Friday 16 December 2016 19:24, UK
Chelsea have announced losses of £70.6m for the year ending June 30, although the club's turnover was higher than ever.
Turnover of £329.1m eclipsed the £314.3m for the previous 12 months and resulted in a £4.7m profit before exceptional costs despite Chelsea's 10th-placed Premier League finish.
But a £40m penalty for cancelling a kit deal with Adidas and compensation paid to sacked manager Jose Mourinho contributed to £75.3m in exceptional costs and meant a significant overall loss.
The Adidas deal has since been replaced by a partnership with Nike which is the biggest commercial deal in the club's history, and a Chelsea statement said next year's results would reflect an agreement worth £60m a season for the next 15 years.
Chairman Bruce Buck said: "The fact Chelsea Football Club recorded our highest revenues in a season when on-pitch performance was disappointing is a credit to our hard-working, dedicated staff and the robust business they have helped build.
"It has long been our aim for the business to be stable independent of the team's results and we continue to reinforce that."
