League One leaders Portsmouth post £3.09m losses - but remain debt-free

Pompey have posted losses of £3.09m as the League One leaders recorded a deficit for a third successive season.

Although the Blues remain debt free, with owners Tornante having ploughed in an additional £7m of investment since July 2023.

Accounts filed at Companies House for the year ending June 30, 2023, detail the Blues’ financial performance heading into the current season.

Pompey have now recorded losses in three successive years, with latest financial figures showing a deficit of £3,090,710, slightly up from £2,908,230 in 2022-23.

In terms of the further £7m Tornante have invested to finance club operations, a statement within the accounts highlights the intent to ‘convert into additional share capital’ when the next set of accounts are completed this June.

The accounts show £28m of share capital has been invested up until June 30, 2023. The additional £7m takes the total to £35m since purchasing Pompey in August 2017, including the original £10m laid down as part of the sale agreement.

Meanwhile, turnover was posted at £12.5m - an increase of £558,436 on the previous year - while the Blues spent £1.52m in transfer fees.

That spending power was boosted by £773,119 raised by player sales, chiefly through Marcus Harness’ July 2022 exit for Ipswich.

Elsewhere, Pompey benefited from football turnover returning to pre-Covid levels, with a first full season without attendance restrictions.

Ticket sales rose to £5.76m and income from sponsors and partners increased to £901,177. However, the biggest leap was in hospitality income, with £1.02m posted - up from £732,888.

In terms of other football-related income, there was an increase to £424,477, compared to £413,896 recorded the previous year.

That figure included compensation from Fifa for Joe Morrell’s involvement in the World Cup finals in Qatar, which was less than anticipated as it emerged the calculation also took into account the midfielder’s 10 months at previous club Luton, who received a share of the windfall.

Also included in football-related income are proceeds from Pompey’s third-round FA Cup trip to Spurs, albeit with the sum impacted by ticket price reductions, which were introduced by the Premier League club for the January 2023 fixture.

Other cup competition progress included trips to Cardiff and Newport County in the Carabao Cup and a midweek elimination at Bolton in the Papa John’s Trophy.

Revenue from the Pompey Health & Fitness Club helped drive other non-football revenues to £1.24m, representing an overall rise from £1.09m in the previous accounts.

However, the former Roko venue, which was purchased along with the training ground in a £3m deal in June 2021, made an overall net loss of £240,000, impacted by ‘inflation across the cost base including labour and energy costs’.

The accounts also reflect the latest slice of investment in the ongoing £12m Fratton Park project, while another £1.4m was used to renovate their Hilsea-based training ground and the accompanying Pompey Health & Fitness Club.

The accounts included an overall marked increase in costs across all areas of the business due to ‘cost of living’ inflation, including food/material costs, utility prices and increased football travel/hotel costs.