Hearts of Oak records GH¢2m loss in 2012

The financial woes of Accra Hearts of Oak appear far from over after the club recorded a net loss of GH¢2,002,233 for the year ending August 31, 2012.

The figure represents over a 50-per cent increase off the GH¢975,744 attained at the end of the 2011 financial year.

Togbe Afede XIV, Board Chairman revealed at the club’s Annual General Meeting (AGM) on Friday the situation was largely due to the swell in General and Administrative Expenses in 2012 compared to the previous year.

The GH¢3,089,349 recorded in 2012 represents a 34.2 per cent increase off the GH¢2,302,283.

Despite the huge deficit,  there was something to cheer about as revenues saw an increase of 80.8 per cent from GH¢178,388 to GH¢322,555 in 2011 and 2012 respectively.

Also current liabilities decreased by 3.8 per cent from GH¢3,679,942 in 2011 to GH¢3,540,402 in 2012.

Following the approval of the financial statements for the period under review, the Board Chairman said the club is making strides as far as their finances is concerned.

“The trajectory of performance established by the club through the second round of the league, coupled with our generally positive outlook for the future, makes us confident that our financial situation shall begin to improve in the coming year,” he said.

The AGM, the highest decision making body of the club also saw the approval of financial statements for the year ending August 31, 2012; infrastructure, accounts as well as general issues related to the progress of the club.

This was the second AGM under the Togbe Afede led-Board, which came into effect two years ago.

Source: GNA