(Alliance News) - Celtic PLC said Monday the decision to end the Scottish football season early will have a short-term hit on its finances, but believes it remains in a strong financial position.
The Scottish football club noted, that due to the 2019-2020 season being cancelled, it has been awarded its ninth consecutive Scottish Premiership title, matching a historic milestone only once before achieved by the club in 1974.
"Since the interim period end at December 31, and up to March 7 - last game played by Celtic - the club has continued to deliver strong football performance including being ranked first in the Ladbrokes Scottish Premiership with 80 points, are semi-finalists of the Scottish Cup and were Scottish League Cup winners in December 2019. However, the Covid-19 outbreak in Scotland has impacted the club's operations and premises," Celtic said.
Since March 31, mass gatherings - including professional football matches - have been postponed.
The football club added that it is withdrawing its financial guidance for financial 2020, ending June 30, and expects to release its annual results in the autumn.
Celtic continued: "Whilst today's decision will have a short-term impact on the finances of the club, Celtic remains in a strong financial position through its robust balance sheet in terms of player registrations and deferred transfer receivables.
"Since the Covid-19 outbreak, the board has continued to take the appropriate steps to manage its capital, other expenditure and improve cash flow, to ensure the business continues to be well capitalised and has sufficient liquidity during this period of uncertainty."
Included in this is the company's chief executive, manager, non-executive directors, first-team squad, executive team, and backroom staff volunteering to take "significant" reductions in salaries
Looking forward, the company noted its new kit partnership with Adidas AG, which begins in July and runs until the summer of 2025 and is excited for the start of the 2020-2021 league season.
Shares in Celtic were 0.4% higher in London on Monday afternoon at 118.00 pence each.
By Paul McGowan; paulmcgowan@alliancenews.com
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Celtic (CCP)