The auditors also considered that they did not have sufficient information to judge the “reasonable” nature of these forecasts and could not certify the accounts, according to a press release published Wednesday evening.
The group recorded a net loss of 25.7 million euros for the financial year ending June 30, 2024, compared to 99 million a year earlier, according to this press release. Turnover increased by 25% to 361.4 million euros.
The gross operating surplus is now positive at 44.2 million, compared to -1.8 million, thanks in particular to agreements with OL women and strong event activity (concerts, shows, MMA meetings, etc.). But the group's net cash debt stands at 463.8 million euros, compared to 404.3 million euros as of June 30, 2023.
The board of directors decided at the end of October to postpone the publication of the annual results “pending the finalization of audit work”. The group clarified on Wednesday that the accounts were finally finalized on the basis of several “hypotheses”.
These provide for a contribution of “75 million euros by the end of December 2024 in the form of equity and/or proceeds from the sale of players held by clubs in the Eagle Football Holdings group”, the house- mother run by American businessman John Textor.
But also a contribution “of a maximum amount of 40 million euros” from the planned sale of Eagle Football Holdings' shares in the Crystal Palace club, or even of 100 million euros at most, within the framework of the parent company's proposed listing on the New York Stock Exchange. The group is also counting on the sale of players during the January 2025 transfer window.
A plan “cost rationalization” was launched in September
In its press release Eagle Football Group considers it “likely that all or part of these financing operations will be completed” but recognizes that “any significant delay or any non-realization of these cash flows could call into question the principle of continuity of “operation of the company and its subsidiaries”.
“The group's auditors are considering issuing an impossibility of certifying on the accounts”, because they consider that the audit work “did not allow them to collect sufficient convincing evidence to rule on the reasonableness of the various hypotheses”, it is specified.
In September, EFG announced “a cost rationalization plan” and the opening of discussions with staff representatives “could possibly lead to a voluntary departure plan”.
