MK Dons have announced a profit of almost £2 million for the year ending June 2012.
The exact profit of £1,888,510 is an improvement on the 2011 loss of £1,694,640, largely due to the sale of players which generated almost £4 million during the year. It was in this period that Sam Baldock was sold to West Ham and Seyi Ojo to Liverpool.
Turnover increased slightly from £5,678,102 to £5,784,161 over the 12 months.
The club’s financial report, filed to Companies House this week, also shows that Dons’ wage bill for the year ending June 2012 was £3,678,672, down on the previous year’s figure of £4,185,813.
The directors’ report states: “As with all football clubs, the challenge is to control player wages while remaining competitive.
“The company is supported by Inter MK Group Limited which is diversifying and generating future income from a hotel and from commercial property development.
“During the year the company generated £3.8m (2011 £0.3m) of profit from the disposal of players. Profit before tax for the year was £1.9m (2011 loss £1.7m).”
Meanwhile, Inter MK, the company which owns MK Dons, has announced a loss of £428,255 for the year ending June 2012, down on the 2011 profit of £1,150,298.
The company’s turnover increased dramatically from just under £700,000 in 2011 to more than £23 million, largely due to the sale of land which is now home to the MK1 Retail Park.
The directors’ report states: “On 7 November 2011 the Group completed the sale of Site A (MK1 Retail Park). The proceeds from this transaction were used to reduce bank debt by £8.5m and will facilitate the completion of stadium:mk, as required under the S106 obligations under the agreement attached to the planning permission granted for Site A.
“The directors have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future.”