Following their financial backing by oil billionaire Sheikh Mansour this season, Manchester City have announced that they are faced with losses of £194.5million, the largest ever recorded in football history.
Mansour has piled money into City in order to fuel their acceleration in the Premier League which, as City now sit at the top of the table with a 5-point lead on Manchester United, has thus far worked. Mancini’s squad is currently worth £174m in wages alone, £21m than City’s entire turnover. The purchasing of players such Balotelli, Silva, Dzeko and Boateng has also set the club back a further £156m.
Speaking of the loss, CEO Graham Wallace said: "Our losses, which we predicted as part of our accelerated investment strategy, will not be repeated on this scale in the future. These financial results represent the bottoming out of financial losses at Manchester City before the club is able to move towards a more sustainable position in all aspects of its operations in the years ahead.
"As we undertake the club's commercial transformation, we are cognisant of the incoming Uefa financial fair play regulations and consequently we continue to maintain positive and ongoing dialogue with all appropriate football authorities."
Since their new financial backing, City finished third in last season’s Premier League, won the FA cup and qualified for the Champions League for the first time.
Following the shock announcement, the club released a statement saying that "the result is consistent with the guidance provided in the first MCFC annual report that losses would peak in the 2010-11 financial year, as a result of the accelerated investment programme that the club undertook between 2008 and 2011."