WORCESTER Warriors has projected a return to profitability by 2020 in figures sent out to potential investors.

A profit of more than £13.8million was posted by WRFC Trading Limited, the company that operates Warriors, in its latest set of accounts up to June 2016 but that was due to more than £20.4million of shareholder loans being written off.

Notwithstanding that, the underlying loss was £6.6million on the back of £5.5million shipped in the previous financial year.

The swift turnaround is reliant on a projected 47 per cent increase in match-day revenue and 90 per cent lift in sponsorship over the next three years.

According to literature put together by Livingstone, the company tasked with reviewing “strategic and investment options" at Warriors, the Sixways club is forecast to post reduced losses of £2.8million in the financial year 2018.

With a less than one per cent reduction to rugby department wages, which includes players, coaches, performance staff, academy and administration salaries, it is projected losses will be less than £1million in 2019 before returning to profit the year after.

The club forecasts spending £10.85million on rugby department salaries in 2018, down from £10.942million in 2017, and has budgeted for a drop to £10million for the two years after.

£6.45million of that is set to go to players, £1million of which is for the top two earners outside the Premiership’s wage cap.

In spite of a small drop in match-day revenue between 2016 and 2017, an anticipated 15 per cent increase in ticketing is the foundation of a predicted uplift of more than £500,000 this term.

The literature also points towards an estimated £250,000 additional revenue from “the proposed establishment of a second-tier Saturday league”.

The projections budget for more than £5.1million worth of match-day revenue by 2020. The actual figure from 2017 was £3.47million.

Warriors currently fetch in a shade more than £1million of sponsorship but it is suggested buyers could increase that by £900,000, including £400,000 for selling the stadium naming rights.

Among the other suggestions put forward to prospective buyers are the building of a 100-room hotel with a predicted profit of more than £700,000 per year from 2022, although who would pick up the estimated £7million cost of getting it off the ground remains unclear.

Ideas to utilise land for retail units, the potential for football pitches and extra parking on farmland have also been put forward.

Warriors managing director Gus Mackay said neither he nor his organisation would be prepared to comment on the figures when contacted by the Worcester News.

Jamie Hutton, one of two contacts provided by Livingstone for parties interested in purchasing Warriors, also said neither he nor his company would be prepared to comment.