Liverpool reported pre-tax losses of 57 million pounds ($71.8 million) in its latest financial accounts on Friday.

The losses came despite the Premier League club reporting record commercial revenues of 308 million pounds ($387.8 million) for the year.

The accounts for the year ending May 31, 2024, underline the importance of Champions League qualification for England's leading clubs, with Liverpool pointing to a sizeable fall in media revenue due to its absence from the competition last season.

A drop of 38 million pounds ($47.9 million) to 204 million pounds ($257 million) came after the club missed out on qualification for European club soccer's most prestigious competition.

Matchday revenue was up 22 million pounds (£27.7 million) to 102 million pounds ($128.4 million) and the record commercial revenues came after a rise of 36 million pounds ($45.3 million).

Overall revenue rose by 20 million pounds ($25.2 million) to 614 million pounds ($773 million).

Liverpool said administrative costs “increased significantly,” with salaries one of the main causes. Administrative costs rose by 38 million pounds ($47.85 million) to 600 million pounds ($755.5 million).

“Operating a financially sustainable club continues to be our priority and, with the continued increase in costs, it’s essential to grow income streams year on year to maintain financial stability,” said Liverpool's chief financial officer Jenny Beacham.