Newcastle could add to £76m figure as finance expert hints at ‘bigger deals’ following PIF chief comments

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Newcastle United and PIF are pushing to make just as much progress off the pitch as they are on it.

Eddie Howe is doing a fantastic job when it comes to on-pitch results. Despite the recent 4-0 defeat to Manchester City, Newcastle United fans are celebrating a return to Wembley after reaching the 2025 Carabao Cup final.

Champions League qualification is still very much on the cards, and returning to Europe would provide a big boost to Newcastle’s income.

Newcastle’s revenue has continued to grow year-on-year under PIF, and club chiefs are still exploring various ways to keep that figure climbing.

PIF are expected to make a stadium decision this month with Saudi Arabian chiefs flying to England to watch Newcastle face Nottingham Forest.

A new stadium is expected to cost £1.2bn but would increase capacity to around 70,000. That alone would provide a major boost to matchday income, which is estimated to grow to £40m in the upcoming club accounts.

Yasir Al-Rumayyan invites Newcastle investment

Growing commercial income has also been a focal point for PIF since the takeover. Sponsorship deals with Adidas and Sela were a good start, but there is plenty of work still to be done.

As reported by The Chronicle, at a recent showcase event, Newcastle chairman Yasir Al-Rumayyan invited delegates to “take advantage” of partnership opportunities.

The event was attended by Jonathan Kane, Newcastle’s director of partnerships, who was likely exploring potential commercial deals and partnerships.

At the event, Al-Rumayyan said: “I invite you to take advantage of the partnership opportunities available with the PIF and portfolio companies,” – that very much includes Newcastle.

Recently, football finance expert Kieran Maguire blamed Mike Ashley for Newcastle’s commercial struggles, with the Magpies well behind the likes of Manchester City who pocketed a staggering £338m in commercial income.

Finance expert hints at ‘bigger deals’ for Newcastle

Geordie Boot Boys spoke exclusively to football finance expert Adam Williams about Al-Rumayyan’s comments and the potential for improved commercial activity.

Williams said: “Commercial revenue has less of a fixed ceiling than matchday, which is dependent on bricks and mortar, and media, which is centrally negotiated by the Premier League.

“The stadium redevelopment/rebuild will be the initiative that really moves the needle, but we’re years away from the start of that project, let alone a time when it starts making money.

“Newcastle’s commercial growth has been impressive. I think the PIF takeover had a validating effect, plus they have been able to take advantage of companies in the PIF portfolio with deals with Sela and Noon.

“In terms of Al-Rumayyan’s comments, they come at an interesting time given the voiding of the pre-November 2024 APT rules just recently.

• What the Premier League APT announcement means for Newcastle United and PIF

“Some experts are suggesting that Newcastle could seek retrospective compensation with respect of the Sela deal in particular, which looks like it has been marked down as a result of the Premier League’s Fair Market Value assessment under the APT rules.

“Depending on the outcome of the next stage of that process, there could be more flexibility for Newcastle to strike bigger deals with companies either in the PIF stable or adjacent to it.

“I’d suggest that this might partly be what Al-Rumayyan was referencing here, although clearly not his only concern given that Newcastle are one of the smallest companies owned by PIF in terms of revenue.

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“The Deloitte Football Money League for last season suggests that commercial income grew from £46.9m to around £76m. It’s a pretty astonishing increase and I think further PIF patronage can help them maintain it for another couple of years before the rate of growth starts to slow.”

Jumping from £46.9m to £76m in commercial revenue is a sign of progress made behind the scenes at St James’ Park, but with Newcastle now back at the pointy end of the Premier League table there should be opportunity for more lucrative commercial deals.