Chelsea have reduced their annual losses by £60 million but still recorded a pre-tax loss of £80.2 million – the third-largest in the history of English football.
However, the club sees the figure as a cause for optimism given that the losses are £60m down on the £140m deficit recorded in 2004-05 and are the lowest in three years recorded under Russian owner Roman Abramovich.
“These figures demonstrate the business is moving in the right direction,” said Chelsea chief executive Peter Kenyon.
“That positive trend will only continue as, for example, this year end does not take into account the benefits of our adidas deal.
“Last year we took some painful decisions in order to help us achieve our long-term business aims. This year’s figures prove that was the correct decision.
“With increasing sponsorship income, television revenue, and ongoing success on the field, those positive trends are projected to continue.”
Abramovich has now spent in the region of £500m at the London club, with the total spending on transfers since Abramovich took standing at more than £375m, with £175m spent in 2003-04 and £101m in 2004-05.
The bulk of the new income comes from shirt sponsorship with Samsung and next year’s accounts will show the benefits of the £13m-a-year kit deal with adidas.
Asked if the figures were a sign of success on the financial front, the club’s director of public affairs Simon Greenberg told BBC Radio 4: “No, I do not think it is success. It is moving in the right direction, reducing losses and increasing major income streams.
“Our turnover was up and football activities increased income by 6.6%.
“We are not spending as much as we used to do on wages and they are more manageable – they are down by 2%.
“We think that has become more stable and as revenues grow the business will become more successful.”