Ex-Sunderland chief executive Martin Bain received £1million pay-off when he left the Stadium of Light, accounts reveal
And relegation from the Premier League left a £46million-plus TV revenue black hole in the club’s finances.
The accounts, which cover the financial year to July 31, 2018 – a period which saw the club suffer its second successive relegation, the sale to a consortium headed by Stewart Donald and Charlie Methven, and the sacking of manager Chris Coleman – show turnover collapsed by almost half, from £123,504,000 to £63,691,000, a drop of £59,813,000.
Although Martin Bain is not mentioned by name, the accounts cover payments made to directors in the period, and show the highest-paid, understood to be the former chief executive, received £1,881,478, including £1,064,498 in compensation for loss of office and £67,924 in pension contributions.
The results lay bare the huge financial impact of the club’s relegation from the top flight of English football a year earlier.
While income from gate receipts, sponsorship and royalties, and conferences and banqueting and retail and merchandising were all down, the loss of the colossal Premier League TV payments dwarfed them all and saw the amount the club received in television and media payments fall by almost £47million.
Despite finishing rock bottom in the Premier League in 2017, the Black Cats still received £95,626,000 in TV and media income.
A season in the Championship, however, saw that figure slashed to £48,849,000 including the relegation parachute payment.
Gate receipts were down from £8,943,000 to £6,559,000, while sponsorship and royalties dropped sharply, from £9,7776,000 in 2017 to £1,901,000 last year, and conference and banqueting fell from £4,440,000 to £2724,000.
Retail and merchandising income was down from £3,586,000 to £2,307,000, but other income was up slightly, from £1,133,000 to £1,351,000.
The club slashed its wage bill in the year following relegation from the Premier League, down by almost half from £82,691,000 to £46,834,000.
Loss before taxation almost doubled over the period, up from £10,248,000 to £19,912,000.
A club spokesperson said: “The accounts relate almost entirely to a period where the club was under its previous ownership.
“It, therefore, wouldn’t be appropriate for the current owners to offer commentary on them.”