NEWCASTLE United increased their revenue by £70m, the latest accounts have revealed, with chief executive Darren Eales saying the club have "strengthened the foundations of their long-term project".
United made an after-tax loss of £11m in the 12 month period up to June 30, 2024, significantly down on £71m the year earlier.
Newcastle's turnover increased from £250m to £320m, helped significantly by their participation in the Champions League in the 2023/24 season.
The figures cover the summer transfer window in which Newcastle invested heavily on signings such as Sandro Tonali, Tino Livramento and Harvey Barnes.
A club statement says: "This strong financial performance reflects continued progress on and off the pitch during the financial year, including a return to the UEFA Champions League.
"These figures represent a substantial improvement on the previous two financial years, which had been characterised by significant investment into the squad.
"The improved result was driven mainly by revenue growth from Newcastle United's participation in the Champions League and profits from transfer dealings in line with Premier League profit and sustainability rules (PSR)."
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The statement continued: "Since the end of the accounting period, the ownership group led by PIF has continued to invest capital into the club to improve the financial position of the business.
"This continued investment is consistent with the shareholders' approach of long-term, patient investment."
The results clearly strengthen the club’s position in relation to the Premier League’s profitability and sustainability rules (PSR), which have constrained them despite the deep pockets of the owners, the Saudi Arabian Public Investment Fund (PIF).
The PSR limit clubs to maximum losses of £105m over a three-season assessment period, with points deductions having been applied to Everton and Nottingham Forest last term for breaches.
The departures of Allan Saint-Maximin in the summer of 2023 and Elliot Anderson and Yankuba Minteh last summer counted towards a profit on disposal of player registrations of £69.8m and helped the club comply with PSR.
Match income in the 2023/24 season increased from £37.9m to £50.1m as the club benefited from playing in the Champions League group stages. Newcastle also pocketed £29.8m from Champions League distributions.
And commercial income almost doubled from £43.9m to £83.6m.
The accounts state: "Commercial income increased £39.7m (90%) from £43.9m to £83.6m with growth in the club’s main commercial partnerships income from new and enhanced deals with Sela, Noon, Fenwick, InPost and Adidas all contributing to the rise in revenue.
"The release of the four part documentary ‘We Are Newcastle United’ on Amazon Prime in August 23 together with changes in the operating and financial models for the club’s retail and catering activities all contributed to the overall increase in Commercial income."
Newcastle took on 115 more employees, which, alongside an increase in first team squad costs, led to staffing costs rising from £185m to £218m.
The accounts state: "Other operating expenses rose £27.7m (69%) from £40.1m to £67.8m, the majority of the increase being in line with increased revenues and the development of departments across the club.
"The net effect of the above is an improvement in operating profit before player amortisation and impairment to £28.8m from £21.6m in 2023.
"Amortisation increased by £9.9m from £86.8m to £96.7m, reflecting a full year impact of January 2023 player spend, together with additions in summer 2023 including Barnes, Tonali, Livramento and Hall. There were impairment charges of £0.8m in the year (2023: £2.5m).
"Profit on disposal of players’ and staff registrations totalled £69.8m (2023: £2.8m) mainly arising from the sales of Anderson, Minteh and Saint-Maximin."
Eales said: "We are committed to sustainable success and we have started 2025 in a strong position.
"Our progress has been supported by diligent work on and off the pitch. Returning to the Champions League for the first time in more than 20 years was hugely memorable for everyone connected with the club, and it has clear upside financially as we continue to grow.
“We grew our revenues by 28% in the twelve months to 30 June 2024, with an increase in matchday revenue as well as significantly improved sponsorship deals and a sharper focus on everything we are doing across the club.
"We continue to make significant strides with our commercial deals and matchday offerings as we strengthen the foundations of the long-term project here at Newcastle United."
