Rangers cash balance sky rockets after new £30m-plus announcement – This is why
Rangers confirmed a “major improvement” in their latest accounts.
Andrew Cavenagh has endured a rough week, with Patrick Stewart and Kevin Thelwell relieved of their duties at Ibrox, but the latest financial reports look brighter.
Danny Rohl has also transformed Rangers in the Scottish Premiership, with a positive future on the horizon after months of trouble following the takeover.
Off the pitch, Rangers confirmed an increase in revenue to £94.1million, with losses and operating expenses also dropping at Ibrox.
It is the closing cash balance that will have caught the eye of many, though.
Rangers reveal shows American millions at Ibrox
Rangers announced that their closing cash balance for this period was £30.5million, which has jumped massively from the £1.7m in the previous year.
Dan Plumley has shared that this is most likely down to the £20m share issue that followed the takeover of Cavenagh and the 49ers Enterprises.
The football finance expert revealed that big swings are normal in the cash balance of a football club, with that money possibly already spent, or even added to since.
“If you look at that particular number in the accounts, there is a share issue of £20million that accounts for a fair chunk of it,” Plumley exclusively told Ibrox News.
“That’s causing a big swing in it.
“Again, we’re looking back historically; we’re not in the here and now because the accounts are always nearly a year out when you get hold of them.
“I think as well, one thing I would always say with the cash balance in accounts, we have to remember that we’re looking at that right on the very last day of the year, and it is that real snapshot of one moment in time.
“The reality is, you may have to spend some of that cash the very next day, or you get more cash in. So, when we see the end-of-year position, it will show you those big swings, and in this case, the share issue is part of that.”
Where have Rangers spent?
Youssef Chermiti costing Rangers up to £10million will never be forgotten.
It was one of the main reasons why Thelwell was sacked, with big money also spent on the likes of Thelo Aasgaard and Emmanuel Fernandez, who certainly need to show more.
Thankfully, the big-money sales of Hamza Igamane, Cyriel Dessers and Jefte went a long way to covering most of that heavy summer of spending.
The cash balance will always change, but for once, it is brilliant to see Rangers so far into the green.
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