Source: PA
Johnston warns of tough times ahead
Rangers turned a huge loss into a profit to reduce their debt by £4million in the last financial year but the board have warned of further cuts ahead amid Scotland's declining status in Europe.
The club's total debt stood at £27.1m on June 30 this year after some stringent measures produced a profit of £4.2m following a deficit of almost £13m in the previous 12 months.
The improved results were achieved despite the club laying off £8million in historic transfers - manager Walter Smith was unable to buy a player during the period.
Participation in the Champions League group stages after a year's absence saw their turnover soar by 42% to £56.3m. Rangers have again qualified automatically for the Champions League following their second successive Clydesdale Bank Premier League triumph, but Scotland's falling coefficient means the Scottish champions face a qualifying campaign next season.
Chairman Alastair Johnston told Sky Sports News: "Scottish clubs may not have as much in the future because of the coefficient issue. That's not to say we dont anticipate going through qualifying rounds and still joining the big party. But the impact of the Champions League on the figures are quite obvious.
"For last year and this year we'll be doing just fine, beyond that we probably need to cut our coat to suit the cloth."
