Arsenal suffer huge £52.1m loss in latest accounts as forgotten transfer flop comes back to haunt them

ARSENAL reported £52.1m in losses in their 2022/23 accounts – with Nicolas Pepe’s dramatic decline in value contributing.

The Gunners’ latest financial accounts for the year ending May 31 2023 show that “impairment write-downs on certain player registrations” amounted to £18.1m.

Reuters

Arsenal’s losses on Nicolas Pepe has cost them in their accounts[/caption]

That figure is believed to largely relate to former North London flop Pepe, having joined from Lille as the club’s then-record signing for £72m in 2019 on a five-year deal.

After several mediocre years, scoring 27 goals in 112 games, the Ivory Coast international had his contract ripped up last September before moving to Turkish side Trabzonspor.

Pepe also spent last campaign on loan at French outfit OGC Nice.

The total cost of Pepe’s Emirates tenure is thought to have cost Arsenal more than £100m, including his transfer fee and wages.

It was previously reported that Nicolas Pepe earned £140,000-a-week while at Arsenal.

Excluding the Pepe fees, Arsenal made a loss before tax of £34 million last season, down from a loss of £45.5 million the previous year.

Football revenues for the year rose to £464.6 million, up from £369.1 million in the 2021/22 season.

This improvement was due to their return to Europa League football and their excellent campaign in the Premier League, in which they finished second.

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The improvement in revenue saw Arsenal spend big this summer, splashing £105m to bring Declan Rice to the Emirates from West Ham.

The Gunners also signed Kai Havertz for £65m from Chelsea and Jurrien Timber from Ajax for up to £40m.

Their loan deal for David Raya also has an option to buy this summer.

Boss Mikel Arteta is hopeful that next year’s accounts will show further progress as he bids to bolster his squad, especially if they reach the latter stages of the Champions League.

Arsenal must overcome a 1-0 deficit in the last-16 in next month’s second leg at home to Porto.

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