Celtic chief executive Michael Nicholson has publicly reaffirmed his confidence in manager Martin O’Neill despite a particularly challenging week for the Glasgow club. The Hoops suffered a trio of defeats that have left supporters and the board alike feeling the sting.
First, they were knocked out of the League Cup in the quarter‑finals by arch‑rivals Rangers, then they fell to Rangers again in a Scottish Premiership encounter, and finally they were beaten at home by Hungarian side Ferencváros in the opening match of their Europa League campaign. These setbacks follow a dramatic collapse in the previous month when Celtic faced Austrian outfit LASK in the Champions League play‑off. After building a 4‑0 aggregate lead, the team inexplicably fell apart and lost the tie on penalties, missing out on the continent's most lucrative competition.
In the aftermath of the second Old Firm loss, O’Neill hinted that he might be contemplating his future, saying he would "reflect on his future" and suggesting that "it might be time to wrap it up". Nicholson, however, acknowledged the pain of the recent results but insisted that the club would rally around the manager and the playing squad. He said the organization would "come together and support Martin and the players, as we focus our efforts on achieving success domestically and in the Europa League." O’Neill’s return to Celtic in October of last year marked his second spell at the helm, twenty years after his first tenure ended. He was appointed after the resignation of Brendan Rodgers, and his arrival came at a time of considerable upheaval.
When Wilfried Nancy was dismissed after a brief and unsuccessful 33‑day stint, O’Neill stepped in as interim manager once more before being confirmed as the permanent boss over the summer. Nicholson praised O’Neill and his backroom staff for stepping up twice in the previous season, describing the club’s gratitude as a "debt of gratitude".
He also expressed delight that O’Neill had agreed to stay on a full‑time basis, emphasizing the importance of continuity and experience as Celtic look to rebuild. The board has come under fire from sections of the fanbase over its transfer policy.
Financial disclosures reveal that the club spent roughly £31.7 million on new signings, including record‑breaking acquisition Kasper Høgh, as well as younger prospects such as Camilo Duran, Mika Baur and Haïssam Hassan. Nicholson noted that these purchases were made in close collaboration with O’Neill, underscoring the manager’s influence on recruitment.
Nevertheless, the financial report for the year ending 30 June 2025 shows a post‑tax loss of £4.8 million, a stark reversal from the £33.9 million profit recorded the previous year. Chairman Brian Wilson attributed the downturn to several factors: the absence of Champions League revenue, rising wage bills, and a dip in profit from player trading.
Despite the loss, Celtic still ended the period with a healthy cash balance of £66.4 million. Sky Sports analyst Anthony Joseph highlighted that Celtic’s lack of preparation for the Champions League qualifiers has now cost the club an estimated £40 million, as they have been relegated to the Europa League. The club’s annual revenue for the 2024/25 season stood at £143.6 million, of which roughly £75 million would have been generated from participation in the new Champions League format – a competition they entered automatically after winning the domestic title the previous season. Scotland’s declining UEFA coefficient meant that, unlike the prior campaign, Celtic could not qualify directly for the Champions League group stage and instead had to navigate a play‑off.
They were eliminated by Kairat Almaty on penalties, a result that former manager Brendan Rodgers had warned could happen if the squad was not adequately reinforced before the tie. Key departures, such as forward Kyogo Furuhashi (sold to Rennes for £10 million in January 2025) and midfielder Nicolas Kühn (who left for Como for £16.5 million that summer), left the team thin. The failure to secure Champions League football sparked one of the most turbulent periods in recent Celtic history. Supporters organized a boycott of club merchandise and stadium concessions, while Rodgers eventually resigned, citing a perceived lack of ambition from the board in the transfer market.
O’Neill, then a pundit, returned to manage the side temporarily until Wilfried Nancy was appointed in December, only to be reinstated 33 days after Nancy’s dismissal. Although Celtic managed to win a domestic double and reach the Europa League knockout stages, revenue fell 22.7 percent to £111 million, resulting in an overall loss for the season. Fans had hoped the board would adopt a more proactive approach to the Champions League play‑off this time around.
While the club did invest around £32 million in new talent – notably Kasper Høgh, Camilo Duran, Mika Baur and Haïssam Hassan – they also sold defender Arne Engels to West Ham for £22 million just before the LASK tie, without securing a replacement. This decision reportedly irritated O’Neill, who felt the squad lacked depth. Being 4‑0 up on aggregate with just under an hour remaining in Austria, Celtic’s collapse against LASK was shocking.
The fact that the final line‑up included fringe players such as Anthony Ralston, Luke McCowan and Dane Murray suggested a shortage of quality options for a high‑stakes fixture. The missed opportunity will likely leave another £40 million shortfall in next season’s accounts unless the team progresses deep into the Europa League. The situation raises a broader question: why does a club sitting on a £66 million cash reserve not fully prepare for these crucial qualifiers? From a financial perspective, prioritising European competition makes sense.
According to football finance expert Kieran Maguire, every £100 earned in the Champions League translates to roughly £22 in the Europa League – a stark disparity that Celtic is now feeling. Looking ahead, Celtic’s schedule is packed with important fixtures. The upcoming matches include: - 11 October: Motherwell vs Celtic (12:00, live on Sky Sports) - 15 October: Benfica vs Celtic (20:00, Europa League) - 18 October: Celtic vs Hearts (15:00) - 22 October: Celtic vs Celta Vigo (20:00, Europa League) - 25 October: Hibernian vs Celtic (12:00, live on Sky Sports) - 28 October: Celtic vs Dundee United (19:45) The club also promotes a Super 6 competition offering a £1 million prize, with free entry for participants.
All eyes will be on how the team responds to the recent setbacks, how the board manages its finances, and whether O’Neill can steer Celtic back to the Champions League stage and restore the financial health and sporting prestige that the fans expect.