Manchester City have posted losses of £126 million – with the effects of the COVID-19 pandemic being felt at the Premier League leaders.
Officials say they are confident that the club will return to profitability next year and say their business “remains fundamentally strong”.
City were hit by a loss of revenue from Champions League, Premier League and FA Cup matches, which took place after the June 30 deadline thanks to the paused season.
They also sold Leroy Sane on July 1, which would have knocked around £50 million from the losses.
Revenue for 2019-20 was down 11 per cent to £478.4 million, with the club pointing out all ticket and stadium-related sales ceased, with refunds handed out to season card holders and broadcast revenues reduced.
“We have a business that is fundamentally strong, with committed shareholders and with significant assets, built carefully over a decade and upon more than a century of history,” said Chairman Khaldoon Al Mubarak.
“Our long-term approach has meant that we are now not wholly dependent on income streams that have been most vulnerable to the ongoing impact of COVID-19,” he added.
CEO Ferran Soriano said: “Clearly, the 2019-20 accounts in isolation are not the best representation of the reality of the season with delayed player trading and numerous games being played after 30th June 2020, the revenues from which will be accounted in the 2020-21 period.
“A better financial picture of the Covid years will be provided at the end of the 2020-21 season, when the two seasons are combined and normalised.”
Last month, Premier League chief executive Richard Masters said clubs would lose £2 billion this season thanks to the pandemic.