SUNDERLAND plc remains focused on achieving long-term, sustained success, despite reporting an operating loss of £181,000 for the six months to January 31.

Although developments on the pitch this season have not be so good, with the team in the lower reaches after top seven finishes in the past two years, developments around the Stadium of Light are taking off.

The club's Academy of Light, aimed at grooming young Wearside talent, is well under way, and hotel developers are showing interest in plans for a five-star venue next to the ground, linked to the town centre by footbridge.

John Fickling, deputy chairman, said the club's financial results had been affected by a poor season on the pitch.

He also said: "We acknowledge that some aspects of squad development have not worked out as we had hoped and we are working hard to correct this."

But that did not mean that any of the club's objectives had changed.

The club had pre-tax profits of £4.4m, up from £3.5m in the same period of last year. This was largely due to the sale of players, up to £5m from £1.2m.

Players to leave included Don Hutchison, who joined West Ham in September for £5m, while the club also received income from the sales of Danny Dichio and Alex Rae.

Incoming internationals included Bernt Haas, Claudio Reyna, Jason McAteer, Joachim Bjorklund, and Patrick Mboma (on loan from Parma until June).

Mr Fickling said: "We are committed to investment and improvement of our playing squad as evidenced by our recent acquisitions. This summer, up to seven of our current squad could be asked to represent their countries in the World Cup.

"Our investment in young talent is equally important to our long-term future. Sixteen of our young academy players have already won recognition at under 16 international level and we are striving to improve our record in this area.

"The Academy of Light development is progressing well and will be ready by the early part of next year.

Turnover for the six months was up by six per cent to £26.9m, spurred by the first full year of the new Premier League television contracts, particularly as gate receipts and programme revenues fell while operating expenses increased.

Television and media income increased 31 per cent to £9.9m, while Sunderland also benefited from increased sponsorship worth £3.5m.

Mr Fickling said: "The current season has fallen below the expectations of fans, players and management alike.

"Football clubs have cycles and there will always be ups and downs.

"Our ambition remains the same - to be a major force in English football. You can be assured that everyone at the club is doing their utmost to achieve this.