Wrexham make £13m loss despite huge Ryan Reynolds and Rob McElhenney impact

View 3 Images

Wrexham are expected to make a loss of £13million despite Ryan Reynolds ' and Rob McElhenney's side's humongous £33.3m turnover for the 2024/25 campaign. The Red Dragons have surged up to the Championship since the Hollywood duo's takeover in 2021 , and they are now knocking on the door of the Premier League play-off places.

As Wrexham has ascended up the football pyramid, their revenue has also moved into the eight-figure mark. However, with great revenue has come great cost, as it's understood the club's costs and wage-bills have skyrocketed.

The massive £33.3m turnover was earned while the Red Dragons were still in League One , an unprecedented figure for a third tier side who has not been receiving parachute payments. However, their automatic promotion to the Championship has also had significant consequences for their accounts.

The Daily Star reports that 57.7% of the club's revenue has come from overseas, particularly from North America. But as their turnover continues to move upwards, operating costs swelled up to £14.8m for the year ending June 2025 - the previous year, it was only £2m.

Moreover, it's understood the club forked out £3.9m to other companies owned by Reynolds and McElhenney for "sponsorship growth". The club has pointed to the increase in costs which came with their automatic promotion to the Championship.

JOIN US ON FACEBOOK! Latest news, analysis and much more on Mirror Football's Facebook page

Within the same period, the wage bill jumped up by 74%, rising to a massive £19.9m, as a result of player bonuses and salary increases. A club director said: "The club's overarching objective is to achieve sustained sporting success by progressing each of its senior teams through their respective divisions to the highest possible level at the earliest appropriate opportunity.

"This is pursued through targeted investment in playing squads, high-quality football operations and the development of a sustainable player pathway supported by strong academy provision."

Moreover, sponsorship revenue has also increased by 31% to £17.3m. The Amazon documentary series 'Welcome to Wrexham' is continuing to entice new investors and has a fifth season on the way in May.

View 3 Images

Referring to these developments, the report also states: "While the documentary does not generate direct income for the club, it provides a unique international marketing platform that supports partner activation, brand engagement and long-term commercial development."

It's also understood Reynolds' company Maximum Effort earned around £2.6m and McElhenney's 'Mac's More Better' took in around £1.4m, as a result of payments for sponsorship commissions and consultancy.

Defending these payments, the directors said: "This approach has supported continued growth in sponsorship, retail and partnership revenues...the directors keep these arrangements under regular review to ensure they remain aligned with market norms."

View 3 Images

A huge blow the club did suffer was the fact they had to write off £3.8m as a result of UK currency brokerage Argentex entering insolvency in July last year, but the club are believed to be confident they can recover a huge chunk of that figure through administrators.

The debt profile of the Red Dragons has shifted, as Reynolds and McElhenney saw a loan of £27.5m be paid back after a hefty investment from Apollo Sports Capital in December, a move which "strengthened the club's financial position" according to the directors.

There are many more challenges on the way for the club, including the construction of the 7,500 seater Kop Stand, which reportedly has a price tag of £69.3m, with £17m being committed to it by the Welsh government. "Subject to approval, this would increase the overall stadium capacity to just over 18,000, creating further opportunities to grow both matchday and non-matchday revenues," the directors said.

Wrexham are currently 7th in the Championship, level on points with sixth placed Southampton . With seven matches left to go, the Saints' superior goal difference is the only thing keeping them above the Red Dragons.