Club Financial Statements

[Prodigal Dragon]

Originally Posted by Haruki

I think the club would be delighted if there was a lower attendance questioning this poor financial performance.

Hence why it would be both better and safer for the AGM to be delayed to a later date.

The Board should be congratulated on where they have done well, but also held to account for their disastrous handling of manager recruitment, which has led to our precarious league position, with the knock-on effect of worsening our finances.

But who do we hold to account, and how? The current organizational set-up makes it almost impossible.

[Wrexham's Patrick Bateman]

The current set up is flawed we've gone down a cul de sac. For any system to say this is as good as it gets is unhinged.
A system that says it can't be wrong, no matter how low it takes the club. and still insists theirs is the best and only way.

I wonder, how far they really envisage taking this club. In an upwards direction that is.

[Wreck Sam]

Originally Posted by Wrexham's Patrick Bateman

The current set up is flawed we've gone down a cul de sac. For any system to say this is as good as it gets is unhinged.
A system that says it can't be wrong, no matter how low it takes the club. and still insists theirs is the best and only way.

I wonder, how far they really envisage taking this club. In an upwards direction that is.

Going lower will suit our setup. Stability will be found at a level where the leadership will not look so far out of their depth. The current setup will not support returning league status. Preserving power at a lower level will be acceptable to the leadership.

[Wrexham's Patrick Bateman]

Originally Posted by Wreck Sam

Going lower will suit our setup. Stability will be found at a level where the leadership will not look so far out of their depth. The current setup will not support returning league status. Preserving power at a lower level will be acceptable to the leadership.

That's the way it looks.. We actually hit rock bottom of the National League... And not a whimper from the Pollit Bureau

[GiggityGiggityGiggityGoo]

A rumour going around that a Premier League shareholder has said privately there won't be any more football this year.

The club need to be preparing for the worst.

[paddockgraham]

There will be no more football this season and probably next season will have to be delayed also, we are in a major pandemic, many will not come out the other side, more to life than football, good luck everyone (apart from Foxy).

[ruthinred]

Originally Posted by paddockgraham

There will be no more football this season and probably next season will have to be delayed also, we are in a major pandemic, many will not come out the other side, more to life than football, good luck everyone (apart from Foxy).

That's not very nice

[The Only Way Is Up]

Originally Posted by krux

I dont think its been posted elsewhere, but the club and WST accounts for 2019 are up on the club site

https://www.wrexhamafc.co.uk/news/cl...30th-june-2019

Accounts look reasonable (£755k profit) on the back of the Danny Ward money.

The concern is that this appears to be £1.5m, so we have blown a large chunk of it.

Most notably football costs increased by £300k, presumably on last seasons promotion push.

A thing that I thought was odd was that WST didn't appear to have any cash...

Neither of these two sets of accounts include the WST's accounts, nor the amount of cash held by the Trust.

They are
1. for WAFC Ltd., and
2. for WST Assets Ltd. WST Assets Ltd is a separate company set up 3 years ago.

It protects the Racecourse Ground as a separate asset instead of it being a part of the WAFC business or the WST either. Other assets will be added to it, such as the lease on the training ground, for example.

The WAFC AGM that will be held on 25th March (subject to there being no changes as a result of Covid-19 precautions) doesn't involve the WST financial results for the last financial year, and those haven't been published yet.

Financial Reports are notoriously difficult for non-accountants to read and understand. That isn't to hide anything from Joe Public but to take advantage of complex tax rules for example.

There's a couple of paragraphs in the WAFC Financial Report (i.e. Accounts) that state:
Although we have reflected the full transfer fee in our accounts it is noticeable from our balance sheet that debtors have increased by £900,000 as only 50% income was received during the current season. The operating profit shown in the accounts resulted in a tax liability of £46,561 after taking account of historical tax losses that had accumulated since 2011. Due to the forecasted loss for the current financial year it is anticipated that this tax charge will be reversed in the following financial year as losses can be carried back profits for the earlier 12-month period.

Roughly translated, it means that while the full transfer fees are shown in the accounts, the WAFC balance sheet shows that 50% of the fees had not then been received. The reason is that WAFC will be able to claim back the tax on the profit from next year's accounts as the club will have made a loss in the current trading year. If it was done differently, that tax payment would never be recovered by the club - and there's no point in paying more tax than is absolutely necessary.

Neither of the two sets of accounts reflects the WST's financial situation, and for information about that we must wait until the WST's own accounts are produced (probably around June 2020) prior to its own AGM.

Both the WAFC Ltd and the WST Assets Ltd Accounts are for their financial years which ended on 30th June 2019.

The WST accounts, when produced, will be for its financial year which ended on 31st December 2019, and will state the amount of cash held by the Trust at that date.

[krux]

Thanks "WST Assets Ltd" is not WST.

Hadn't realised that.