INVERNESS Caledonian Thistle reported a whopping pre-tax loss of £835,751 for the 12-month period to May 31, 2002.
And while the Highland side’s directors say they are confident they will be able to pay their debts, auditors A9 accountancy concede that “a material uncertainty exists that may cast significant doubt on the company’s ability to continue as a going concern”.
The Caledonian Stadium[/caption]
It’s tough times for Inverness boss Billy Dodds and his club[/caption]
With current liabilities at the time of the report listed at £1.73m and assets of just £462k, directors point to new income streams, player trading and cost-cutting measures as their way to trade their way back to profitability.
In particular, they could be in line to profit from the recent Government decision to give the green light to the Inverness and Cromarty Firth Green Freeport scheme.
The Highland outfit currently sit SEVENTH in the Championship table – although there is the possibility of raking in more cash from their Scottish Cup run, which has taken them all the way to the quarter finals.
The annual report reads: “Giving the directors confidecnce is the fact that the cub has contracted with our partners Intelligent Land Investments Group on the Loch Ness Hydro Pump project and is also awaiting a planning decision on the ICT Battery Farm application.
“The company has reported a loss before tax of £835,751 for the year ended 31 May 2002 and has a reported net asset position of £462,497 with net current liabilities of £1,713,997 at the balance sheet date.
“The directors have taken the required actions to ensure the long-term financial stability of the company and continue to monitor its financial position.
“They are encouraged by the performance and resilience shown.
“The company remains reliant on player trading, new funding streams and the continued financial support backing of its directors, shareholders and supporters.
“These protections are reliant on new income streams to support annual revenue shortfalls and football operating losses.
“While the forecasts are inherently uncertain, the directors are confident that additional income sources, combined with operational costs savings will secure the financial viability of the company and ensure it meets its debuts as they fall due. “