Watford have revealed a fall in profits of more than �7m in annual accounts released to the Stock Exchange.
A reduction in pre-tax profits from �8m to �400,000 matches a decrease in revenue from �29.9m to �22.4m.
The loss is largely a result of the reduced television income following relegation from the Premier League.
Chairman Graham Simpson said they were now considering cheaper options to replace the East Stand at their Vicarage Road ground.
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