Chelsea FC cut its losses by 42.9 per cent to £80.2 million during the 2005/06 season, the club said today.
Releasing its full-year results for the 12 months ending on June 30th 2006, Chelsea showed that the improvement on 2004/05's £140.4 million loss was helped by a 44 per cent improvement in merchandise sales.
Overall turnover increased by 2.3 per cent to £150 million but major transfer signings like Andriy Shevchenko and Jon Obi Mikel, for £30.2 million and £16 million respectively, meant the club remained firmly in the red.
Chelsea's chief executive, Peter Kenyon, said that the results showed that the business was "moving in the right direction".
"Last year we took some painful decisions in order to help us achieve our long term business aims. This year's figures prove that was the correct decision," he said.
"With increasing sponsorship income, television revenue and ongoing success on the field, those positive trends are projected to continue."
Meanwhile the club announced today that it would be freezing all ticket prices for domestic matches for the 2007/08 season.
The move, which follows denials by Mr Kenyon on Friday that a price freeze had already been decided upon, is designed to strike a balance between the club's business needs and the "economic demands on our supporters".
Chelsea's prices are currently the second-highest in the Premiership, with season tickets currently costing up to £1,150.
Digg 
Delicious 
Reddit 
StumbleUpon 
Google 
Technorati 
Netvouz