Dundee United have posted a profit of £279,770 in their annual accounts for the year ending June 2022.
The heartening figure represents an increase of more than £2.8 million compared to the heavily Covid-impacted loss of £2.5m in 2020/21.
United’s turnover more than doubled from £3.8m to £8.3m.
The Tannadice coffers were boosted by £1.3m from player sales.
The club banked fees for Kerr Smith’s switch to Aston Villa, Lawrence Shankland’s move to Beerschot and Peterborough United’s swoop for Jeando Fuchs.
Louis Appéré and Jamie Robson also joined Northampton Town and Lincoln City, respectively, during that financial period.
That compares to just £100,000 garnered from outgoing transfers in the previous year’s accounts.
Total wage costs increased by 18% to £5.9m; however, the wages-to-turnover ratio makes more healthy reading, reducing from 132% to 71%.
The accounts include a £600,000 Covid insurance payout as well as a £100,000 Scottish Government grant.
United had £2.7m in the bank, as of June 2022.
It is also confirmed that owner Mark Ogren’s investment in the club now stands at around £10m, with the accounts noting: “This funding has been provided to the club on an interest-free loan basis, with no intention in the short to medium term to seek any repayment of this debt.”
Exceeding expectations
Ogren told United’s official website: “The board remain committed to being a sustainable and enduring competitor in the top half of the Scottish Premiership and delivering on this in season 2021/22 was significant in the positive accounts posted.
“Turnover increased greatly for the year thanks to continued on and off-pitch success and alongside a controlled increase in total wage, this led to a significant reduction in wages/turnover ratio.
“The success on-field in achieving our objective and indeed exceeding our expectations by finishing fourth led to qualification for Uefa competition.
“Alongside developing our own players internally, player trading remains a significant element of the financial sustainability of the club.
“The profit of £1.3 million on the sale of players all while maintaining on-field success and maintaining a strong, competitive squad was achieved by sporting director Tony Asghar and the football department.”
Youth commitment
Away from the headline figures, United’s accounts show that investment in academy facilities and operations since Ogren’s 2018 acquisition now totals more than £3m.
Direct cost of sales, excluding wage costs, increased by around £900,000 (43%), while expenses increased by £1m (82%).
More than £200,000 was spent on stadium repairs, improvements and maintenance over the financial period.
Around £500,000 went towards new ‘fixtures and fittings, including £300,000 on the renovation of Gussie Park.
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