Liverpool reported a pre-tax loss of £57 million ($72 million) for the 2023/24 season on Friday, as the financial impact of missing out on the Champions League and rising administrative costs took a significant toll.
Despite the loss, the Premier League club saw an increase in overall revenue, which rose by £20 million to £614 million. Commercial revenue also saw a boost, climbing by £36 million to £308 million.
After posting a £9 million loss in the previous season, the £38 million drop in media revenue for 2023/24 contributed to the club’s second consecutive year in the red.
This marked the first season since 2016/17 that Liverpool did not compete in the Champions League, Europe’s premier club competition.
Matchday income rose by £22 million thanks to the opening of the new Anfield Road stand but staff costs — primarily wages and associated bonuses — increased by £13 million to £386 million.
That was partly due to bonuses for Champions League qualification and a League Cup win during Jurgen Klopp’s final season at Anfield.
Pay-offs to cover the time remaining on the contracts of Klopp and his backroom staff when they left amounted to £9.6 million.
Liverpool finished third in the Premier League and reached the quarterfinals of the FA Cup and Europa League in 2023/24.
The wage bill was eased by the departure of a number of higher earners including Roberto Firmino, Fabinho and Jordan Henderson.
The club added Alexis Mac Allister, Dominik Szoboszlai, Wataru Endo and Ryan Gravenberch to their senior men’s squad for a combined figure of around £150 million.
“Operating a financially sustainable club continues to be our priority and with the continued increase in costs, it’s essential to grow income streams year on year to maintain financial stability,” said finance officer Jenny Beacham.
“The success of our commercial operations, together with the opening of the new Anfield Road Stand, has increased our revenues during this reporting period, which demonstrates our desire to continue to compete at the highest levels of football in the men’s and women’s games.”
In their first season under Arne Slot, Liverpool are on the verge of matching a record 20th English top-flight title, holding a 13-point lead over second-placed Arsenal in the Premier League with just 10 games to go.
The club is set to face Newcastle in the League Cup final at Wembley on March 16 and has advanced to the last 16 of the Champions League, where they will face Paris Saint-Germain.
