Kieran Maguire surprised by 'strange' West Ham financial development
Commercial and matchday income is limited at West Ham because of the constraints of the London Stadium.
That is according to finance guru and Football Insider columnist Kieran Maguire, speaking exclusively after West Ham announced the renewal of their deal with Heineken on Monday.
The “multi-year extension” means the Dutch brewing company will continue to provide refreshments at the London Stadium.
Heineken will also continue to use their platform to advertise at the stadium and across the club’s digital channels.
As per their last set of financial results, West Ham made £25.9million from commercial activities and £22.5m in matchday income in 2019-20.
But Maguire explains that West Ham’s rental agreement at the London Stadium stops them from pushing those figures further.
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He told Football Insider correspondent Adam Williams: “Brewers are always keen to get pouring rights, there’s no doubt about that.
“You’ve got a captive audience and relatively high prices. So these arrangements are good from West Ham’s point of view. They are not so brilliant for those who like a proper drink.
“Non-ticketing matchday income can be significant but West Ham are limited because the lease arrangement restricts them to those 25 or 30 days a year the stadium is in use.
“It’s strange in that they’ve inherited someone else’s planning. It’s in contrast to what’s happening at Spurs, everything at their stadium is geared towards emptying your wallet.”
The Hammers made an aggregated loss of £65m for the 2020 financial year.
The club attributed £44.9m of that figure to the impact of the pandemic.