Losses deepen at Wigan Warriors, despite boost of new ownership
Wigan’s rugby league side, Wigan Warriors, has reported deeper losses for the financial year to November 30, 2023.
The club, which was taken over by data publishing billionaire, Mike Danson, last December, suffered a £1.728m pre-tax loss, compared with a £1.215m loss in 2022, despite continued on-field success.
Turnover remained relatively stable at £6.589m, against £6.633m the previous year.
Wages at The Cherry and Whites have increased from £4.815m in 2022 to £5.090m, due to inflationary pay increases and the club’s continued investment in the playing and coaching staff.
No dividend has been paid.
Accounts filed at Companies House showed the club owes £9.495m to former owner Ian Lenagan’s Wigan Sporting Club, which is an increase on the £7.502m figure in 2022.
The club said this comprises interest-free, unsecured loans, with no fixed repayment terms.
Michael Danson
Last December Mike Danson completed the acquisition of the remaining 51% of share capital in Wigan Sporting Club – formerly Lenagan Investments – from the Lenagan family.
It made him the owner of the town’s two biggest sporting club’s since 2007, having taken control of Wigan Athletic FC last in June year following major financial issues at the club.
The takeover of the rugby league club’s controlling stake completed a process that began in July 2020 when Danson initially invested in Wigan Rugby.
The directors’ report to the accounts said: “Under the direction of new ownership, the board strongly believe that the most appropriate path to financial sustainability is to target revenue growth in all areas whilst continuing to invest in the playing squads to maximise performance and provide an exciting product to Wigan Warriors and Rugby League supporters, in general.
“The board is pleased to report that the early execution of this strategy will lead to a significant increase in turnover in 2024 to a level in excess of £7.5m, with particularly encouraging growth in matchday receipts, sponsorship and retail.”
However, they added: “Conversely, central distributions from Super League (largely from broadcasting revenues) remain 20%-25% lower than in 2019 as a result of the reduced Sky Television agreement.
“Whilst there is no immediate improvement forecasted in 2024, the partnership with leading sports brand consultants IMG, which commenced in 2022, to lead on increasing the awareness and value of Super League still has the objective of securing increased centralised revenue in the years to come.”
In July this year it was revealed that Wigan will switch their home league game against Warrington Wolves to the 65,000-capacity Allegiant Stadium in Las Vegas, home to the Las Vegas Raiders, next March, in a bid to raise the global profile of rugby league.
On the pitch, 2023 saw continued success for Wigan’s men’s team, building on 2022’s Challenge Cup win, by winning the League Leaders Shield and the Super League Grand Final for a sixth time, and for the first time since 2018.
The team continued this success into 2024 by winning the 2024 World Club Challenge and Challenge Cup, becoming the first men’s team since 2006 to hold all four major trophies at the same time.
The women’s team continued their development in 2023, earning a creditable semi-final berth in Super League before losing to eventual Grand Final winning York City Knights.
The club said it is committed to building the women’s team organically under the same performance team structure as the men’s team, including at academy level.
This approach, along with the appointment of Dennis Betts as head coach for the 2024 season, has contributed to the women’s team demonstrably closing the gap to the more established teams during 2024.
