Kieran Maguire analyses official £140m Newcastle United reveal – ‘This explains a lot’
The fact that Newcastle United would have made a profit in 2020-21 had it not been for Covid “explains a lot” about former owner Mike Ashley’s business model.
That is the view of finance guru Kieran Maguire, speaking exclusively to Football Insider after the Magpies released their annual report via Companies House on Monday (16 May).
The accounting period covered the year ending 30 June 2021, four months after Ashley sold the club to a consortium led by the Saudi Public Investment Fund for £305million.
Revenue for the year was down by £13m to £140m, while the overall loss stood at £16m.
Newcastle’s analysis also chalks up £40m in lost income to Covid-related factors, such as the elimination of matchday income and commercial blockages.
Maguire claims that the results are emblematic of Ashley’s ownership style over his 14-year premiership.
“I think their position is where you’d expect it to be,” he told Football Insider’s Adam Williams.
“You can’t really compare these to previous seasons because Newcastle had an 11-month accounting period in 2021 and a 13-month period in 2020.
“If we had not had Covid, the club would have made a profit. If we look at the total reign of Mike Ashley from 2008 onwards, the club made a profit overall during his period of ownership.
“Given that he oversaw two relegations and Covid, this explains a lot in terms of where his priorities lied.”
Newcastle recently named Majed Al Sorour as the fourth member of their board of directors.
The Saudi native sits alongside countryman Yasir Al-Rumayyan as well as Jamie Reuben and Amanda Staveley.
In other news, pundit suggests Newcastle United could seal deal for Martin Dubravka upgrade after journalist’s talks update