Liverpool Football Club lost close to £50m in the season 2012-13.
Debts decreased 29% to £45.1m and revenue increased by 9% to £206.1m last season and a cash injection of £46.8m by owner FSG allowed the club to repay a stadium loan.
The club has not been in the Champions League since 2009/10, but looks on course to return to the lucrative competition for next season as the team is on course for a top four finish, currently sitting in second place behind Chelsea.
Despite the debts and losses, the club appear to feel they are moving in the right direction.
“These results demonstrate that the financial health of the club continues to make good progress as we continue our journey to transform the club on and off the pitch.” Ian Ayre said.
“Over the past four or five years, revenue has been consistently increasing from around £170m in 2009 to over £200m today, and external debt has decreased significantly to less than £50m.
“With a hugely supportive ownership group, we have taken a measured approach to bring back financial stability to this great club by ensuring it is properly structured on and off the pitch.”
For trading until 31 May 2013 the club made a loss after tax of £49.8m.