’s revenue from agreements with companies like USM, Yota, and MegaFon—deals that were put on hold indefinitely due to sanctions imposed in the wake of Russia’s military invasion of Ukraine in January 2022—was still included in the previous edition of the Money League, for 2021/22. Among those sanctioned by the UK Government was USM chief Alisher Usmanov, a close friend and business partner of Farhad Moshiri, the owner of Toffees.

Those deals were suspended immediately, with that suspension remaining in effect until the deals ended. A significant amount of the funds from those deals were able to be factored into the 2023 Money League report, but given those deals were suspended, the inventory has not yet been available to be resold, such as the naming rights for Finch Farm, meaning the club has missed out potential income.

The 2024 report includes the sale of Anthony Gordon to Newcastle for a guaranteed sum of £40m, a fee that can be booked as pure profit straightaway due to him being an academy graduate of the Toffees. The previous 2023 report included the £50m sale of Richarlison to Tottenham Hotspur, where the club booked profit over and above his remaining book value of around £35m when including the slice his former club Watford were also entitled to.

Everton has been successful in securing better deals for some of its inventory, such as the record front-of-shirt sponsorship by Stake.com, but their inability to produce impressive results from their portion of the Premier League’s merit payments has been hampered by their two consecutive seasons of poor play. The difference between the 2023 merit payments and those obtained in 2021, when the club ended in 10th place, is around £10 million. The club made £2 million less from that in 2023 than they did in 2022.

Everton have been beset with financial issues in recent years, including the 10-point deduction handed down in November for breaching Premier League profit and sustainability regulations (PSR) following an independent commission hearing. Earlier this month the club was landed with a fresh charge relating to the most recent 2022/23 financial period and has once again been referred to an independent commission. The club has an active appeal concerning the 10-point deduction.

 

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