Ibrox losses of £7m in unaudited accounts

Rangers International, formerly known as Sevco 5088, have published unaudited accounts showing an operational loss of £7m for the seven months to December 31. That loss doesn’t include cash of £21.2m held at the same date.

Crucially the accounts are unaudited with Deloitte LLP producing a review to accompany the accounts rather than an audit.

Explaining that Deloitte state: “A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures.

“A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing (UK and Ireland) and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.”

That statement renders the remainder of the accounts as subjective and open to interpretation in various ways.

Operating losses of £1m a month will obviously concern investors with the reported share issue of £20.5m described as non recurring.

Predictably the accounts are praised by the office bearers at Ibrox but with no prospect of a significant increase in broadcasting money or European football it’ll require further significant fund raising efforts to turn around the operating losses to a break even position.

Recent commercial deals with Puma and Blackthorn Cider haven’t carried any mention of the sums involved suggesting that they fall short of expectations.

SFA licence regulations require member clubs to present their audited accounts by the end of April in order to participate in football for the following season giving the Ibrox club two months to get their accounts audited.

CLICK HERE for accounts statement

CLICK HERE for Regan defends shamed Ogilvie

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