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Newcastle United still have long way to go to break into Premier League top six

Newcastle United have released their financial accounts for last season and they are still a long way from matching the biggest clubs in the Premier League.

They had a 39% increase in revenue which saw them move from £180 million to a club record £250m, but could be forced to sell one or two of their best players to balance the books this summer.

Tottenham Hotspur’s latest accounts show £444m in turnover, Manchester United made £648 in revenue and Manchester City made £713m.

Newcastle are ahead of the likes of West Ham United (£237m) and have overtaken clubs outside of the so-called ‘Big Six’, but they need to grow their revenues to have a chance of remaining compliant with the Premier League’s Profitability and Sustainability Rules (PSR).

Apart from having to cash in on some of their most-prized assets in the summer, manager Eddie Howe is unlikely to make January transfer additions to his squad.

Newcastle need some quality signings this month given their struggles this term, but they have very little room for recruitment as they look to stay within the confines of Financial Fair Play.

Fans were expecting the club to start signing the biggest players on the planet following the arrival of the new owners, and while decent additions have been made to the squad in recent transfer windows, marquee signings should not be expected anytime soon.

Their Saudi owners have the funds to assemble a starting XI consisting of the biggest names in the world of football, but their spending is limited by PSR, and the club have to maximise off-field income.

Broadcast revenue increased from £124m to £165m, matchday revenue increased from £28m to £38m while commercial revenue moved from £28m to £47m, leading to an almost 40% increment in total revenue.

Player signings cost £153m, while £187m was spent on wages.

Unfortunately, Newcastle ended up recording a loss of £73.4m, the worst of the Premier League clubs to have released their 2022-23 accounts, taking their loss to £155m over the past three seasons – which is more than the £105m PSR limit.

The 52,000-capacity St James’ Park has not given them more room for matchday revenue, and the owners are looking to expand it.

Bruno Guimaraes is on the radar of Paris Saint-Germain ahead of the summer transfer window, while Alexander Isak and Sven Botman are not short of suitors too.

While fans will not want it, Newcastle must prepare to sell one of them given their financial concerns.

The Magpies are hamstrung in their plans to recruit and may need to sell some of their established players to offset what is required to strengthen the squad, and the much-needed financial freedom will cost them going by their latest accounts.

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