A FINE of more than £7million for breaching Financial Fair Play rules contributed to Cherries' pre-tax losses totalling nearly £40million.

On the brink of mathematical safety in their maiden Premier League campaign, Cherries have posted pre-tax losses of £39.1m for the year to July 31, 2015.

Turnover increased to £12.9m from £10.1m the year before and staff costs rose to £30.4m from £17.3m.

Intangible assets totalled £13.2m while a £2m payment to ex-shareholders was set in motion by promotion from the Championship.

Improvements to Vitality Stadium to ensure readiness for the top-flight campaign cost £4.6m.

Cherries were fined £7.6m for breaking Financial Fair Play rules as under the regulations, clubs can make a maximum adjusted loss of just £6m.

A report alongside the results, signed by chairman Jeff Mostyn, read: "Football wages, including promotion bonuses and paid player signing on fees, continue to be the largest expense for the club, with a 76 per cent increase in total staff costs from the previous year.

"The directors continue to maintain close control over expenditure and have implemented effective policies and procedures to ensure the club is run efficiently and effectively."

Matt Hulsizer, chief executive of Chicago-based investment company PEAK6, acquired a 25 per cent chunk of Cherries from Russian owner Maxim Demin in October.