Chelsea have posted a shock pre-tax profit of £128.4 million for the 2023/24 financial year, clawing back a troubling three years of losses. The numbers were provided in the club’s official statement, and they mark a radical change in financial strategy from last season. The Blues are clearly moving towards financial sustainability under the Boehly-Clearlake administration.
The London giants highlighted a sharp rise in profits from player sales as one of the main reasons for the dramatic turnaround. Big names left the club as some early moves in the summer transfer window helped mitigate the loss of European football.
Commercial income, meanwhile, climbed to £225.3 million. The numbers were helped by bigger loan fees, higher merchandise sales. and improved stadium tour activity. This is despite a £40 million gap after the season began without a main front-of-shirt sponsor. Matchday revenue also rose to £80.1 million, with average attendances at Stamford Bridge remaining above the 40,000 mark.
Chelsea’s restructuring of its women’s team was cited among areas of the club’s overall repositioning. The club statement explained “the new approach” for Chelsea Football Club Women Ltd:
This new approach will ensure CFCW has dedicated resources, management, and commercial leadership solely focused on the growth and success of the women’s team.
Although total revenue fell to £468.5 million, it was lower operating costs and domestic cup success that helped balance the losses. Their sixth-place Premier League finish, combined with deep runs in the FA Cup and League Cup, added only a small extra boost to broadcast revenue.
Chelsea have now confirmed that the club remain within the required financial thresholds for profitability and sustainability regulations ahead of the summer window.
Borson Warns Chelsea Must Sell Big This Summer to Avoid PSR Trouble
Former Manchester City advisor Stefan Borson has warned Chelsea that they will have to make “significant” player sales this summer to stay in line with PSR. The Blues have made a profit last season, but Borson believes they remain under pressure to keep selling players.
He said to Football Insider:
Chelsea are involved in some radical financial performance as they look to build the business going forward and get themselves back in the Champions League…
We know that the three-year rolling PSR test in the Premier League continues next season, so the chances are they’ve got to find some very big sales again.
The Blues have already sold Cesare Casadei in January and profited from a number of loan deals. However, Borson believes more high-value exits are unavoidable if the club wants to avoid breaching Financial Fair Play regulations.