Newcastle United is in a great financial situation once again.
The release of Newcastle United’s 2023/24 financial reports on Tuesday provided much-needed proof that the Tyneside club is now on much healthier financial footing following months of curtailed transfer activity due to profit and sustainability rules [PSR] worries.
Newcastle announced a post-tax loss of £11 million for the most recent financial period, a significant improvement from the £73.4 million loss recorded in 2022/23. With an additional £70.7 million set to fall off the club’s rolling three-year PSR balance sheet, the summer promises to be a brighter one, with transfer spending expected.
Newcastle are also in no haste to begin selling its prized assets now that the financial shackles have been lifted. This comes after Anthony Gordon was linked with a move to Liverpool last year, Bruno Guimaraes’ prior £100 million release clause sparked fears about an emotional leave, and Europe’s best clubs wanted a player like Alexander Isak.
However, in an optimistic interaction with media following the release of Newcastle’s accounts, Chief Executive Officer Darren Eales concedes it would be ‘crazy’ to consider selling key players in the wake of such strong financial results.
“We’re in a position now where because of the fact we were able to move a couple of players in January (2024) that weren’t really impacting on minutes on the pitch,” Eales was speaking to reporters via Zoom. “We have the wish and desire to keep our core players, who are all on long-term contracts.
“So, from that standpoint, we have no intention of moving any of those players, and we are not under any kind of pressure. We have an ambitious owner who wants the best for the team. So from that standpoint, it would be insane for us to entertain it.”
Of course, Newcastle’s ownership’s unwillingness to sell the club’s star players is only half the battle. Newcastle must achieve on-field success, as well as European qualification, in order to keep its key players pleased.
Last year’s seventh-place finish, along with Manchester United’s victory over rivals Manchester City in the FA Cup final, meant Howe’s team missed out on European football by a whisker after their brief Champions League campaign. Newcastle managed to maintain its key players at St James’ Park, but with another year out of the spotlight, enticed suitors may approach with rich offers of quality European football and large salary contracts.
That is why Howe must lead his squad to victory once more. The north east club is currently sixth in the Premier League, one point below fifth place, which might be enough to secure Champions League football. Otherwise, a win against Liverpool in next week’s Carabao Cup final will guarantee Newcastle’s place in the Europa Conference League play-off round.
Newcastle’s confidence may be higher coming into the Wembley extravaganza, given their struggles in the Premier League and elimination from the FA Cup since their Carabao Cup semi-final victory. This comes after a difficult start to the season, followed by a nine-game winning streak over the holidays.
But anyone believing Howe is under pressure at St James’ Park would be mistaken. There is absolutely no appetite at boardroom level to sack the former Bournemouth boss – as reaffirmed again by Eales on Tuesday.
“From our perspective we are obviously super pleased we have got Eddie as our coach. We feel really good. We look ahead with optimism,” the CEO remarked. “The reality is we’ve got a great coach, we have amazing players in our squad, we are growing our revenues and we have an ownership that is fully committed to to the long term so the future is bright, it’s just the nature of football that we have the ups and downs.
“We’d all like a stronger squad. Everyone would prefer more players. Everyone would like no injuries, but we must deal with the realities, which is why I gave Eddie high marks because he understands because he is a part of the process.
“He does a great job of controlling that as Newcastle United’s head coach. We are overjoyed that he is with us, and we hope he will stay for a long time.”
