ANNUAL ACCOUNTS REPORT

Dundee United FC’s Annual Accounts for the period ended 30 June 2020 show some of the impact of the Covid-19 global pandemic on the Club and also the continued financial investment made by Mark Ogren to ensure key objectives were achieved. These objectives included promotion to Premiership and further development of Our Academy, now recognised as one of the top academies in the UK.

The Profit and Loss Account shows a loss of £3,011,088 but also some positive trends including:

• Increase in turnover of almost £800,000 (Up 25% on previous year)
• Gate receipts were up 37% on the previous season (despite an estimated £128,000 loss on the four cancelled home fixtures)
• More prize money as Championship winners (18% up)
• Retail sales over £500,000 following key decision to bring retail back in-house
• Administration expenses were reduced by over £100,000 (6%)
• Saving in property rent after honouring the commitment to repurchase the Gussie Park property in Dec 2019

Financially, these positives were somewhat tempered by a reduction in prize money due to a compensation agreement between the SPFL and certain broadcasters in respect of cancelled matches and no income from play-off matches.

Chairman Mark Ogren said, “Due to the Covid-19 pandemic, 2020 will be remembered unlike any other year no matter where in the world or what your business is. The impact will continue to extend into the economy and society for quite some time but with the support of our fans who continue to financially support our strategy to take United forward, we will come out of this a far stronger club. 

“Our Support were magnificent in the backing they gave the Club even when there was so much uncertainty about being able to attend matches, and we recorded record season ticket sales for 2020/21. While I fully understand the financial hardship that Covid-19 has caused for many people, I hope that those that can afford to do so choose to waive any credits due to them and renew their season ticket for 2021/22 during the current Loyalty period.  Season ticket and corporate hospitality sales are vital elements of the Club’s financial budget and will help ensure we continue to build and strengthen the Club for success.

“Our Academy is the future of the Club and I am excited by the high performance operation that is in place. Alongside our community work in partnership with Dundee United Community Trust, these are shining examples of what we can achieve and everyone here will do whatever it takes to push Dundee United forward and make our supporters very proud of their club.”

The considerable investment in Our Academy is vital for the future growth of the Club and the importance of creating a pipeline of top young players. With Kerr Smith the latest graduate to experience first-team football, the Board are currently delighted with the progress being made by Our Academy and are confident that many of the graduates will make a significant impact on our first team in the near future.

The investment made by the Club into the first team has also resulted in us having a squad that has proven it can compete in the Premiership, with a higher level of player assets, which has been developed over the last two years. Notably, Lawrence Shankland is now a Scotland full international, Louis Appéré and Logan Chalmers have been selected for Scotland U21 squads, and Jack Newman gained recognition at U19 level.

While it was a year that saw us crowned Championship winners, it was and remains a major disappointment that we could not enjoy the success in front of our supporters at Tannadice. Plans for life back in the Premiership were severely disrupted in the summer of 2020 by the legal challenge against the SPFL resolution that was both costly and absorbed a lot of valuable time of our executive team in defending the Club’s right to promotion as league champions.

The Board remain confident looking forward without the detrimental impact of Covid-19, and a full season in the Premiership with fans back in the stadium will result in a much stronger financial position and the Club will no longer be reporting significant operating losses. The investment made in the last two years into Our Academy will strengthen the first team and support the long term future of the Club.

2020 was a very difficult year for all of our staff and their commitment, loyalty and hard work was greatly appreciated. Likewise, all of our business partners, including principal kit sponsors in 2019/20, Macron, Utilita, J.F. Kegs, Norman Jamieson, Paint-Tec and Newtyle Commercial have shown fantastic loyalty in continuing to support the Club, and demonstrate the strength of being United together.

The Board would like to thank the fans for their unwavering support since Mark Ogren took ownership of the Club in 2018 but particularly in helping the Club successfully navigate all the challenges we faced in 2020. From the fund-raising efforts during the legal case to substantial donations made by the DUSF and by individual supporters, all your support is truly appreciated, thank you.

Together, we will do whatever it takes to make Dundee United a continued success story both on and off the park.