Sunderland have announced a net loss of £25.5million for the year ending July 31 2010.
The Black Cats saw turnover increase slightly to £65.4million but operating expenses also went up, to £70.4million, resulting in a loss before player trading of £5million.
And player investment figures of £26.2million, which included the signing of 10 players on permanent deals and three more arriving on loan, contributed to the overall loss, which was £2million more than for the previous year.
Commenting on the figures, Sunderland chief executive Steve Walton told www.safc.com: "We are facing challenging economic times, both nationally and regionally.
"However, our financial results do continue to reflect a continued period of growth and development for the club.
"There has been significant investment made to improve our playing squad and we are now starting to see the benefits of that investment.
"The continuing support of our owner also puts the club in a secure position, giving us a positive platform to continue to build on."
It was also announced that owner Ellis Short has converted a further £19million of loans into shares in the club.
Meanwhile, defender Michael Turner is hoping to be fit for Sunderland's next Barclays Premier League match against Everton in 10 days' time.
The centre-back has been out of action since damaging knee ligaments in November but has now returned to full training.
Steve Bruce's side have missed Turner's physical presence during a run of three losses defeats in a row, to Chelsea, Stoke and Tottenham.
Their previously tight defence has been leaking goals at an alarming rate, particularly from set-pieces, but Turner remains confident a top-six spot is within range.
He told the Sunderland Echo: "It's up to me to get back fit and get back into the team. It would be nice to come back into a team who are doing well and flying high, though.
"The last three results haven't been great, but I'm sure coming into the last 11 games of the season that we can kick on. Liverpool seem to have turned a corner a little bit and they're showing some form.
"But we've still got to play them at home. There are some big games coming up but if we can win those we're in there with a shout."Reuse content