Celtic FC announces big profits fall for second half of 2011

Image caption, The club invested 拢4.4m in the first half of the season

Celtic Football Club has announced a big fall in pre-tax profits for the second half of 2011.

Interim financial results show the club made 拢180,000 compared to a 拢7m profit at the end of the previous year.

Cash from player sales also fell from 拢13.2m to 拢3.1m. Bank debt was reduced from 拢9m to 拢7m.

Chairman Ian Bankier said Celtic invested 拢4.4m in the first half of the season, with further acquisitions in last month's transfer window.

"We can confidently say that the strength and depth of the player pool now available to the football manager is better than it has been for several seasons," he said.

"As a result, we have been able to enjoy the virtuous trilogy of being able to keep our best players, build and develop significant value in our player pool, and see improvements in football performance."

'Very challenging'

Pre-season matches and sales of merchandising have been described as "very challenging", in line with other high street spend, as fans' spending power is squeezed.

The lower revenue from those categories was offset by a 3% rise in turnover as Celtic had a run in European competition.

Bank debt stands at 拢7.05m, which is around 拢2m less than at the same time last year.

Mr Bankier, who took over as chairman in the autumn, paid tribute to manager Neil Lennon.

He said he had faced a run of poor results at the start of this season in a "calm, professional and resolute manner, and with unshakeable self-belief, he has put us in a strong position to challenge for all three domestic trophies".