A comparison between Championship clubs’ most recent sets of accounts gives an insight into where they get their money from.
Football finance expert Kieran Maguire, who is a lecturer at the University of Liverpool, has looked at how much clubs in the top two tiers earn from broadcast and matchday revenue for each £1 of wages paid.
Nottingham Forest’s accounts for 2018/19 revealed a wage bill of £36m, with the club highlighting “increased player wages” as a key contributor behind their £25m loss.
Maguire’s figures show the Reds earn £0.25 per £1 of wages from Championship broadcast money.
And their matchday income per £1 of wages stands at £0.20.
According to Maguire, the TV deal for the second tier covers a combined 50 percent of the clubs’ wage bill, and that goes down to 28 percent if parachute payments are subtracted from those teams who have been relegated from the Premier League.
There is a considerable differential between second tier sides when comparing broadcast income per £1 of wages. Leeds made the least, with £0.17, while Hull City made the most at £1.61.
In terms of matchday income per £1 of wages, the figures range from Stoke City’s £0.11 and the £0.36 of Sheffield United - who are now in the Premier League.
Forest recorded an 11 percent increase in turnover in 2018-19, going from £22.7m to £25.3m
Revenue from sponsorship and advertising was up considerably, to £1.7m from £637,000; catering went from £962,000 to £1.2m and income from TV and radio from £597,000 to £805,000.
Ticketing also saw a rise from £6.9m in 2018 to £7.2m in the latest set of accounts, as Forest enjoyed bumper attendances, while income from retail went from £2.4m to £2.6m.
