A reminder that this was the second Season in the Championship and the year started withThe Boardhiking up the Season tickets. The Season started well until the alleged ‘gun incident’ in August and was then followed by the Board Room coup. Mark Devlin was made redundant. Gianni Paladini took control and immediately bought Richard Langley and Steve Lomas. Ian Holloway went on gardening leave and Gary Waddock took over.
The accounts show a loss of ¬£3,344,000 for the year. This is blamed by the Board on an increase in players salaries and player support costs. They also admit that the team had a disappointing end to the Season.
Losses before tax were ¬£2,358,000 (2005 – ¬£1,812,000)
Turnover increased from the previous year to ¬£9,292,000 (2005 – ¬£8,756,000) This was mainly due to increased match day receipts of ¬£5,350,000 (2005 – ¬£4,943,000) Sponsorship and commercial activities were up to ¬£2,320,000 (2005 – ¬£2,055,000)
Administrative expenses increased to ¬£3,471,000 (2005 – ¬£3,096,000) This all meant that the total costs increased by approximately ¬£1.2m
The debtors include ¬£2,613,000 owed for taxation and social security. The auditors report that the Board are seeking to refinance the ABC loan and also a way to pay the Inland Revenue.
Net assets at the end of the year were ¬£897,000 (2005 – ¬£1,507,000).
Average attendances were down
The major Shareholdings are shown as:
Franco Zanotti 19.9%
Gianni Paladini was paid ¬£75,000 for his consultancy services and an un-named Director was also paid ¬£30,000
Staff numbers increased by one and were up to 82. Wages also increased by approximately ¬£600,000.
The freehold of the Ground is valued at ¬£19.2m (2005 -¬£17.3m) The Company has now been loaned ¬£13.5m (2005 – ¬£10.9m) There are now six different Director’s loans and two other loans, all at interest rate of around 7.5% or repayable in shares.
Post balance sheet events show that Dan Shittu was sold for an initial ¬£1.6m, Dexter Blackstock was bought for ¬£500,000 and Zesh Rehman for ¬£250,000. There is no mention of the other player bought in at the time, Nick Ward.
The retained losses (profit and loss account) are now ¬£20,706,000 (2005 – ¬£17,805.000)