Chelsea have announced losses of £80 million for the last financial year with billionaire Russian owner Roman Abramovich continuing to bankroll the club's heavy spending.
Despite narrowing the deficit by £60 million, or 42 per cent, and being the best financial performance by the west London club since Abramovich took over, it was still the third biggest loss in the history of English football.
It was exceeded only by the club's record £140 million loss last year and its £87.8 million loss in 2003/04, the first year of the Russian billionaire's ownership.
A 44 percent rise in shirt and merchandising sales to £11.1 million from £7.7 million a year ago partly helped pay for players such as Andriy Shevchenko, Jon Obi-Mikel, Solomon Kalou, Lassana Diarra, Michael Essien and Shaun Wright-Phillips.
"These figures demonstrate that the business is moving in the right direction," said chief executive Peter Kenyon, who added that the club was still on track to break even at operating profit level by 2010.
"Last year we took some painful decisions in order to help us achieve our long term business aims. This year's figures proves that was the correct decision." the former Manchester United chief executive said.
