Hibernian in 'strong financial position' following latest results

Hibernian finance director Jamie Marwick says the Scottish Championship club is in a "strong financial position" after revealing results for the year to July 31.

Addressing around 250 shareholders at the club's AGM, Marwick said a recent share issue, coupled with the restructuring of the club's finances last December, resulted in a cash balance of £2.7m, up by more than £1m on the previous year.

At July 31 last year, the club owed £6.3m to Bank of Scotland and £3m to the parent company. Bank debt has now been cleared and, as part of the restructuring, the club secured a £5m interest-free mortgage from the parent company, repayable over 10 years. 

In financial terms, the club lost £840,000 in the 2014-15 season in the Championship as the board chose to maintain the side as a "Premiership club" despite being relegated. This meant maintaining expenditure on the squad, a factor which has been maintained again this season as the club chase promotion to the Scottish Premiership.

Shareholders also heard head coach Alan Stubbs and chief executive Leeann Dempster detail progress on and off the pitch.  

Stubbs, who claimed the efforts of supporters in buying shares and season tickets had a real impact on the field, said the development of his squad over the past year had resulted in strong performances with the team 13 points better than at the same point last season, scoring more goals, conceding fewer and achieving more clean sheets.

He added that he hoped to add one or two more players to the squad in January to finish the season "even stronger" insisting that the atmosphere in the dressing room is "one of the best environments I've worked in as a player or a coach".

Dempster repeated Stubbs' assertion that the efforts of supporters had played a large part in helping the club to invest in, and shape "the quality squad we are now enjoying", adding that "all efforts were focused on gaining promotion... and without having to go through the play-offs".

And she repeated that the share issue had been a major success, claiming the stable transition had seen supporter ownership increase from just 2% to around 20%, while in the process raising in excess of £580,000 which had helped fund the club's football ambition.

Hibs lie second in the Scottish Championship table, three points behind Rangers who they face at Ibrox on Monday, December 28.