Manchester United’s operating profit rose to £13m in the first quarter of the financial year, up from a £7m loss a year earlier, according to results published on Wednesday. Chief executive Omar Berrada attributed the improvement to “the difficult decisions made in the past year” by minority owner Sir Jim Ratcliffe.
However, the club’s total debt has climbed to a record £1.29bn, with its revolving credit facility increasing by £35.7m to £268m. Revenue fell to £140.3m from £143.1m, partly due to the loss of a training kit sponsor after the end of a deal with Tezos. Cash and cash equivalents dropped sharply to £80.5m from £149.6m.
Since acquiring a 27.7% stake in February 2024, Ratcliffe has implemented wide-ranging cost-cutting measures. These include making around 450 redundancies, reducing the workforce to about 800, ending Sir Alex Ferguson’s £2m-a-year ambassadorial role, and scrapping free lunches for staff.
Berrada said the results reflected the club’s resilience and progress in its transformation. “The difficult decisions we have made in the past year have resulted in a sustainably lower cost base and a more streamlined, effective organisation,” he said. The club has invested in both its men’s and women’s teams, currently sixth and third in their respective leagues.
Sponsorship revenue fell 9.3% to £47m, but United is in “productive discussions” with prospective partners for a new training kit deal. The club’s non-current borrowings remain unchanged at £650m.
