Chelsea have accumulated a £121 million loss for the 2021/22 English Premier League season following sanctions placed on the team.
The Blues were prohibited from selling matchday tickets and were placed under a special license as a result of Roman Abramovic’s ties with Russian president Vladimir Putin.
The Blues say sanctions on their former owner had an effect
Chelsea have stated that Government retributions placed on previous owner Roman Abramovic influenced the team’s losses of £121 million in the last campaign.
Abramovic was slammed by the government of the United Kingdom in March 2022 as it went after the assets of persons it presumed had ties with Russian president, Vladimir Putin, after the invasion of Ukraine.
The club side based in West London were put under a special license which limited their capacity to sell tickets, receive event reservations and even put pen-to-paper on contractual agreements with players.
The embargo was still functioning until the 30th of May 2022 when a fresh syndicate spearheaded by Todd Boehly finalized its takeover of Chelsea.
Chelsea disclosed their yearly accounts on Monday and they stated that the effect of the sanctions would be witnessed “in the following years”.
The Blues stated that profit has grown to £481.3 million from £434.9 million in 2022 in spite of the heavy punishment meted out against the club.
Although, Chelsea have an increased revenue
Commercial revenue also improved to £177.1 million, as the losses recorded by Chelsea were ascribed to operating cost alongside matchday and non-matchday expenses.
The financial statement does not show Chelsea’s 2022 summer spendings or the winter 2023 acquisitions, when they splashed around £600 million on new arrivals.
Last campaign’s calculation indicated that £118 million was infused in the playing team but a positive turnover of £123 million was accrued on the sales of players including Fikayo Tomori, Marc Guehi, Tammy Abraham and Kort Zouma.
Todd Boehly’s team have stated that they have moved on following the financial guidelines and stipulations of UEFA and the English Premier League in spite of the amount lost and the effect of government sanctions.
Chelsea in the announcement of the financial record on the club’s website said: “Despite the loss in the year and the operating challenges due to the sanctions, the club continues to comply with UEFA and Premier League financial regulations.”
Chelsea couldn’t also sell merchandise or get into commercial partnerships
The English side couldn’t also sell merchandise or enter into commercial sponsorships during the time the restrictions were in full effect.
Chelsea sit 10th on the English Premier League table and they eye the possibility of not making it to European football next season.
They recorded three wins throughout the month of March, with those wins coming in the UEFA Champions League and two in the English Premier League.
Graham Potter hasn’t been able to find the magic wand that would assist him in leading Chelsea out of the disaster they are currently in.