Stoke City Reveal Mixed Financial Results After Bet365 Demerger

Stoke City have released their latest financial results, but the overall picture remains mixed. The Championship club filed their accounts with Companies House, covering the period year ending May 31 2025, but the Midlands outfit has been going through a transition following a company restructure.

Indeed, in August 2024, Stoke City Holdings Limited, which has a 98.1% stake in the club, saw it demerge from Bet365. The Coates family, who own bet365, one of the most prominent UK betting sites, have a strong connection to Stoke, and the chairman, John Coates, is now the outright owner of the club.

Detailing the Bet365 factor

There is no denying that bet365 has an inextricable link to Stoke. They have played a key role in the club’s development off the pitch, and they have held the naming rights to the stadium (bet365 Stadium) following a rebranding from the Britannia Stadium in 2016. Moreover, bet365 has invested heavily in women’s and girls’ football for the first time in 2024/25.

Interestingly, Stoke saw £90.5 million worth of intragroup loans waived by bet365 as part of the transaction, lifting some of the financial burden off the club’s shoulders. But the results weren’t all doom and gloom.

Some cause for celebration

Although Stoke’s debts are set to be waived by bet365, the club reported an overall pre-tax profit of £60m for the year ending May 31 2025. Not only that, but the financial statement showed turnover rose from £32.3m to £34.5m, and this was down to increased central distributions from the English Football League (EFL) following a new broadcast agreement struck by Sky.

Employment costs, meanwhile, dropped slightly to £30.3m. However, this was to ensure that Stoke complied with strict requirements imposed relating to the EFL’s Profitability and Sustainability Regulations (PSR).

Reasons to fret

While a rise in turnover, combined with a promising profit figure, and a £13m upgrade on the club’s Clayton Wood training facility are things that should be celebrated, there may be some Stoke board members fretting. Indeed, the financial results showed that just £7.3m was spent on player registrations compared with £18.2m in the previous year.

More disconcertingly, an operating loss of £29.5m was recorded in the latest statement, a slight uptick on the £26.2m revealed in the previous 12 months. When you factor in that net liabilities increased from £132.6m in 2024 to £156.9m last year, perhaps Stoke may have to tighten their belt more.

Tidying up to be done

Clearly, Stoke are a work-in-progress, and they were exiled from England’s top-flight following relegation in 2018. Upon assuming full ownership of Stoke in 2024, Coates made it clear about his family’s intent to invest heavily in the club.

At the time, he said:

“My family and I remain steadfast in our commitment to Stoke City, so it’s very much business as usual. Potters’ supporters can rest assured that investment in the playing squad will continue to be maximised within our competition rules.

“Everything we do is geared towards bringing long-term success to Stoke City and representing our fanbase and local community in a way that makes people proud.”

The restructuring was ultimately deemed at the time to be suitable to make things more sustainable for bet365 with their global expansion plans.

In the meantime, Stoke have plenty to think about on their financial front, especially if they harbour ambitions to play in the Premier League again.