It continues a worrying trend in recent years that has the club well over $10 million in debt.
The Lions forecasted the loss quite a while ago, with new CEO Greg Swann as recently as Sunday saying the club would take a big hit.
One key point in the financial report that ended October 31 was the increase in football department expenditure, which rose $1.3 million to $18.6 million.
Following the sacking of Michael Voss in 2013, the Lions identified a need to bolster their football department, adding a number of coaches for new senior mentor Justin Leppitsch.
"The club has been working with the AFL to implement a range of operational changes aimed at improving financial performance and to ensure the club benefits fully from the competitive balance model," the Lions said in a statement.
With new sponsorships already announced for 2015, Swann has consistently said the Lions would have to take their medicine but would bounce back.
"We've got a lot of work to make up that way but we've put some good blocks in place and hopefully we can build on that," Swann said on Sunday.