Latest Aston Villa news as the Villans' accounting deadline is fast approaching, with June 30 the end of the financial year
Aston Villa players celebrate after a goal is scored
Aston Villa will be deealing with FFP again this summer(Image: Nigel French/PA Wire)
Aston Villa's financial situation before the end of this year's Premier League accounting deadline is less intense after a remarkable Champions League campaign.
Villa generated around £70 million through the sales of Tim Iroegbunam, Omari Kellyman, and Douglas Luiz before their June 30 deadline last year in their bid to comply with Profitability and Sustainability, previously referred to as financial fair play rules.
The heartbreak of finishing outside of the top five, and with it a lack of Champions League football next season, means Villa must generate significant revenue over the next 12 months.
However, thanks to their run to the Champions League's quarter-finals, where they were knocked out at the quarter-final stage by eventual winners Paris Saint-Germain, they have felt the boost of an historic season on the balance sheet.
Our Chief Business of Football Writer, Dave Powell, offered his view on the matter, telling BirminghamLive: "The 2024/25 season was one for the ages for Villa thanks to their return to the pinnacle of European club football.
"Their run to the Champions League quarter-finals, where they were edged out over two legs by eventual winners Paris Saint-Germain, will have banked them, including matchday revenue that included six additional home games, some £90m plus. That money, allied with the near £53m profit that the club booked on the sale of Jhon Duran back in January, means that there won’t be the need for the late scramble in the markets like was seen during this week 12 months ago, where Villa, Newcastle United, Everton and Nottingham Forest were all engaged in player trading between clubs for home-grown players to generate profits that allowed them to reduce losses and remain under the PSR threshold of £105m over three years.
"Those kind of fun and games haven’t been seen this season, nor should we expect them to be. The clubs managed to create enough headroom, and all of those clubs involved in that last summer now find themselves in better financial shape, whether through competitive success, takeovers or moving to new revenue-generating stadia. In Villa’s case, there is likely to be no urgency to acquire any players in the next week, the final week of the club’s 2024/25 financial year. With the additional revenue they have likely done enough to stem any losses and remain under the threshold despite squad investment in January, but they will be conscious that the next financial year may pose some challenges."
Powell continued: "The potential problem for Villa for 2024/25 is that the break-even season of 2021/22, when they sold Jack Grealish, drops off the three-year cycle. That means the £120m and £86m losses are both still there, and that puts some pressure on 2024/25 being a strong financial year in comparison. It will be. The good news for the next year is that the £120m loss will drop off the three year cycle when 2025/26 is considered, and with that in mind, Villa will likely look to push any player sales into next year that could represent strong profit, such as Jacob Ramsey, due to the hole in the finances that will be there year-on-year due to the reduction in money from European football, with the club in the Europa League and not the Champions League.
"It’s likely to be a far quieter week for Villa than last year, but a new financial year will bring new opportunities with the club rid of the £120m loss off the cycle. They will still have to be savvy in what they do in the market, but they should be able to breathe a little easier, although not in the same way that Newcastle now can, and that makes the battle for Champions League football in 2025/26 a little tougher."
adidas Aston Villa range - how to get yours!
Aston Villa have announced that they are selling a new range of fashion items that fans are going to be clamouring to get hold of ahead of the new season - including a limited edition of the iconic adidas Samba range.
The Villa colours are displayed on the trainers and they also show off the Villa badge. You can get your pair here
You can also find an adidas DNA hoody which comes in simple Villa colours and a low key traditional adidas design. That can be bought here
The same design can be found on classic adidas track top on offer, this is the type of track top that fans love to wear - that can be bought here
The DNA range continues with a claret and blue t-shirt - found here, and on the training pants which can also be matched with any of the items - they are here
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