1. CLUB LEVEL
We have obtained a large and very detailed A3 plan of the 6708 club level seats. The breakdown of the different prices is as follows. Even if we don't sell all as season tickets, the remaining seats will be sold as a match by match package at higher individual cost so the overall revenue could be higher. Assuming we sell all as Season ticket this is the yearly revenue.
1060 X £4750 = £5,035,000
1352 X £3,500 = £4,732,000
1776 X £3,250 = £5,772,000
2520 X £2,500 = £6,300,000
TOTAL £ 21,839,000
£18,586,382 ex VAT
2. BOX SEATS
There are 150 boxes; the cheapest box is £65K ex VAT and the dearest is £150K ex VAT but I'm not aware of the exact breakdown. However, from the information I have there are more boxes in the lower prices than higher so I have calculated the breakdown with this biased in mind.
25 X £65,000
25 X £70,000
20 X £75,000
20 X £80,000
20 X £90,000
10 X £100,000
15 X £130,000
15 X £150,000
TOTAL = £13,800 ex VAT
There are 84 Diamond Club memberships.
84 X £12,500 = £1,050,000
£893,000 ex VAT
4. NORMAL ADMISSION
From the recently released season ticket pricing map and my detailed club level seating plan (showing number of all club seats and number of perimeter seats) I can determine accurately the proportion and number of different price seats. Arsenal have confirmed that there will be 28,000 upper and 23,000 lower seats.
UPPER TIER (28,000)
Upper centre 2240 X £1825 = £4,088,000
Upper next to centre 3920 X £1370 = £5,370,400
Upper behind goal 6720 X £1295 = £8,702,400
Upper next to centre 1400 X £1190 = £1,666,000
Upper wing and corner 10360 X £1165 = £12,069,400
Upper behind goal back rows 3360 X £1060 = £3,561,600
TOTAL = £35,457,800
£30,176,851 ex VAT
LOWER TIER (23,000)
Lower wing and corner 16,300 X £885 = £14,425,500
Lower centre 6,700 X £990 = £6,633,000
TOTAL = £21,058,500
= £17,922,127 ex VAT
NORMAL ADMISSION TOTAL = £48,098,978 ex VAT
5. CATERING AND PROGRAMME SALES
Per season assuming 25 games.
Arsenal have confirmed that the 4 restaurants at Emirates can accommodate 3200 diners in total with the top meal cost being £65. I am assuming the average regular fan spends an average of £5 on food and drink on fast food. These exclude the 9,000 box and club level. Arsenal's programme sales are 70% of capacity.
Restaurant meals 3200 x £30 average price = £2,400,000
Fast food and drink per regular fan 51,000 x £5 average price = £6,375,000
Match day programme sales = 36,000 x £3 = £2,700,000
TOTAL = £11,475,000
= £9,765,657 ex VAT
GRAND TOTAL FOR STADIUM MATCH DAY TURNOVER
3). £ 0.893M
5). £ 9.766M
TOTAL = 91.144M ex VAT
Match day turnover for season 2003/2004 was £33.8M ex VAT so increase of £57.344M
At the time of moving into Emirates Stadium the £260M loan will be refinanced to a 25 year loan at a lower interest rate of 5% which will equate to yearly repayments of £18M.
Obviously not all the increase in revenue will be net profit as there will be costs against catering, programmes and increased staff costs but it is not unreasonable to assume a net profit increase of £45 with £12M costs. Deduct the interest payments of £18M a year leaves AN OVERALL NET PROFIT OF £27M PER SEASON after all loan repayments and costs.
The overall increase in turnover will be higher than the £57M increase in match day income as there will be other increases in non-match day income. Arsenal will be increasing the number of secondary sponsors at Emirates, utilising the stadium to it's full potential away from the match day by using the stadium for conferences, corporate functions and exhibitions as well as and holding non football related events such as concerts. A final increase in turnover of £65M is more likely. By the end of the 2006/ 2007 season Arsenal's overall turnover will be close to Manchester Uniteds (possibly slightly more) and well ahead of any other club in the world.