UK's Celtic posts annual net loss on higher operating expenses

Overview

• UK football club's fiscal yr revenue fell 23% as club played in Europa League

• Net loss after tax for fiscal yr was £4.8 mln, compared to prior yr profit

• Operating expenses increased and gains from player trading declined yr/yr

Outlook

• Company did not provide specific financial guidance for the current or next year

Result Drivers

• EUROPA LEAGUE IMPACT - Co said revenue fell mainly due to dropping into Europa League from Champions League, affecting UEFA distributions, ticketing and retail

• HIGHER WAGES - Co attributed increased operating expenses mainly to higher wages and salaries

• LOWER PLAYER TRADING GAINS - Co said gains from player trading dropped to £16.0m from £31.5m yr/yr

Company press release:

Key Details

Analyst Coverage

• The one available analyst rating on the shares is "buy"

• The average consensus recommendation for the leisure & recreation peer group is "buy"

• Wall Street's median 12-month price target for Celtic PLC is GBp215.00, about 22.9% above its September 22 closing price of GBp175.00

• The stock recently traded at 2,237 times the next 12-month earnings vs. a P/E of 3,003 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)