Chelsea FC majority owners BlueCo has confirmed it has agreed a full acquisition of Chelsea FC Women Ltd.
This ultimately sees Chelsea’s pre-tax loss of £90m from the financial year ending 30 June 2024 turn into a pre-tax profit of £128.4m, according to the English football club.
A club statement said: “Chelsea FC Women has dedicated resources, management and commercial leadership solely focused on the growth and success of the women’s team.”
Releasing its financial results for 2024, Chelsea’s overall revenue stood at £468.5m, a slight decline that was attributed to the men’s team not competing in the UEFA Champions League, which brings additional revenue from sponsorship and TV rights.
However, due to finishing sixth in the Premier League last season, as well as reaching the FA Cup semi-finals, the club’s revenue from broadcasting rights increased.
The club reported that matchday revenue increased to £80.1m as average attendance maintained at 40,000. Commercial growth stood at £225.3m, driven by an increase in player loan income and sales of non-matchday activities, which includes merchandise and stadium tour sales.
Chelsea also decreased operating expenses, including matchday and non-matchday costs, profits on player sales, such as Kai Havertz, Mason Mount, and Mateo Kovacic, as well as the disposal of subsidiaries, which amounted to £198.7m.
These decreases in operating expenses led to an overall pre-tax net profit of £129.6m for the financial year.
PSR continues to make clubs wary
The sale of the Chelsea Women team is the latest effort from BlueCo and Clearlake Capital to find alternative ways to circumvent Profit & Sustainability Rules (PSR) that continue to make clubs across the English top-flight financially wary.
With Chelsea ensuring it filed a net profit and lowered losses below the three-year cap of £105m, it has remained compliant with PSR.
The London club found another alternative way to remain PSR compliant last year when the club sold two hotels nearby Stamford Bridge for £76.5m.
This meant that Chelsea’s losses for the 2022/23 financial year were cut from £166.4m to £76.5m, staying afloat of the loss cap.