A WARNING made by owner Huw Jenkins towards the end of last season serves as a reminder of the importance of the FA Cup to Newport County AFC as they prepare to host Peterborough.
The chairman’s takeover of the Exiles was given the green light last January ahead of the glamour tie with Manchester United in the fourth round.
Jenkins was interviewed live on the BBC at half-time of that clash with the Red Devils, well aware of the boost that boss Graham Coughlan, his staff and players had given the club.
County earned £213,000 in prize money for making it to the fourth round by beating the National League trio of Oldham, Barnet and Eastleigh.
They also received £140,000 for the match with United and replay at Barnet being shown live on television, plus they banked their share of gate receipts from a bumper crowd at Rodney Parade.
Those figures did not feature in the accounts that went up on Companies House on April 6.
County made a loss of just over £900,000 for the year ending June 30, 2023, that 12 months after they reported a loss of £1.2million.
The Trust said that the Exiles operated with structural losses of around £300,000 a year and the accounts stated that they had liabilities of £1.3million.
It was a situation that led to the hunt for investment and the eventual takeover by former Swansea owner Jenkins, who made a statement after County’s losses were revealed.
“Obviously, it was before my time at the club, so it would be unfair to comment in too much detail on the results – and the reason for such a loss,” he said.
“What is evident, however, is that there needs to be serious changes to the way the club operates.
“Coming on the back of a previous loss of £1.2million, a club of our size cannot afford to lose over £2million in two years. It is simply unsustainable.”
He continued: “A lot of aged debt has been cleared in the last two months and we are on a much better financial position; but strong financial control is still essential to keep the football club on the right path going forward.”
County’s 2023/24 FA Cup run boosted the coffers but the club have painfully learnt about the dangers of counting on financial gains from knockout football.
They are no longer reliant on such funds and Jenkins has steadied the ship, but the club have one of the EFL’s smallest playing budgets and need more sales like that of Will Evans in the summer, which could bring in around £200,000.
County are spending more on their academy – with the young Exiles now playing at USW Sports Park – and the costs for staging games at Rodney Parade remain high.
Another cup run would boost morale as Nelson Jardim aims to keep the club well away from the League Two relegation scrap and it would also bring in money that can be reinvested.
If County win on Saturday then they will pocked £45,000 while defeat would mean £15,000 prize money.
The reward for second round success is £75,000 (£20,000 for losers) while in the third round it is £115,000 (£25,000).
With Peterborough claiming 45 per cent of gate receipts for this weekend’s clash, it’s the games on the horizon that would be the money spinners.
However, after facing a trio of National League opponents last season (with home draws), this time County need to cause a minor upset against League One opposition to really coin it in.
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