Newport County made a loss of nearly £1m before their takeover by former Swansea City chairman Huw Jenkins.
The figures for the financial year ending June 2023 take the League Two club’s losses beyond £2m for the past two seasons.
Jenkins took control of Newport in January in a £500,000 deal.
He has called the losses “unsustainable” and shows “there need to be serious changes to the way the club operates”.
Newport made a loss of £1.2m in the year ending June 2022
Jenkins notes that while Newport owed £1.6 million as well last summer, some of the debt has already been paid off. Despite this, Jenkins says the Exiles “are in a much better financial position, but strong financial control is still essential to keep the football club on the right path”.
Jenkins gave supporters an update, stating that as the £913,306 in losses occurred during a time before his involvement, it would be unjust to comment on the outcomes and the causes of the losses.
He did, however, mention that playing at Rodney Parade is the club’s largest expense.
Newport had a rise in revenue from £3.28 million to £3.4 million, but operating expenses stayed higher at £4.39 million.
The club claims that a 39% rise in the expense of playing at the venue is one of the contributing factors they share with regional rugby side Dragons.
Although overall matchday expenses have gone up instead of leasing fees, talks are still underway to sign a new 10-year arrangement, as the present one expires this summer.
Jenkins acquired a 52% share in the formerly fan-owned team. “While we are grateful to the Dragons for accommodating us at their home, the current costs are unsustainable based on our turnover,” Jenkins stated.
“To make Rodney Parade a viable venue for both codes, we must reduce operating expenses and rely on one another, as we are in similar situations. It’s a significant task that requires steadfast and dedicated leadership.”
