Chelsea appear to have complied with the Premier League’s profitability and sustainability rules (PSR) through player sales and by selling the women’s team to the club’s parent company. Chelsea announced they had turned last year’s pre-tax loss of £90.1m into a pre-tax profit of £128.4m for the financial year ending 30 June 2024.
The results were filed at Companies House by Chelsea FC Holdings Limited and represent a significant shift after heavy losses under the ownership of Clearlake Capital and Todd Boehly in previous years.
Although Chelsea’s revenue dipped to £468.5m after another season out of the Champions League for the men’s team, they said their financial picture “benefited from increased profit on disposal of player registrations and repositioning of Chelsea Football Club Women Ltd”. The club added that “profits on disposal of player registrations of £152.5m and a profit on disposal of subsidiaries of £198.7m led to an overall net profit of £129.6m after tax”.
It was predicted at the time of last year’s takeover of the women’s team by Chelsea’s parent company, BlueCo 22, that the deal would help Chelsea comply with PSR. The move has faced scrutiny from the Premier League in relation to rules around fair market value and associated-party transactions. The league passed Chelsea selling two hotels at Stamford Bridge to BlueCo 22 for £76.5m last year.
Chelsea said the team’s sale would ensure “CFCW has dedicated resources, management and commercial leadership solely focused on the growth and success of the women’s team”. The club are on course to win a sixth straight Women’s Super League title.
It has been turbulent for the men’s team under Clearlake, the majority shareholder, and Boehly. Chelsea have not been in the Champions League since the 2022-23 season and have been hugely active in the transfer market. They have spent more than £1bn on signings but have also looked to raise funds through outgoings. The sale of homegrown talent helps because money received for academy products goes down as pure profit. Among the players sold in the most recent financial year were Mason Mount, Ian Maatsen and Christian Pulisic.
Chelsea acknowledged that not competing in Europe’s premier competition had affected their revenue. However, their broadcasting income rose thanks to a sixth-placed finish in the Premier League and appearances in the Carabao Cup final and the FA Cup semi-finals last season. Operational costs decreased to offset the fall in revenue.
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There was also an increase to £80.1m in match-day revenue, although Chelsea continue to explore a possible deal to leave Stamford Bridge and move to Earl’s Court. Boehly has suggested that divisions over stadium redevelopment plans could lead to the end of his uneasy partnership with Clearlake.
