Leeds United still owe £190 million for Andrea Radrizzani era transfers as annual accounts details revealed

Unlike last season's Premier League rivals Everton, Nottingham Forest and Leicester City, Leeds' 22/23 accounts do not indicate the club spent beyond its means to the extent that Profitability and Sustainability Rules were contravened, which should allay any concerns held by supporters that the club could incur consequences in the form of fines or points deductions for financial breaches. Leeds' operating loss during the period June 2022 to June 2023 did amount to £106 million, although much of that was offset by player sales in the region of £86 million, which included the transfers of Kalvin Phillips and Raphinha to Manchester City and Barcelona, respectively.

Leeds' managerial compensation and redundancy payments to employees no longer working at the club came close to £10 million, which accounts for parting company with Jesse Marsch, Javi Gracia and Victor Orta during the 2022/23 campaign. Meanwhile, wages rose by 20 per cent on the previous season to £146 million.

In terms of the club's incomings, gate receipts rose by approximately £5 million to reach just shy of £30 million for the season, although merchandising and commercial revenue stayed relatively flat on the year prior at £43 million, which remains one of the highest figures for clubs outside the 'Big Six'. The club's participation in the Premier League, and the need to be promoted once again this season, was highlighted by the £111.5 million received from the league's central distributions which all clubs receive for competing in the top flight, in addition to broadcast revenue which was slightly down on 21/22.

Leeds' amortisation costs rose considerably to £81 million due to a throng of expensive signings although the largest concern in United's latest set of accounts are cashflow related, however new owners 49ers Enterprises do possess the capital to mitigate this particular concern. Additionally, Leeds should be able to cope financially if the club are promoted back to the Premier League in 2023/24, though, as top flight membership guarantees an annual nine-figure chunk of income.

Strikingly, Leeds do owe £190 million in transfer instalments on player purchases, £73.6 million of which is due before year end June 2024. This perhaps highlights the difficult circumstances under which Leeds operated during the summer transfer window as much of the squad that was relegated, had essentially been assembled on finance, therefore making expenditure having dropped down to the Championship rather tricky in order to remain within the PSR threshold further down the line.