Hibs profit from success under Lennon
● Petrie lauds his head coach’s input as return to the top flight helps to put Easter Road club back in the black
Hibs chairman Rod Petrie paid tribute to head coach Neil Lennon after acknowledging that success on the pitch was vital to the club posting a £200,000 pre-tax profit.
The Easter Road outfit returned to the black for the financial year ending June 2018 following a £277,000 loss for the previous 12 months, which coincided with their Championship title success.
Petrie, pictured inset, acknowledged that promotion back to the top flight has significantly enhanced revenue streams, with turnover increasing to £9.6 million – the highest since 2007 – compared to £7.7 million for 2017.
Staff costs increased by £800,000 to £5.3 million although the wages to turnover ratio fell three per cent to 56. Midfielder John Mcginn’s £3 million sale to Aston Villa in August is not included and will be reflected in the accounts for the current year.
Hibs, who carry no bank debt, posted losses for two of the three years they spent in the second tier and Petrie said the club’s improved financial health has been aided by Premiership football.
He said: “The audited financial statements make good reading. Sporting success with the increased prize money available in the Scottish Premiership, improved all the numbers and it confirmed what we said in previous years, that the club could break even in the Premiership.
“Special thanks go to Neil Lennon, who had the benefit of seeing matches from the perspective of the directors box in the early part of the year – although now, thankfully, restored to the dugout – and to (chief executive) Leeann Dempster and to all of the staff who work tirelessly for the best interests of the club every day, not just on match days.
“Recent sporting and financial success has been achieved by everyone working together to build a strong and vibrant club.
“We are well placed to continue to strive for success in the future, not just for today but for the benefit of generations to come.”
Petrie hailed the impact influential midfielder Mcginn, pictured right, made in his three years at the club, with the 23-year-old becoming a Scottish Cup and Championship winner and earning full Scotland international honours at Hibs before departing for Villa Park, where he has quickly endeared himself to the club’s fans.
He added: “Everyone who has played for the club and has since left for pastures new deserves the gratitude of supporters, no one more so than John Mcginn, who left to join Aston Villa FC on the English transfer deadline day.
“John has made an impressive start at his new club. The transaction happened after the financial year end and
“Everyone is working together to build a strong, vibrant club and we are well placed to strive for success for the benefit of generations to come”
ROD PETRIE
benefits the 2018-19 accounts so there is no impact in the financial statements for the year ended 30 June 2018.
“The departure of the player was not unexpected and the executive team is to be congratulated – not only for securing appropriate value for the player but also for the work done to achieve the summer signings which have seen a number of full international players join the club.”
The accounts also show that net assets are up to £19.8 million. Cash balances in June were at £4.2 million, an increase of £700,000 for the previous year and that rise has been put down to 13,600 fans buying season tickets for the current campaign.
Petrie added: “I would like to thank everyone who has bought season tickets and helped the club in such a real and tangible way.
“This enables the club to plan with confidence for the season ahead.
“The club owns Easter Road stadium and the Hibernian Training Centre. It has a robust balance sheet with no bank debt.
“But it does rely on the continued support of everyone who attends matches at Easter Road stadium or who contributes in other ways on match days.”