Newcastle managing director Lee Charnley has warned that the club will continue to live within its means after reporting an £18.6m profit after tax.
Figures for the year ending June 30, 2018 show that the Magpies, who are currently attempting to persuade manager Rafael Benitez to sign a new contract as he waits to see what their ambitions are, bounced back from the financial disaster of relegation from the Premier League at the end of the 2015-16 season.
However Charnley, while reassured by the club’s position, insists that it will not spend money it has not got in a bid to improve things on the pitch as talks with Benitez’s representatives continue with the Spaniard’s current deal, which ends on June 30, running down.
He said: “A 10th-place finish in our first season back in the Premier League was a fantastic achievement and I would like to thank everyone connected to the club – staff, players and fans – for their collective efforts.
“There is much more work to be done, but these positive financial results give the club a strong platform on which to build. We all want to see the club improve and be competitive at every level, and in every competition.
“We are convinced that the best route to achieving this is to do so sustainably, spending on young development players and adding high quality to the first team squad each season – players that can really make a difference and improve the team – without risking the financial health and stability of the club.”