Lincoln City have released accounts for the financial year ending June 2022.
Supporters can view the annual financial statement summary by CLICKING HERE.
Season review
After just missing out on promotion to the Championship at the end of May 2021, our third successive season at this level turned out to be a very disappointing one on the field. Playing 61 games in the congested Covid-19-impacted 2020/21 season with a small squad and the late end to the season took its toll on some players heading into the current season. Pre-season preparations were further impacted by Michael Appleton’s absence following surgery for testicular cancer. Recruitment was also more difficult with an increase in player remuneration following the demise of the salary cap and much higher spending from a number of bigger and well-backed clubs in Sky Bet League One.
Our disappointing home form from the previous season continued into the current campaign and by the end of December we had won just two and lost six of the opening 11 home games leaving us 20th in the table heading into the transfer window. Despite a lengthy period without a league win and early exits from all three cup competitions the management team was heavily backed in January with the permanent signing of John Marquis on a six month deal and the loan signings of Morgan Whittaker, Liam Cullen and Brooke Norton-Cuffy. We continued to look to the future as well with the signing of young strikers Ben House and Charley Kendall from non-league football.
Goals from some of our winter signings together with impressive wins against three of the promotion challengers ensured we finished safely in 17th position, twelve points ahead of the final relegation spot. Following the conclusion of the season Michael Appleton departed after 31 months in the role with both parties agreeing that separation was in our best interests.
Following an extensive and detailed recruitment process, Mark Kennedy was appointed as the new Head Coach on 12 May on a four-year contract.
Turnover
Although 21/22 was the first full season in League One with fans in attendance, turnover was £300k above the 19/20 season where the comparative figures are boosted by £1m receipts from manager compensation. Overall turnover in 21/22 was at its peak over the past four years.
Commercial & matchday revenue
Revenue continues to grow, due in most part to the growing and supportive relationships with partners. When comparing the 18/19 (League Two promotion season), and the 21/22 (League One), this equates to a 36.5% uplift in commercial revenue. Through LCFC’s strong support base, the fan engagement and attendance exceeded all expectations. To put into perspective, 21/22’s £2.290m revenue was only £43k below the 18/19 League Two promotion-winning season.
Staff & administrative expenses
The costs rose significantly due to the increased playing budget, while also improving the structure for future growth in backroom and operational staff. There was also an increase in stadium running costs on a day-to-day basis.
Fan engagement and transparency
The club were ranked fifth out of the 92 clubs in the Fan Engagement Index. This index monitors the relationship between the club and the fans and provides scores across dialogue, governance, and transparency.
Investments
In order to fund the operating losses and capital expenditure, the company issued shares for cash amounting to £2.7million. Tangible assets increased by £0.8million with significant expenditure on a new fibre sand pitch at the LNER Stadium. Further work at the stadium ahead of the season included improvements to infrastructure and facilities, including seating, concourse toilets and drainage, refurbishment of changing rooms including for shared community use and the installation of LED perimeter advertising.
Supporters can view the annual financial statement by CLICKING HERE.